LONDON -- Marks & Spencer
There are two main options, either 20 pounds a month including travel insurance, or 15 pounds without. Customers also get various vouchers, worth up to approximately 250 pounds a year, plus access to a fixed-rate savings account that offers a 6% interest rate.
Marks & Spencer hopes to open around 50 bank branches over the next couple of years, starting with one at its flagship store in Marble Arch. Marks & Spencer is therefore hoping that the banking service will help drive increased customers at its stores. The market is giving a thumbs-up verdict at the moment to the plans, with shares up 1.5% at 323 pence.
Despite the branding, M&S Bank is actually run by HSBC
Obviously, this is an opportune time to grab a share of the lucrative U.K. current account market. Customers frustrated with Royal Bank of Scotland's recent IT problems, or disgusted with Barclays LIBOR skullduggery, are going to be key targets.
Of course, M&S isn't the only company set to attack the big banking giants. Tesco
How these developments will affect the profits of the big banks is unclear, but it's unlikely to be good news.
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Stuart does not own any of the shares listed above. The Motley Fool owns shares of Tesco. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.