Banks are increasingly offering attractive deals on savings accounts but making it compulsory for customers to sign up for secondary products without realising it. Read on for details.

The number of Bank cross-selling their products has increased, with savers the main targets. This means banks are offering great rates on products such as ISAs but only if the consumer signs up to a second product.

The study warns that the secondary product on offer may be of poorer value for money and unwanted by the paying customer.

The revelation comes from price comparison website Moneysupermarket.com. Head of Savings, Kevin Mountford explains further:

“With banks and building societies increasingly cross-selling products to boost their margins, there are now even more reasons to check the small print.”

“The number of options and breadth of linked savings accounts is greater than ever. These accounts tend to offer a market-leading proposition on the basis you take on another product with the same provider, which may not be such good value.”

Abbey for example are offering attractive deals on their Super ISA and Super Saver but only if customers invest the same amount of money into their Guaranteed Growth Plan investment product- in an attempt to up the number of people investing in their shares.

Similarly those interested in Lloyds TSB Fixed Rate Cash ISA must also open a Scottish Widows Investment ISA.

“Linked accounts can offer good value, but it is important that people look at the package as a whole rather than just being seduced by the lead offer,” advises Mountford.

“More than ever, consumers need to check the terms and conditions of any new deal as I expect more of this cross-selling to occur.”

The study also warns that cross-selling is emerging in the mortgage market too. For example homeowners wanting an RBS One Account mortgage must have their salary paid into a One Account current account, and HSBC will not lend to anyone who isn't an existing customer.