Paying a monthly fee for your current account might seem counterintuitive, but packaged accounts like the Santander Edge Explorer promise significant value in return. Bundling insurance, cashback, and a top-tier savings rate, it aims to be an all-in-one financial hub. But does the maths add up for the average user? We dive deep to see if this account is a savvy financial move or an unnecessary expense.
The Bottom Line: Cost vs. Benefits
The Santander Edge Explorer comes with a monthly fee of £17, which totals £204 per year. This positions it as a mid-range option in the packaged account market. The key to justifying this cost is ensuring the bundled perks are not just attractive, but actually useful for your lifestyle.
Unpacking the Core Perks: What Do You Really Get?
1. The Insurance Trio: Travel, Phone, and Breakdown
This is the traditional heart of any packaged account, and Santander’s offering is robust.
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Worldwide Family Travel Insurance: The policy covers you, your partner, and children under 23 in full-time education. Crucially, cover extends until age 75, which is a significant benefit for older travellers. It even includes winter sports, a common exclusion on basic policies. Always check the policy wording for excesses and specific exclusions.
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Comprehensive Mobile Phone Cover: A standout feature is that it covers the whole family for loss, theft, and accidental damage, not just the account holder.
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UK & European Breakdown Cover: You’re covered as a driver or a passenger, and a joint account extends cover to both partners. This is comparable to services from specialists like the RAC or AA, but baked into your banking.
2. The Cashback Duo: Bills and Debit Card Spending
This is where the “Edge” brand shines, but with important nuances.
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1% Cashback on Bills: You earn 1% back on essential household bills (capped at £10/month). This includes council tax, utilities, and broadband. For most, this will provide a steady, modest return.
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1% Cashback on Debit Card Spending: This is the Explorer’s exclusive perk. You get 1% back on UK spending at supermarkets, on public transport, and at petrol stations (capped at £10/month). To max this out, you’d need to spend £1,000 monthly in these categories. For a commuting family with a large grocery shop, it’s achievable; for others, it may be less so. A realistic return might be £5-£7 per month.
3. The Standout Savings Rate
Perhaps the most compelling reason to consider this account is the linked Santander Edge Saver. This account pays an impressive 6% AER (variable) on balances up to £4,000 for the first 12 months. After a year, a 2.5% bonus drops off, reducing the rate.
As noted by leading financial comparison site MoneySavingExpert.com, savvy savers can circumvent this by closing the account after a year and opening a new one to requalify for the bonus, making it a consistently competitive home for your emergency fund.
4. Additional Value-Adds
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Remote GP Service: A valuable modern perk, offering quick digital access to a doctor for your family.
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Fee-Free Spending Abroad: Like many premium accounts, it offers fee-free overseas transactions and cash withdrawals. However, for frequent travellers, a dedicated travel credit card like those featured on Which? might offer better purchase protection and rewards.
The Verdict: Is the Santander Edge Explorer Worth It?
The Santander Edge Explorer is a strong contender, but its value is highly dependent on your personal circumstances.
It’s likely worth the £17/month fee if you:
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Can fully utilise the 6% interest on £4,000 of savings (effectively earning £240/year before tax, offsetting the fee).
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Were already planning to purchase the three insurance policies separately.
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Are a commuter with significant monthly spending on groceries, fuel, and travel.
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Value the convenience of having these services consolidated into one monthly payment.
You might be better off with an alternative if you:
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Don’t have £4,000 to save in the linked account.
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Already have cover through work benefits (e.g., corporate health insurance often includes travel cover).
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Are a infrequent traveller or don’t own a car.
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Could find cheaper, more tailored insurance policies by shopping around on comparison sites like Comparethemarket.com.
Final Thought: The Santander Edge Explorer is more than just a current account; it’s a financial package. Crunch the numbers based on your own spending and needs. For the right person, it’s a powerful package that can simplify finances and deliver tangible value. For others, a standard free current account and separately sourced insurance may be the more cost-effective route.
