A Packaged Band Account is a current account that offers you perks such as insurance, breakdown cover, cashback on certain bills, free overdrafts, store discounts or exclusive interest rates paid on your savings. PBA’s will usually offer at least one insurance product as well as a range of non-insurance goods or services.
Often you will have to pay a monthly or annual fee for the account (or must deposit a minimum sum each month), but if you use all the benefits a packaged account can more than pay for itself. A PBA can also be the cheapest way to get many types of insurance.
However, if you don’t need insurance then packaged accounts simple aren’t right for you. There are other and potentially cheaper alternatives available before you even consider a PBA.
Ultimately, you may not have wanted a PBA but were pushed into having one by an eager sales person or you don’t effectively use all the benefits, so could be losing money.