Santander confirms 25 per cent fees increase for this account

Santander is increasing the fees that apply to one of its accounts. New charges that apply to the Santander Edge credit card will mean an increase in the fees from £3 a month to £4 a month.

The group has also made the cashback offer less generous, with 1 percent cashback for the first year, up to £10 a month on all purchases, scrapping the 2 percent for the first year and 1 percent on all purchases after, up to a limit of £15 a month.

Fortunately, existing account holders do not need to worry about the new rules, as they will only apply to new customers.

Existing customers will also continue to benefit from no foreign exchange fees when making purchases overseas, and access to Santander Boosts.

Santander has opened up the eligibility for the Santander Edge credit card, so you no longer need to have a Santander current account to get one.

A spokesperson said: "We regularly review our product offering to reflect wider market conditions, and as part of our refresh of our Santander Edge credit card, we will be giving all eligible customers the opportunity to earn up to £120 cashback per year, without having to be an existing Santander current account holder.

"There is no change for existing Santander Edge credit card customers, who will continue to receive 2% cashback on all purchases for the first year and 1% cashback on all purchases after the first year, for a £3 monthly fee."

You can apply for a Santander Edge credit card online, through the Santander mobile app or in branch. To qualify, you have to be aged 18 or over, have an income above £10,500 a year and be a permanent UK resident.

Gerry Davies, director of Payments and Cards at Santander UK, said: "We're making it even easier for people to get rewarded for their everyday spending while benefitting from the enhanced security and control that a credit card offers.

"Whether you're jetting off on your holidays and want a fee-free way to spend while you're abroad or looking to make your money go even further to cover those last-minute summer purchases - pay smarter with the Edge credit card and make your money work harder for you."

You can have up to three additional cardholders on your credit card, which must be close family members who live at the same address as you.

If you make any cash withdrawals, there will be a cash transaction fee of 3 percent, which will be a minimum of £3. You will be charged 29.9 percent interest on the cash you take out from the day it is withdrawn.

Another bank was recently asked about its fees. A Lloyds Bank customer asked the group about the fees that apply when making transactions abroad.

Lloyds sent the customer a link to their website with information about its charges and confirmed: "You'll be charged 2.95 percent of the pound sterling amount listed on your statement."

The guidance on the group's website explains: "You'll usually have to pay fees if you use your credit card abroad. Take a little time to check the fees which apply to your credit card account, just so you know what to expect. Also check your card's expiry dates before you travel."