Cater Allen Bank has set up a new interest band paying 6 per cent for
balances above £1m on its pension fund high-interest cheque account.
The move follows complaints from pension fund trustees who felt they were
not getting good enough returns from high-street banks.
The Abbey National-owned specialist pension banking service says it
designed the account with the help of professional pensioneer trustees.
The account targets professionals who manage pension fund cash balances
and are seeking high interest for clients' uninvested exempt cash.
The account also features simplified account opening and summary reports
showing balances on all accounts.