Intelligent Finance, the telenet banking arm of the Halifax, estimates that over £500 for each household in the UK will be lost unless consumers switch to more competitive deals.
Borrowers paying interest on standard variable rate mortgages could account for around £2.59 billion in excess payments, unless they remortgage, although remortgaging levels increased significantly last year.
Jim Spowart, chief executive at Intelligent Finance, said: "When it comes to your finances, doing nothing can be an expensive business. Many banks are coining it in at the expense of customers who either don’t have the knowledge or don’t think it is worth bothering to change."
