It seems banks are shifting their efforts towards paid for packaged accounts. New figures from research firm Defaqto reveal the number of packaged current accounts available now exceeds the number of standard current accounts for the first time.

While it's common practice for banks in most other countries to charge a monthly fee in exchange for banking services, the UK is quite unique in offering free current accounts to customers who remain in credit.

However, in past four years the number of packages accounts on offer has risen 94%, from a total of 33 in June 2006 to 64 in June 2010. During this period the average monthly fee has increased by 42%, from £10.51 in June 2006 to £14.89 in June 2010.

Currently, the five most frequently offered benefits on packaged accounts include:

Commission free foreign currency and travellers’ cheques which is offered by 58 of the 64 packaged accounts currently on offer (94%), travel insurance which is offered by 52 accounts (81%), 51 (80%) provide preferential deals for savings accounts, 46 (72%) give mobile phone insurance and 38 (59%) provide motor breakdown assistance.

David Black, Banking Specialist at Defaqto said: “Consumers now have the widest choice of current accounts to select from. We’ve seen a big increase in the number of packaged current accounts available with many banks now offering a range of different account options with the monthly fee charged being based upon the level of benefits and incentives offered. Banks are softening people up with a range of added-value accounts. I reckon free banking could disappear within the next two to three years."

The big question is whether these accounts offer value for money. For some people, packaged accounts are definitely worth the monthly fee but for others they are not necessarily going to be worth the expense.

Consumer watchdog Which? recently named package accounts in its top 10 most useless products, claiming consumers can waste up to £300 a year if they don't use the benefits and extras.

Michelle Slade, from Moneyfacts, says "Unless you are going to fully utilise the benefits with a packaged account, you'll be better off opting for a standard account".

Martin Lewis at MoneySavingExpert.com is more forthright in his view and reckons bank accounts where you pay a fee are usually "an expensive pile of pants". He suggests people focus on the annual cost, rather than the monthly fee, and depending on the account this could be over £200 per year. He asks people to think hard about whether they use the benefits. Consider whether it be cheaper to buy them separately? For example, annual worldwide travel insurance with winter sports cover can be found online for under £40 a year.

Your own situation and banking requirements will dictate whether or not packaged accounts are suitable for you. For instance if you are looking to take out a mortgage, some banks offer slightly better rates to their package account customers. NatWest is currently offering small reductions on its new fixed rate mortgages. Some accounts offer travel insurance with no maximum age restriction, or a higher-than-usual age limit, which can make them attractive products for older people who might struggle to get cover elsewhere.