Loyalty is a poor choice when it comes to personal finances. Current accounts are no exception.
Although many people will be happy to remain with the bank they trust for their entire life, it is possible to get incentives for opening new accounts. This can help boost your cash flow in times of low savings rates.
It is possible to switch You will enjoy a variety of financial benefits, including cash, better interest rates and cashback on your spending. There are also lifestyle benefits like free movie tickets or subscriptions to magazines.
Take advantage of the many bonuses offered by banks to switch accounts and get other perks. You could make decent returns if you manage your current accounts correctly.
The Current Account Switching Services figures show that over 7.6 Million people switched to their bank accounts since 2013.
It may sound great. It’s actually only 1.6 million more than those who changed energy suppliers in 2020.
While it is true that some people switch to their primary bank account only once or twice a month, this group of individuals are not common. But what about others who have multiple accounts and change all the time?
To become a serial-switcher, you will need to set up multiple current accounts in order to start with. You can spend a little time researching your current accounts for cash switching bonuses or any other perk.
Switching is easier than ever with CASS promising to move your account, and all direct debits, over within seven days.
Halifax, First Direct, NatWest, Nationwide and Santander are all offering new joiners cash incentives in excess of £100. First Direct’s £130 cash offer ends tonight at midnight
Assumed at face value, being serial switches could prove to be very efficient in making money work harder and landing you a few hundred more pounds per year through some cash switch bribes.
But it is not as easy as opening up several bank accounts, then switching them, and seeing the money start to roll in.
Incentives offered by banks to get you to open a bank account are cash.
Before an offer can be honored, there are often many hoops to jump through, including maintaining a minimum account balance, setting up direct deductions, and making monthly payments.
Although multiple accounts have obvious advantages, you will need to do some admin in order to avoid any unneeded account fees.
For example, Santander which is currently offering a £130 cashback offer requires you to complete the switch within 60 days of requesting the switch, set up two direct debits, deposit at least £1,000 into the account and log in to your account using either online or mobile banking.
Although serial switching may be a very profitable way to earn money, it is not possible for someone to do more than one time.
You cannot switch between accounts, and you will not be able to benefit more than once.
Many service providers have clauses that prevent repeat movers from switching – whether it is for a set period of time or for a lifetime.
Santander will state, for instance that you must not have been a participant in or received an incentive to switch accounts so as to be eligible to receive its cash bribe.
First Direct won’t offer an incentive for anyone who has had a First Direct account in the past or to someone who opened a current account at HSBC after January 2018.
This article will take a look at the major banks that offer cash incentives, and show you how to take advantage of them.
What are you waiting for? £125 cash bribe.
What are the bonus criteria? You need to switch your old account held elsewhere to a new Halifax Reward current account using the Current Account Switch Service by 14 December.
There is no minimum pay in but you’ll need to pay in £1,500 each month to avoid a £3 monthly account fee for the Reward account.
It’s hard to get the bonus.For those who switched to Halifax in April 2020 or are current Halifax customers, cashback will be given.
When will I be paid? The offer will be paid directly into your account within 3 working days of your switch completing.
Do I have to change my account immediately after the incentive arrives? Yes
You can keep the account open by getting an extra perk The choice of £5 a month paid into your account, two film rentals or three magazine rentals, or a free cinema ticket each month.
Are there conditions for staying? Pay in £1,500 a month. Spend £500 on your debit card each month or maintain a balance of £5,000 – otherwise you’ll be hit with a £3 monthly account fee.
What are you waiting for? £130 cash incentive (warning this offer ends at midnight tonight).
What are the bonus criteria? Need to switch and close previous current account using the current account switching service by midnight tonight and pay in at least £1,000 within three months of opening the account.
It’s hard to get the bonus. Any person who has ever had a First Direct account before or someone who has opened a current account with HSBC since January 2018.
As long as your account opened prior to January 2018, you are eligible for this offer.
When will I be paid?Within 28 days after all of the bonus criteria are fulfilled, the money will be yours.
Do I have to change my account immediately after the incentive arrives? Yes
You can keep the account open by getting an extra perk £250 interest-free overdraft
Are there conditions for staying?None
What are you waiting for? £130
What are the bonus criteria?You need to close your current account and switch. Within 60 days of requesting the switch, you will need to complete the switch, set up two direct debits, deposit at least £1,000 and log in to your account using either online or mobile banking.
It’s hard to get the bonus. If a customer has had a switching incentive from Santander in the past then they won’t be eligible for the current £130 switching offer.
When will I be paid?Santander will determine eligibility within 60 days. If the customer meets the criteria for eligibility, payment will be made in 30 days.
Do I have to change my account immediately after the incentive arrives? Yes
You can keep the account open by getting an extra perk Santander will pay between 1 and 3 per cent cashback on bills, although this is capped at £5 each month.
It also pays 0.3 per cent interest on balances up to £20,000 – although you would be better keeping your money in a top paying easy access savings deal than fully utilising this.
Are there conditions for staying? There is a £4 monthly fee. You must also pay in £500 a month and maintain two active direct debits.
What are you waiting for? £100 +£50
What are the bonus criteria? Need to switch and close previous current account.
Pay in at least £1,500 and log in to its mobile app or online banking by 13 January.
Once qualified for the £100 payment, you need to make 10 transactions on your account every month for nine months between January and September 2022.
It’s hard to get the bonus.You won’t qualify if you received a switch cash offer from NatWest, RBS, or Ulster accounts after October 2017.
When will I be paid? the first £100 will be paid by 11 February 2022. The extra £50 will be paid by 30 November 2022.
Do I have to change my account immediately after the incentive arrives? Yes
You can keep the account open by getting an extra perk £5 a month back in rewards plus 1 per cent back from certain partner retailers.
Are there conditions for staying? £2 monthly fee. Must set up two direct debits a month for £4 bonus, and then log into mobile banking once a month for £1 bonus.
What are you waiting for? £100 switching incentive and if you are a Nationwide member, you’ll get £125 for switching.
What are the bonus criteria? The incentive must be accessed through the Current Account Switch service. Also, at least 2 active Direct Debits need to be transferred.
It’s hard to get the bonus.Switching from a Nationwide Current Account is not possible.
When will I be paid? Within 10 days of the full switch completing.
Do I have to change my account immediately after the incentive arrives? Yes
You can keep the account open by getting an extra perk 2 per cent interest up to £1,500 although after the first year it’s cut to 0.25 per cent. You can also arrange an overdraft interest-free for the first twelve months.
Are there conditions for staying? Pay in £1,000 a month.
Offers valid as of 22 November 2021.
THIS IS MONEY’S FIVE BEST CURRENT ACCOUNTS
Santander’s Account 123 LiteWill pay Cashback up to 3% Pay your household bills. There is a £2 monthly fee and you must log in to mobile or online banking regularly, deposit £500 per month and hold two direct debits to qualify.
Virgin MoneyCurrent account offers £150 Virgin Experience Days gift card when you switch and pays 2.02 per cent monthly interest on up to £1,000. To get the bonus, £1,000 must be paid into a linked easy-access account and 2 direct debits transferred over.
Club Lloyds’s Current account Pays 0.6% interest on balances of up to £3,999, while those with sums of between £4,000 and £5,000 will earn 1.5% on that balance. There is no cost if you pay £1,500 each month, otherwise a £3 fee applies. You must have two direct debits.
NatWestNewcomers will be given the opportunity to succeed £100 when they switch their account and a further £50 if they stay for 9 months. Customers must pay in at least £1,500 in total and log in to its mobile app or online banking by 13 January 2022 for first £100
Nationwide FlexDirectWith account, 2% interest on up to £1,500 – the highest interest rate on any current account – if you pay in at least £1,000 each month, plus a fee-free overdraft. These perks are good for one year.
