Banks and building societies often run promotions to encourage people to switch their bank accounts over for cash and other incentives. Money Saving Expert Martin Lewis has listed four banks currently offering up to £200 to switch, in his latest newsletter.
Switching banks is relatively simple and is a way to get a quick cash injection. The process takes around seven working days to complete and when done, all payments, direct debits and standing orders are moved over to your new bank and your old account is automatically closed.
Martin Lewis said: “If you’re unhappy with your bank, switching to a new one is quick and easy these days – and now’s a great time to do it as banks are currently offering up to £200 free cash for your custom. Yet you don’t always need to switch to get a good deal – other accounts give cashback on spending or bills, or pay decent savings interest.
“To qualify for switch bonuses you must close and switch your old account using the Current Account Switch Service – you do this through the new bank you’re switching to. The service automatically moves across all payments, direct debits and standing orders to the new account.”
Banks offering switching deals
A free £175 is available for the Halifax Reward account and each month you can choose between £5 cash, a Vue cinema ticket, two Rakuten TV movie rentals, or three digital magazines. To get the reward, each month you need to pay in £1,500+, stay in credit, and either spend £500+ using the debit card or keep £5,000+ in the account at all times.
The deadline for the switch to start is April 3. It will take three days before your £175 appears if you meet the criteria. Find more details on the Halifax website.
According to Money Saving Expert, First Direct gives a free £175, 7% regular saver, plus a £250 0% overdraft. In addition to the free cash, people switching to First Direct’s 1st Account get access to a 7% linked regular saver you can put up to £300 a month in.
In order to qualify for the cash you must open the account, switch and pay in £1,000+ within three months, the free cash is then paid within 28 days. Find more details on different accounts on the First Direct website.
Natwest and Royal Bank of Scotland
NatWest has launched a £200 bank switch incentive, with people also able to get £36 a year cashback and a 6% regular saver. To qualify for the incentive you must open either a NatWest or Royal Bank of Scotland account, pay in £1,250+ once and log in to the app within 60 days from the date you opened the account.