Not happy with your current account? Then it’s easy to switch bank accounts – and you can now bag as much as £225 from one major bank when you move your current account.
Recent data from the Current Account Switch Service (CASS), shows a record number of current account holders moved banks in the last three months of 2022, lured by cash incentives.
It said it processed 376,107 switches between October and December - the highest quarterly total since the service launched in September 2013.
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CASS said the high number of switches has been fuelled by cash bonus incentives, with banks offering new customers as much as £225 to move to them.
With many stuck with languishing banks that they've been using for years, switching incentives are a good prompt to move to another to ensure it meets your requirements.
The Current Account Switch Service (CASS) makes it quick and painless to switch banks to move current accounts as the banks are required to do the legwork and complete the switch within seven working days.
All you do is open a new current account and request a switch via CASS. The service will then close your old account and move all your money, direct debits and standing orders to your new account within seven days.
Plus, for three years any money that is paid into your old bank account or tries to leave your old account will automatically be changed to your new account.
Still, it is important to remember that while these offers might look attractive you should only switch to an account that suits your needs as some of the accounts below also charge a monthly fee. You should always check the terms and conditions to make sure you qualify for the bonus before you start the switch process. We round up the deals available now - but sign up to our newsletter to stay up-to-date on deals.
The best offers for switching bank accounts
Halifax - Get up to £225
You can switch to the Halifax Reward current account or Ultimate Reward current account and get up to £225 free cash. You must use the Current Account Switch Service and close your current account with the bank you're moving from.
You will receive the £225 in two parts. The first £150 will arrive within 10 days of completing the switch, but to earn the extra £75 cashback, you must spend at least £750 each month for three months. Every month you qualify, you will receive £25 into your new Halifax account.
Halifax Reward current account
- £3 monthly fee to hold this account
- Have access to the Halifax Reward Bonus Saver or the ISA Reward Bonus Saver, both offering 4.2% AER
- Get up to 15% cashback with selected retailers.
- The account includes a free lifestyle benefit every month. Choose from one free Vue Cinema ticket, three digital magazines or £5 into your account. To qualify for the perk you must spend £500 on the debit card each month or keep more than £5,000 in your account. You must also pay in at least £1,500 per month.
Ultimate Reward Current Account
This account includes all of the perks you get with the Reward current account, plus extra benefits.
- £17 monthly fee to hold this account
- This account includes AA Breakdown Family Cover, Worldwide multi-trip family travel insurance, Mobile phone insurance and Home emergency cover.
- Better travel money rates
- Access to the Halifax Family Boost mortgages.
You won’t be eligible for this offer if you’ve taken advantage of a Halifax or Lloyds switching offer since April 2020.
NatWest and RBS - £200 switch bonus
Customers who switch to the NatWest Reward account or the RBS Reward Account can get £200 as long as they deposit £1,250 and log into its mobile banking app within 60 days of switching.
Once those conditions are met, the £200 will be paid into your account within seven days. Those who have previously received a switching incentive from NatWest group will not be eligible for the offer.
You must be a UK resident and over the age of 18 years and there is a £2 monthly fee to hold the reward account.
- Arranged overdraft: 39.49% EAR variable (Subject to availability)
- Unarranged overdraft: 39.49% EAR variable on a maximum of £19.40 per month (Subject to availability)
Once you have a current account with NatWest you have access to their NatWest Digital Regular Saver, which offers a rate of 6.17%, it has a maximum deposit of £150 per month and a maximum of £5,000 in the account. Balances of more than £5,000 receive the rate 0.65%.
Get up to £200 if you switch to TSB’s free Spend & Save account or its Spend & Save Plus account, which costs £3 a month.
The spend & Save account comes with the following:
- £5 cashback in the first six months when you make at least 20 transactions per month using your debit card.
- 2.52% AER interest on linked savings account. TSB allows you to create up to five different saving pots where you can stash away between £5,000 to £25,000 per pot, earning 2.25%.
- A £2,000 overdraft.
Spend & Save Plus account includes:
- £5 cashback every month when you make at least 20 transactions per month using your debit card.
- 2.52% AER interest on linked savings account. TSB allows you to create up to five different saving pots where you can stash away between £5,000 to £25,000 per pot, earning 2.52%.
- £2,000 overdraft with the first £100 interest-free, subject to approval.
TSB will pay the switch bonus in two parts.
To be eligible for £125, you must do the following by 31 August - and you will receive £125 by 30 September 2023:
To get the second payment of £75, you must between 1 September 2023 and 28 February 2024 do the following:
The payment will be made by 21 March 2024.
You're not eligible for this switching offer if you have received a benefit or incentive to switch from TSB since 1 October 2022.
First Direct - £175 switch bonus (plus 7% AER interest on savings).
If you’re new to First Direct then you can bag a £175 bonus when you use the bank’s switching service. New customers are those who have not previously held a first direct product. You also do not qualify if you opened a current account with its sister bank HSBC on or after 1 January 2020.
You’ll need to pay in at least £1,000 within three months of opening the account.
First Direct also comes with a headline 7% AER regular saver rate, where you can pay in between £25 and £300 each month for 12 months.
The bank also offers a £250 interest-free overdraft - 0% variable on the first £250, 39.9% EAR variable for anything above that.
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