The best offers for switching banks: get up to £200 'free' cash
Looking to move bank accounts? You can now bag as much as £200 for switching current accounts.
Not happy with your current account? Then it’s easy to switch bank accounts – and you can now bag as much as £200 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.
CASS said the high number of switches has been fuelled by cash bonus incentives, with banks offering new customers as much as £200 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
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.
Once you have a current account with NatWest you have access to their NatWest Digital Regular Saver, which offers a rate of 5.12% per month and has a maximum deposit of £150 per month.
TSB – £200 switching bonus
TSB is back with its switching offer with a £200 sweetener - but be warned, it comes with a number of terms and conditions before it will pay out. The deal is open to new customers opening either the fee-free spend & save account or the £3 a month fee-based spend & save plus account.
The bonus will be paid in instalments - you can earn £125 cashback when you switch your current account to TSB by 24 March. You have to set up at least two direct debits, used your debit card twice and log into online banking by 24 March. The remaining £75 is then paid if you keep your accounts open until 30 September 2023.
Plus, there’s a chance to boost the ‘free’ cash by taking advantage of a cashback offer, which lets you earn £5 a month for the first six months if you use your debit card 20 times each month.
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.
Halifax - £175 switching bonus
Customers will be eligible for the bonus if they switch to the Halifax Reward Current Account (which has a £3 monthly fee) or the Ultimate Reward Current Account (with a £17 monthly maintenance fee).
It's open to new customers and existing customers and has no minimum pay in. It also offers the chance to earn £5 or a benefit every calendar month, including a free Vue cinema ticket, three digital magazine subscriptions or two digital movie subscriptions.
The offer ends 3 April 2023.
Co-operative Bank – £125 switching bonus
The Co-operative Bank’s offer is a little different. You must already have an account with them, but can get a £125 bonus by referring a friend. Your friend will also get £125, as long as they:
- Do not have a Co-operative Bank current account
- Open a new Co-operative Bank Current Account or Everyday Extra account upon referral
- Complete a full switch from their main current account using the Current Account Switch Service
The Co-operative Bank’s current account is free to have, while the Everyday Extra costs £15 a month but comes with mobile phone insurance, worldwide travel insurance, and UK & European breakdown cover.
Your friend has to apply for an account, confirm a switch date, and fill out the referral form on the Co-operative Bank’s website. After all the terms and conditions of the offer have been met you will both get the bonus deposited into your account within 60 days of switch completion.
There’s no limit to how many times you can refer people, and you’ll get £125 per person referred.