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The bank switching war has finally been reignited, with TSB and Co-operative Bank launching new deals this week.
The First Direct free £175 for switchers* offer had been the only deal left on the market, with several banks pulling their switching incentives towards the end of last year. But now three banks are paying cash for your custom - and you can earn up to £185.
If you are happy to switch your current account, then this is a great way to bag some easy cash to start the year - you’ll just have to close your existing current account and use the official bank switching service to get the bonus.
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Both TSB and Co-operative Bank incentivised new customers with free cash last year too, but TSB pulled its offer after only four weeks of launching. So these deals could be short-lived.
Find out how the TSB and Co-operative bank switching deals work, and if you’re eligible.
TSB - free £125 + £60 cashback
New customers who switch to a TSB Spend & Save current account* can get £125 free cash, plus £10 a month cashback for six months (so a total of £185). Here’s how.
To get the £125 switching cash, you need to:
- Apply for the TSB Spend & Save* account and start a full switch using the Current Account Switching Service before TSB withdraws the offer (it has not given an end date yet).
- Make at least one payment using your new TSB debit card by 15 March
- Log in to the TSB mobile banking app at least once by 15 March
- Have at least two active direct debits on your new TSB account by 15 March
Once you have done this, TSB will pay £125 into your Spend & Save account between 20 March 2024 and 29 March 2024.
To earn £60 cashback, you need to:
- Make at least 20 debit card payments each month for six months
The Spend & Save account also gives access to a linked savings account paying 2.92% AER interest - though you can earn more elsewhere. See our round-up of top savings accounts.
You are not eligible for this switching deal if you have taken advantage of a TSB switching bonus since 1 October 2022.
Co-operative Bank - free £150
New customers can earn £150 by switching to a Co-operative Bank current account, with the bonus broken up into two parts.
To get the £100 switching bonus, you need to:
- Open a Co-op current account and complete the switch using the Current Account Switching Service.
Then within 30 days of the switch completing:
- Deposit at least £1,000
- Set up at least two direct debits or standing orders
- Make five debit card transactions
- Register for online banking services or mobile app
The £100 will be paid into your account within 40 days of the switch being complete.
To get the £50 savings bonus, you need to:
- Met all of the criteria for the £100 bonus
- Open either Co-op’s Base Rate Tracker or Online Saver savings account (if you don’t have one already).
- Have at least £25 in your eligible savings account 45 days after your current account switch completes.
The £50 will then be paid to you within 60 days of completing the switch.
To be eligible for this deal, you can’t have received a bank switching offer from Co-operative Bank since 1 November 2022.
Other bank switching deals
Currently, there is only one other switching deal on the market offered by First Direct. You can get up to £175 free cash, plus access to its 7% AER regular saver.
See our bank switching guide for all the details on how to make the switch.
Vaishali graduated in journalism from Leeds University and she has experience working with the likes of Leicester Mercury, Inews and The Week. She also comes from a marketing background, where she has done copywriting and content creation for businesses.
Currently writing about all things personal finance, Vaishali is passionate about finding the best deals around, whether it's the best credit cards or the cheapest personal loans, as well as sharing top money hacks to help people save and better manage their money.
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