Feeling the financial wrath of Christmas and that early pay day? Changing your current account is a popular way to get some free cash, and the process is pretty quick and easy
Get up to £175 free cash for switching to a new bank account. Brits across the nation will be feeling the financial wrath of the festive period, as the slog to reach January’s payslip seems to take forever. With plunging temperatures and snowfall resulting in everyone cranking up the thermostat, many of use are worried more than ever about our finances.
Changing your current account might seem like a laborious process, but it’s actually super quick and is a great way to boost your bank balance amid the cost of living crisis. Of course, changing banks will cause your credit score to momentarily dip, so if you’re thinking of getting a mortgage in the next few months – it might be worth hitting pause on this little hack.
Martin Lewis’ Money Saving Expert team has compiled a list of three banks currently offering generous bonuses for switching. Here’s all the conditions you need to know, including how long it will actually take for the free cash to show up in your account.
1. First Direct
Owned by HSBC UK Bank Plc, First Direct are offering newbies a £175 ‘welcome bonus’, a £250 interest-free overdraft (subject to status), access to a 7.00 per cent AER/ gross Regular Saver account, and zero fees for using your card abroad. You’ll get the free cash within 45 days of opening your account using the Current Account Switch Service if you meet the following conditions:
- Set up two Direct Debits or standing orders
- Make five or more debit card payments
- Log on to digital banking
- Deposit £1,000
- Are a new customer to First Direct
“Sorry, we also can’t offer this to people who have opened an HSBC current account on or after 1 January 2018,” First Direct said. “Offer can be withdrawn at any time. Subject to status. UK residents only.”
2. Nationwide
Nationwide are also handing out £175 for free for those moving to its FlexDirect account. “On top of the £175 free cash, there’s 5% AER interest on current account balances up to £1,500 for a year (maxed out that’s £75), 1% cashback for 12 months up to £5/month, plus a 0% overdraft on up to £50,” explained MSE. “You also get access to a linked regular saver paying 6.5% variable interest for a year on up to £200/mth (maxed out, it’s £85/year interest).”
The bonus will be paid within 10 days of meeting all of the below criteria, including closing your non-Nationwide bank account and completing the switch within 28 days:
- Put at leat £1,000 into the account (not counting transfers or Visa credits)
- Pay for something once using your debit card. Transactions like gambling do not count.
- Have two Direct Debit
3. Santander
High-street bank Santander are offering a lower bonus of £150, but new customer switching to an Edge account will also have access to 1% cashback (up to £10 a month) on selected household bills when you pay by Direct Debit, as well as 1% cashback (up to £10 a month) at supermarkets and on travel costs when you use your debit card (exclusions apply). The £150 will be paid between 60 – 90 days after starting the switch.
Within 60 days of submitting your initial switch request, you’ll need to complete the full switch, set up two active Direct Debits and paid in £1,500,” Santander wrote. “This isn’t available if you’ve already had an incentive payment to switch to a Santander current account.”
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