Major UK banks are now actively paying customers to complete a straightforward task: switching their current account. This trend has gained momentum following TSB's launch of a compelling £200 incentive for new customers.
TSB's £200 Switch Offer Takes the Lead
TSB has introduced a brand-new current account switch offer that promises customers up to £200 extra. The offer is available on both their free Spend & Save account and the Spend & Save Plus account, which carries a £3 monthly fee. The paid account includes benefits such as an interest-free overdraft, fee-free foreign spending, and potential monthly cashback of up to £5.
To qualify for the initial £150, customers must complete the switch by 20th March 2026, deposit a minimum of £1,000, make five debit card purchases, and log into the TSB mobile app. A further £50 can be earned by depositing another £1,000 in April.
Loyalty Doesn't Pay, But Moving Your Money Does
Alastair Douglas, CEO of TotallyMoney, has praised the move. "When it comes to banks, it’s important to remember that loyalty doesn’t pay, but moving your money can," he stated. He confirmed that First Direct, HSBC, Lloyds, Nationwide, and Santander all have similar incentives to encourage account switching.
The process is designed to be seamless under the Current Account Switch Guarantee, which ensures all regular payments, income, and account balances are automatically transferred within seven working days.
Beyond Cash: Gaining Control of Your Financial Data
Mr Douglas highlighted that initiatives like these are part of a broader shift towards empowering consumers. His company, TotallyMoney, is helping six million customers take control of their open banking and credit report data.
The benefits extend beyond instant cash. By using open banking data, lenders can make more informed decisions, potentially leading to better loan rates for customers. Furthermore, 60% of users with a poor credit score see an improvement within six months of actively engaging with their financial data through such platforms.
With multiple high-street names now offering cash to switch, the message to UK consumers is clear: reviewing your bank account could be a quick and profitable exercise.
