Finance experts are urging UK banking customers to act swiftly to secure payments of up to £200 by moving their current account to a rival provider. This simple process, facilitated by a guaranteed switching service, is being hailed as one of the easiest legal ways to earn extra money without taking on debt.
Which Banks Are Offering Cash to Switch?
Several major high street banks are currently running lucrative incentives to attract new customers. Lloyds, Santander, and Barclays are offering £200 to those who switch, while other prominent names like Nationwide, NatWest, and First Direct are providing £175. These offers are part of competitive switching deals, where individuals close an old account and open a new one with a different bank.
It is crucial for potential switchers to scrutinise the details of each account, as some may carry monthly fees or offer additional bonus perks alongside the cash incentive. Commentators note that these deals can be time-sensitive, with some potentially ending soon, prompting a call for households to review their options promptly.
How Does the Switching Process Work?
The mechanism behind changing banks has been designed to be largely hassle-free. The Current Account Switch Service handles the bulk of the administrative work. It automatically transfers direct debits and standing orders, ensures salaries are redirected to the new account, and closes the old one. Most management can be done through a banking app, putting customers in control.
Aaron Peake, a personal finance expert at CredAbility, explained the appeal: "It’s one of the easiest ways to make money legally. You’re not borrowing or buying anything you don’t need. Some people even earn thousands by switching repeatedly."
Important Rules and Requirements
While straightforward, the offers do come with specific conditions that must be met to qualify for the cash bonus. These typically include:
- Making a one-off minimum deposit into the new account.
- Setting up a minimum number of direct debits to transfer.
- Paying in a minimum amount each month, which may require temporarily moving money between accounts.
Despite these requirements, the process is considered straightforward by financial advisors. The key takeaway for consumers is that with minimal effort and no financial risk, switching bank accounts remains a highly effective method for boosting household budgets.
