Bank customers are being sent a share of £735 by high street banks Lloyds, Natwest, First Direct and Nationwide thanks to lucrative bank switching bonuses that are back on the market.
And individual customers could even grab most of that £735 because there’s nothing to stop you switching multiple times in order to rack up several bonuses.
Right now, the four banks will offer up to £200 each to lure customers to ditch their existing account and swap to them instead.
Bank customers are notoriously ‘sticky’, with the majority who were surveyed by Martin Lewis admitting that they hadn’t changed their bank in over 20 years.
That’s the reason bank switching bonuses are so lucrative; they have to be in order to lure customers away from bank accounts they have grown used to using for years.
Bank switching is easy and instant – once the switch is initiated, the bank switching service will take care of everything within 7 days and all your direct debits will be transferred over, too.
Right now, Lloyds Bank is offering £200 to switch, plus other perks including 12 months of Disney Plus and access to a linked regular saver paying 6.25 percent interest fixed for a year. The catch is you can’t switch from a Halifax, Bank of Scotland or Lloyds account.
Natwest is offering £200, as well as £3 a month cashback on top and a 6.17 percent interest linked regular saver. You can’t switch from RBS or Natwest though.
First Direct is offering £175 as well as a linked 7% regular saver, fee-free overseas spending and a £250 0 percent overdraft, but you can’t switch from HSBC.
The switch does require a credit check, which shouldn’t have a major impact but it’s worth considering waiting if you’re about to swap your mortgage or remortgage, to avoid the risk of disruption.
You can legally make multiple switches to claim more than one bonus, in fact some people have what is known as a ‘mule’ account which they just switch constantly in order to grab switching bonuses.
