HOUSEHOLDS could get a free cash payout worth up to £200 just in time for Christmas.
Four major banks are now offering cash incentives for new customers and you could land a boost in time for the festive period.
Households could get free cash for Christmas by switching bank accounts[/caption]
Switching bank accounts can be an easy way to give your balance a quick boost.
Cash incentives are regularly launched by banks to entice new customers, but do be sure to check the small print.
Most of these offers have certain criteria that you need to meet in order for you to get the cash.
For example, some accounts require you to pay a certain amount each month to maintain them.
While others might charge you for setting up an overdraft.
Be sure to check that the account you chose is right for you in the long term before switching.
Once you’ve decided you’ll need to make the switch using the current account switching service (CASS) which takes just seven days, and the new bank handles it for you.
We explain further down how the CASS works, but first here’s the full list of the offers available now that could tempt you to move.
Lloyds Bank – £200
If you switch your current account to Lloyds you could get £200.
Both new and existing customers can take advantage of the free cash offer available for those who switch between now and December 10.
Those who switch to the Club Lloyds account can expect the £200 to be paid within ten days of completing the switch.
It is important to be aware that the account comes with a £3 a month fee unless you pay in £2,000 a month.
To finalise the switch, customers can either scan the QR code available on the bank’s website or use the mobile app.
Once completed, Club Lloyds customers will be able to select from a range of perks, including a 12-month Disney+ subscription, a choice of Vue or Odeon cinema tickets, a magazine subscription, or a Coffee Club and Gourmet Society membership.
But remember you pay a fee for the extras, so work out if it’s worth paying the fee to get these.
New customers can get the bonus, and so can existing Lloyds customers if they don’t already have a Club Lloyds account and open a new one.
Those who already received a switch bonus since April 2020 from Lloyds, Halifax or Bank of Scotland (all part of the same group) won’t be eligible.
The same bonus is also available when switching to the Club Lloyds Platinum Account and Club Lloyds Silver Account but these comes with a £22.50 and £11.50 a month fee, respectively, on top of the £3.
How do I switch bank accounts?
SWITCHING bank accounts is a simple process and can usually be done through the Current Account Switch Service (CASS).
Dozens of high street banks and building societies are signed up – there’s a full list on CASS’ website.
Under the switching service, swapping banks should take seven working days.
You don’t have to remember to move direct debits across when moving, as this is done for you.
All you have to do is apply for the new account you want, and the new bank will tell your existing one you’re moving.
There are a few things you can do before switching though, including choosing your switch date and transferring any old bank statements to your new account.
You should get in touch with your existing bank for any old statements.
When switching current accounts, consider what other perks might come with joining a specific bank or building society.
Some banks offer 0% overdrafts up to a certain limit, and others might offer better rates on savings accounts.
And some banks offer free travel or mobile phone insurance with their current accounts – but these accounts might come with a monthly fee.
First Direct – £175
First Direct has relaunched its popular cash switch incentive for anyone who opens a 1st Account.
Customers can receive a payment of up to £175 by using the CASS.
Users have to switch at least two direct debits or standing orders within 30 days of opening the account to qualify for the cash.
Switchers also need to add at least £1,000 into the account, register and log on to internet banking and use the debit card at least five times within 30 days of opening the account.
Customers who meet the criteria should expect the free bonus in their accounts by the 20th of the following month.
The bank revealed that new customers switching to their current account to first direct can expect several extra perks, including a £250 interest-free overdraft.
You won’t qualify for the switching incentive if you have previously held a First Direct product or opened an HSBC current account on or after January 1, 2018.
Customers moving across to the bank will also get access to a regular savings account paying 7% interest, one of the best deals around, as well as a 0% overdraft on the first £250.
Nationwide – £175
Nationwide Building Society has launched a new offer of £175 to switch to its FlexDirect, FlexPlus or FlexAccount current accounts.
The free-cash perk is a joint-market leading sum with First Direct.
The FlexDirect account gives the holder 5% credit interest on balances up to £1,500 for the first 12 months.
This account also offers an interest-free overdraft for the first 12 months.
Those who open a new FlexDirect account will still get the 5% credit interest rate, and will also receive 1% cashback for the first 12 months on debit card purchases, capped at £5 per month.
For new FlexDirect account openings, the previous interest-free overdraft offer will be withdrawn.
But if you are an existing customer who is benefiting from an interest-free overdraft offer then don’t worry, this will continue until the end of their 12-month period.
You also can’t have switched into a Nationwide account, or have received switch cash from Nationwide, since August 18, 2021.
Co-op Bank
The Co-operative Bank has announced eligible customers could receive up to £150.
The first £75 is given when a customer completes a switch to the bank.
Then, the bank is offering three monthly instalments of £25 – another £75 – to make up the £150.
Both new and existing customers can apply to switch to a current account to make themselves eligible for the payment.
Customers must apply for a Standard Current Account or Everyday Extra account.
To be eligible, customers must not have benefited from a switch incentive at The Co-operative Bank since 1 November 2022.
And to receive the first £75, customers need to follow a series of rules.
They are:
- Deposit a minimum of £1,000 into their new account (this includes balances transferred as part of the switch).
- Have 2 active Direct Debits.
- Make a minimum of 10 debit card or digital wallet transactions (pending payments will not count toward fulfilment of this criteria).
- Register for our online and/or mobile banking service.
- Set up the debit card in a digital wallet (Apple Pay, Samsung Wallet or Google Pay).
That leaves the three £25 instalments – and there are some rules to claim them too.
Customers need to deposit at least £1,000 into their account, have two direct debits and make a minimum of 10 debit card transactions.
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