Several banks are offering generous cash hand-outs if you switch your current account to them, so if you aren’t happy with your existing account, now’s the perfect time to move.
However, don’t assume any cashback offered will land in your account immediately after making the switch. You may have to wait up to 70 days for it to appear, depending on which provider you go for.
Remember too that in all cases, you can only receive one cash incentive per bank, regardless of whether you open an account in joint or single names.
Here’s our round up of the accounts that pay cashback when you switch to them, what you need to do to qualify, and when you’ll receive the money.
First Direct
What’s on offer: First Direct will pay you £100 when you switch your current account to its 1st Account, provided you haven’t previously held an account with the bank.
If you’re not happy after six months, First Direct will help you to switch to a different bank and pay you another £100.
How to qualify: You must open a 1st Account using the Current Account Switch Service and pay in at least £1,000 within the first three months.
Paying in at least £1,000 a month or having another First Direct product, such as a mortgage, will also ensure you avoid the account’s £10 monthly fee.
When you’ll receive the cashback: The £100 cashback will be paid into your account within 28 days of meeting the above criteria.
If you want to move your account to another provider after being with First Direct for six months or more (but less than 12 months), you’ll get the additional £100 cashback within 28 days, so long as you have paid in at least £1,000 a month for six months. You’ll need to contact the bank to claim your money before you close your account.
M&S Bank
What’s on offer: You’ll get a £100 M&S gift card if you switch your main current account to M&S Bank, and up to a further £120 on your card when you stay. The card can be used at M&S stores or on the M&S website.
How to qualify: Once you’ve opened the M&S current account or M&S Premium current account, you must switch to the bank within three months using the Current Account Switch Service, and transfer a minimum of two active direct debits.
Your card will then be topped up with £10 each month for 12 months, so long as you pay in at least £1,000 a month and at least two direct debits on your account remain active.
When you’ll get your reward: Your £100 gift card will be posted to you within one calendar month of completing the switch. Each month you qualify for the extra £10, your gift card will topped up by the 15th of the following month.
Halifax
What’s on offer: The Halifax Reward Current Account pays £100 for switching, plus a £5 monthly reward. However, this is reducing to £3 a month from February 2017.
How to qualify: You must use the Current Account Switch Service to move all of your active debits and credits to Halifax and close your account elsewhere.
If you’ve had cashback for switching to a Halifax current account since January 2012, you won’t qualify for the £100 cashback offer.
You’ll qualify for the monthly reward each month you pay in £750 or more, pay out two different direct debits and remain in credit.
When you’ll receive the cashback: The £100 cashback will be paid directly into your account within three working days after your switch has completed. The payment will appear as a cash credit.
You’ll receive the £5 monthly reward (£3 from February) each month you qualify.
Finally…
Don’t choose your current account based solely on the amount of cash you’ll receive for making the switch. Always check exactly what else each account offers, whether that’s interest for staying in credit or a competitive overdraft rate, before making your decision.
