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TSB ups 'refer a friend' bank switching offer to £100

TSB ups 'refer a friend' bank switching offer to £100

TSB has increased the cash reward it pays customers for referring a friend who switches to its Classic or Classic Plus account to £100 – making it the joint-biggest 'refer a friend' bank-switch incentive out there.

If you're a TSB current account customer you can refer up to five friends per tax year. You'll earn £100 each time your friend completes a switch, meaning you can earn £500 in total – and each friend you refer will also receive £100.

But if you want to make the most of the £100 offer, you'll have to go quick, as it'll be withdrawn completely on Friday 28 February. TSB has told us that after that date it won't offer you any cash to refer a friend.

See our Best Bank Accounts guide for more switching offers, plus for more on how this works, see MSE Naomi's blog How to make cash from your bank account by referring friends.

What do you need to do to get the cash?

Existing customers should visit the TSB website to recommend the Classic or Classic Plus account to a friend. You need to put in your details – you'll then receive an email from TSB with a link you can share with your friend.

If your friend signs up with your link, then 28 days after their switch has completed you'll both receive £100, so long as two active direct debits have been set up and £500 paid into the account. Applications must be submitted by Friday 28 February to get the £100.

How does this compare with other offers?

The increase in the referral bonus means TSB now offers the same as the previous top referral bonus scheme, from Nationwide.

Nationwide customers with a current account, savings account or mortgage can earn £100 for themselves and £100 for their friend by referring them to switch to a Nationwide FlexAccount, FlexDirect or FlexPlus account. Your friend will need to transfer at least two direct debits as part of the switch. As with TSB, Nationwide lets you earn up to £500 per tax year referring friends. 

Remember though that while free cash is always tempting, switching bonuses (whether individual or via refer-a-friend) shouldn't be the only consideration when opening a new bank account.

Depending on your friend's situation, they might want an account that offers cashback on bills, or has good rates for people in their overdraft. So it's worth them doing some research into what the account offers before you make your referral, and checking whether there are other accounts out there that meet their needs better. See our Best Bank Accounts guide for full help and our current top picks.