MSE News

Six banks will pay you up to £130 for free to switch to 'em - grab cash from one or maybe all

It's been over two years, and a pandemic, since we last had so many top banks throwing cash out to vacuum in new customers. This month alone, four new deals have launched. So if you're not deliriously happy with your existing bank account, carpe payem (seize the payment) and do it now while the choice is wider than a whale's yawn.

For those slightly switch-tentative, perhaps remembering someone's past horror story, do check when that was. Most moans are over eight years old, before the new easier 'seven-day switch' system came into play.

Now bank-switching services do it for you - closing the old account and auto-moving all direct debits, standing orders, and payments.

This info was first written and published by Martin in our weekly email on Wednesday 15 September 2021. The team updated it on Tuesday 21 Sep 2021.

The SIX banks that pay you £100+ to switch

To get the cash you must usually be a new customer, pass a not-too-harsh credit check, and use the bank's official switching service. All accounts are available both as single and joint accounts.

Overdrawn? Nationwide isn't your only option

With overdraft rates now typically 39.9% EAR they should be considered a danger debt, and clearing them is a priority, often even over credit cards. Nationwide's free £100 and year's 0% are useful, but there are other options too such as an ongoing £250 0% overdraft. Full info and help in 10 ways to cut your overdraft.


Bank switching FAQ

Full details on all of the accounts above and more are in Best bank accounts, but to answer some of the key questions...

  • Can I cheat the minimum pay-in if I don't earn enough? Usually, yes. Say the pay-in is £1,000 but you only have £500 coming in, pay in the £500, withdraw either to an external bank account or as cash, then pay it back in, and BINGO. Worth noting if you earn a long way below the minimum pay-in, some banks may reject your application anyway.
  • What if something goes wrong with the switch? If you're hit with charges due to a switch error that leads to a missed payment, these will be refunded by the new bank.
  •  I don't qualify for one of these accounts - what can I do? Sadly, over a million people don't have a bank account. Yet if you've ID, you can get an account where there's no overdraft, called a basic bank account.


Related important bank account info

Reclaim £1,000s in packaged bank account fees for free. If you pay or have ever paid monthly fees for your bank account, you may be able to reclaim £100s or £1,000s, as many of these accounts were mis-sold.

Get up to £500 of insurance for £150 via your bank. The right packaged bank account can get you £100s of travel, mobile & breakdown insurance for a far smaller monthly fee.

Reclaim £100s in bank charges for free. Excess bank charges are now less of an issue as many banks no longer charge fees for going over your overdraft limit, yet many people can still reclaim £100s in past charges.


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