Halifax axes £5 monthly cash and more on 'Reward' current account – should you ditch it?

The Halifax Reward account previously let you choose a specific monthly extra – £5 cash, a cinema ticket or digital magazines – that you could then earn for the next 12 months by jumping through certain hoops.

But Halifax says most Reward account holders didn't select their rewards, and of those that did, only about one in three qualified for them – so it's now shaking up the offer. Here's what's changing:

Separately, if you have a Halifax savings account, it's closing its 'Savers Prize Draw' from September, which offered customers in England, Scotland and Wales the chance to win £100,000 every month.

What happens to my existing rewards?

These so-called 'Reward Extras' (£5 cash, cinema tickets or digital magazines) last for 12 months from the time you selected them. If you added one to your account before Tuesday 17 June, when Halifax pulled them, here's what you need to know:

• Until 30 September 2025, you'll get your monthly reward as normal, provided you meet the usual criteria. So you'll need to either spend £500+ on your debit card or keep £5,000+ in the account every day (depending on what you chose when setting up the reward).

• After that, if you're still due any rewards, you'll get them ALL automatically by the end of October. You won't have to meet any of the usual monthly criteria; all you need to do is keep your account open until you get what you're due. Here's how it will work:
  

  - If you were signed up for the £5 cash: This will be paid to you in one chunk. For example, if you selected this reward in December 2024, you'll be paid £15 – £5 a month for October, November and December 2025.
  
  - If you were signed up for the cinema tickets: These will be sent to you via email and you'll have 12 months to use them.
  
  - If you were signed up for the digital magazines: You'll get a cash payment of £5 for each of the remaining months instead.

Should everyone ditch the Halifax Reward account?

If you're due any monthly rewards, you should keep the account open until at least the end of October, when any remaining rewards will be paid out.

But after that, and for everyone else, it's hard to see any killer benefits that justify sticking with the account – especially if you won't meet the minimum pay-in of £1,500 a month and end up paying the £3 monthly fee. As shown in the table above, the new benefits can be beaten elsewhere.

For a full round-up, including up to £200 free cash for switching and 2% cashback on bills, see our Best bank accounts guide.