Banks that will pay you big money to switch to them
Banks are upping the ante in the fight to get more current account customers, with TSB now entering the fray by offering a £130 switching bonus and up to £70 cashback in your first year as a customer.
Let's take a look at the top incentives and what you have to do to get them.
Clydesdale Bank and Yorkshire Bank – £250 cash bonus
Clydesdale and Yorkshire Banks is offering 'A Big Hello' £250 bonus for new and existing customers that switch to its range of current accounts.
These include the Readycash, Private, Current Account Plus, Current Account Control, Signature Current Account and the app-based B account.
The B account is the most interesting fee-free account, as it also offers 0.25% interest on credit balances up to £2,000.
The switch must be completed using the Current Account Switch Service, which will transfer all Direct Debits and Standing Orders and close your old account.
To qualify for the offer, you must also have two active Direct Debits and credit the account with £1,000 for two consecutive months after completing the switch.
The £250 will be paid within 70 calendar days of your account switch completing, which is a pretty long time to wait.
HSBC – £200 cash bonus
The £200 bonus is paid in two parts: £150 within 30 days of you opening the account, and £50 if you stick around for 12 months.
While the £1,750 monthly deposit is pretty strict compared to other banks, the account does have a few nifty perks.
For starters, you'll get £250 off booking fees on HSBC mortgages. You'll also get access to its Regular Saver account, which pays 5% on monthly deposits of up to £250. That means at least some of your savings will be beating inflation.
The offer ends on 26 November.
M&S Bank – £185 in gift cards
It's not a cash reward, but you can pocket £185 in M&S vouchers when you join M&S Bank and stay for 12 months.
You just need to switch to the M&S Current Account or M&S Premium Current Account using the Current Account Switch Service and move a minimum of two active Direct Debits.
A £125 switching bonus will appear in your account once everything is wrapped up.
You can then get a £5 top up on the gift card each month that a minimum of £1,000 is paid into your account and two Direct Debits remain active, for up to 12 months after you switch.
So that's a total of £185 in year one – provided you meet all the criteria.
The fee-free M&S Current Account gives you access to a monthly savings account paying 5%, £100 fee-free overdraft and the chance to earn M&S Loyalty points each time you spend.
The M&S Premium Current Account offers all that plus a range of other benefits in return for a £10 monthly fee.
With the account, you can get yearly vouchers worth £95 including a birthday gift worth £10, 48 hot drink vouchers per year worth £127, preferential rates on selected products, access to exclusive offers and triple points in M&S stores and online
TSB – £130 cash bonus + up to £70 in cashback
TSB is now offering the opportunity to earn up to £200 in the first year you have its Classic Plus account: £130 for switching to it and up to £70 for spending on your debit card and paying out two Direct Debits from the account each month.
You need to apply for your account, which you can do here, by 4 December and have completed your switch using the Current Account Switch Service by 22 December.
Plus the account also pays interest of 3% on up to £1,500, so long as you credit the account with £500 each month, and register for online banking, paperless statements and paperless correspondence.
First Direct – £100
First Direct offers a £100 incentive to those that open its 1st Account and pay in at least £1,000 within three months.
There's a £10 monthly fee for the account after six months unless you pay in at least £1,000 a month or hold another First Direct product.
The account comes with a £250 interest-free overdraft, exclusive access to leading rates on loans and savings, plus an award-winning level of customer service with real people on hand 24/7.
It also comes with a satisfaction guarantee. First Direct promises to pay £100 to those unhappy with the account that decide to leave within a year of joining.
Finding the best deal
When switching current account, it's important to consider what your long-term needs are as well as the short-term gains a cash or voucher bonus can provide.
Other accounts like the Santander 123 Current Account, for example, offer decent levels of interest that could provide more value in the long-term, and not just give your bank balance a quick boost.