The Co-operative Bank has launched what it describes as its best-ever switching offer, providing new customers with up to £300 in free cash. This move intensifies the competition among high street banks vying for current account customers with various perks and incentives.
How to Earn the Full £300
New customers switching to the Co-op's standard current account or Everyday Extra packaged account can receive up to £200. To obtain the initial £125, customers must deposit at least £1,500, set up two active direct debits, and make five debit card transactions within 30 days of completing the switch. An additional £75 can be earned by depositing another £1,500, making five more debit card transactions, and maintaining two direct debits for a further three months.
Furthermore, customers who already hold another Co-operative Bank product—such as a mortgage or savings account—or who have an account with Coventry Building Society (acquired by the Co-operative Bank in early 2025) can receive an extra £100 loyalty bonus when switching their current account.
Additional Benefits and Account Options
Both the standard and Everyday Extra accounts offer the option to open a linked savings account with up to 7% interest. Customers can start this savings account with just £1 and save up to £250 each month. The Everyday Extra account, which carries a monthly fee reduced from £18 to £12, includes perks such as travel insurance, mobile phone insurance, and European car breakdown cover.
Rachel Springall, finance expert at Moneyfacts, commented: "With household budgets under pressure, it can be difficult for customers to decide where to spend their money, so having current account options that are good value and free from unnecessary fees really matters. The Everyday Extra account is now a more affordable choice, with its monthly fee slashed to £12." She added: "Packaged accounts can be a great cost-saver for holidaymakers travelling in the UK or worldwide, combining useful benefits with added peace of mind. Removing foreign transaction fees on debit card spending also makes both the current account and Everyday Extra more straightforward to use abroad—with no nasty surprises to come home to."
Competing Offers from Other Banks
Several other banks are also offering switching incentives. NatWest provides £200 to customers switching to its fee-free Select or £2 monthly Reward accounts, requiring a £1,250 deposit and mobile app login within 60 days. Barclays offers £200 to new switchers who apply by August 27, set up at least two direct debits, and deposit at least £2,000 within 30 days. Other banks with similar bonuses include Santander, Nationwide Building Society, HSBC, and its sister bank First Direct.
These offers are part of a broader trend where banks use cash incentives to attract current account customers, often with conditions such as minimum deposits, direct debit setups, and debit card usage.
