Lloyds Bank is currently running a promotion that could see eligible customers receive a £250 cash bonus. While the offer is primarily aimed at new customers switching to the bank, there may be a little-known route for some existing Lloyds clients to also claim the financial incentive.
The Core Offer: Switching for a £250 Payout
The bank's offer is clear: switch your current account to Lloyds and get £250. To be eligible, you must use the Current Account Switch Service to move to one of three specific accounts: a Club Lloyds Account, a Club Lloyds Platinum Account, or a Club Lloyds Silver Account. This process involves closing your old account.
A crucial condition is that your switch must include the transfer of at least three active direct debits from your previous account. It is important to note that direct debits set up after the switch process has begun will not count towards this total. Other automated payments, such as standing orders, are also excluded.
A Potential Loophole for Existing Customers
On the surface, the offer appears to exclude existing Club Lloyds account holders, as it states it is for those switching to a new account. However, a clarification from the bank reveals a potential opportunity.
Lloyds has confirmed that a customer can hold two Club Lloyds accounts simultaneously, provided one is a sole account and the other is a joint account. This means an existing sole account holder could potentially open a new joint Club Lloyds account (or vice versa) and use the switching service to qualify for the bonus, provided all other criteria are met.
Key Dates and Payment Details
Timing is critical for this promotion. To qualify, you must open your new qualifying account between 6 January 2026 and 3 February 2026. The account switch itself must also be initiated by the closing date of 3 February 2026.
If you successfully meet all the requirements, the £250 will be paid into your new account within 40 working days of the switch being completed. This is a one-off payment designed to incentivise customers to move their main banking to Lloyds.
For consumers considering the switch, it represents a significant cash incentive during a period of continued financial pressure. The offer underscores the competitive nature of the UK current account market, where banks are willing to pay to attract new, engaged customers with regular direct debit commitments.
