High street banks are offering cash incentives to entice customers to switch current accounts, with some payouts arriving in time for Christmas. These 'switch bribes' require meeting eligibility criteria such as being a new customer or depositing a minimum amount.
Nationwide leads with a £200 offer for new customers switching to a FlexPlus, FlexDirect, or FlexAccount. To qualify, switchers must transfer from a non-Nationwide account, have not held an account with the building society since August 18, 2021, and move at least two direct debits within 60 days. The FlexDirect account is free, offers 5% interest on up to £1,500 for a year, and a 0% overdraft for 12 months. The FlexPlus costs £13 monthly but includes travel, mobile, and breakdown cover. The £200 is paid within 10 days.
TSB offers £125 upfront and an extra £55 through MoneySavingExpert for opening a Spend & Save account. Customers must pay in at least £500 monthly, make five debit card payments, and have two direct debits. The switch must be completed by November 18, with the extra £55 paid by June 30, 2023. The account also offers £5 cashback for six months on 30 debit card payments. Overdrafts are charged at 39.9% EAR.
First Direct provides £175 for switching to its 1st Account, plus £20 just for opening an account. To get the £175, customers must complete a switch and pay in at least £1,000, with payment within 28 days. The £20 requires using mobile or online banking within three months. Eligibility excludes previous First Direct account holders or HSBC current account holders since January 2019. The 1st Account offers a 0% arranged overdraft up to £250.
