Martin Lewis has urged households to check the latest bank switching deals, with several high street banks offering hundreds of pounds in cash incentives that could help boost budgets ahead of Christmas. Speaking on his podcast, the money-saving expert highlighted offers from several major banks, including Barclays, HSBC, First Direct, Lloyds, NatWest and Nationwide. Eligible customers could receive hundreds of pounds by switching their current accounts, with some offers potentially paying out before December 25. Collectively getting an individual up to £600 in “free cash”.
Barclays, HSBC and First Direct offers
Barclays is currently offering £300 to eligible customers who switch to its account. The payment consists of £150 upfront, followed by £30 a month for five months. Mr Lewis described the deal as a strong offer, saying: “I like the offer, it's a great offer, 300 quid.”
HSBC is offering £220 to eligible switchers, while First Direct is offering £210. Mr Lewis described First Direct as his “top all-rounder pick”, as he said its customer service record and additional benefits, including a regular saver account paying 7% interest, an interest-free overdraft of up to £250 for eligible customers and a debit card that can be useful for spending overseas. He said more than 90% of customers in the service polls he referenced rated the bank's service as great.
Lloyds, NatWest and Nationwide deals
Lloyds is also offering £200 to eligible customers, alongside a choice of rewards. Depending on the account and available options, these can include a year of Disney+, magazine subscriptions or six cinema tickets. NatWest is offering £200, while Nationwide is offering £175.
Summing up the range of deals, Mr Lewis said: “So you can see that we have a plethora, a huge pot of different bank accounts willing to pay you at the moment.” He also reminded listeners that Christmas was approaching, meaning the timing of each payment could be important for anyone hoping to put the money towards festive spending.
Payment dates and eligibility
As of October 8, when his podcast was released, customers who complete the necessary steps promptly could receive their Barclays bonus by November 27. Mr Lewis gave estimated dates of November 22 for First Direct, October 29 for Club Lloyds and December 17 for HSBC. These are not guaranteed payment dates, however, and customers should check the latest terms directly with each bank before relying on the money for Christmas expenses.
The deals generally target new customers, and each bank has its own eligibility requirements. Some may require customers to pay in a minimum amount, set up direct debits or meet other conditions before the bonus is paid. It is therefore important to read the small print before starting a switch.
For those worried about moving their finances, Mr Lewis explained how the Current Account Switch Service works. The standard process typically takes seven working days, although allowing around 10 calendar days can provide a useful buffer. The old current account is normally closed automatically, while the balance, direct debits and standing orders are transferred to the new account. Payments sent to the old account should also be redirected.
Mr Lewis said he has only heard few reports of problems with the switching process, adding that “87%, I think it is, people tell me it's easy and hassle-free”. The cash bonuses could provide a useful financial boost ahead of Christmas, but the best deal will depend on individual circumstances, eligibility and the features of the new account.
