UK residents could pocket a free £200 simply by changing their bank account. Three of Britain's major banks are currently offering cash incentives to those who make the switch.
It is fairly common practice for banks to dangle switching bonuses as a way of drawing in new customers. You will just need to make sure you meet all the necessary criteria.
To help people bag the best deal on offer, the team at Money Saving Expert (MSE) have compiled a list of the latest available offers. At present, First Direct, NatWest, and Barclays are all putting forward £200 for switching.
Read on below for more information, including eligibility requirements.
First Direct
By switching to First Direct’s 1st Account you could get £200. Along with this you will also have access to a seven per cent saver, fee-free overseas spending and a £250 0 per cent overdraft for many.
MSE said: “A clear winner if you want top customer service, or if you need an interest-free overdraft.”
On top of the £200 switch bonus, the First Direct 1st Account includes:
- Seven per cent fixed regular saver you can put up to £300 a month in for a year
- Most get ongoing £250 interest-free overdraft (subject to credit check)
- Debit card for spending overseas with good exchange rates
To get the £200 bonus you need to open an account via the app (online if joint account). And within 45 days you must:
- Switch in an account with two or more direct debits or standing orders
- Pay in £1,000 or more
- Make five or more debit card payments
The £200 should be paid by the 20th of the following month.
NatWest
By switching to the NatWest Reward account you can get a free £200 upfront, plus £36 a year cashback and 5.25 per cent interest linked regular saver. MSE said: “A decent option with ongoing cashback and a strong regular saver.”
The NatWest Reward pays £5 cashback each month you pay in £1,250 or more, pay out two or more direct debits of £2 or more and use its mobile app. Factoring in the £2 a month fee, that is a net gain of £36 a year.
To get the £200 bonus you need to open an account and complete a switch from a non-NatWest, RBS or Ulster Bank account online or via mobile app. Then, within 60 days, you must:
- Pay in £1,250 or more
- Log in to mobile app
The £200 should be paid within 30 days.
Barclays
By switching to a Barclays bank account you can get a free £200 plus five per cent cashback on fuel and optional half-price Apple TV. “A strong choice if you want a simple account that pays a big cash bonus, or if you usually buy fuel at Tesco,” MSE said.
It added: “To get the £200 bonus for switching to the Barclays Bank Account you will need to apply and start a switch by 27 August. But if you do it sooner, till 31 July, you can get five per cent cashback (max £10 a month; paid within two working days) when you buy £5 or more of petrol or diesel at a Tesco forecourt using the debit card (including via digital wallets, not PayPal or Curve). Excludes Esso stations linked to Tesco stores.
“The account comes with few perks, though for an optional £5 a month fee you can join its Blue Rewards scheme to get Apple TV at half its usual cost (normally £10 a month). If you go for this you will also need to pay in £800 or more a month and register for digital banking.”
How to get £200 bonus:
- Open a sole account via Barclays' app (no joint accounts)
- Pay in at least £2,000 or more within 30 days
- Start a switch in from an account with two or more direct debits by 27 August, and complete the switch within 30 days
The £200 should be paid within 28 working days.
