The Co-operative Bank has joined First Direct and Santander in offering cash to switch your current account.
The Co-operative Bank has announced that it will pay £200 to any new or existing customer switching their current account from another bank or building society.
The move by the mutual follows similar deals from First Direct and Santander which both offer cash incentives to switch to them.
How does the switching offer compare?
The Co-operative’s offer compares well with the ones from First Direct and Santander.
It beats First Direct hands down by offering double the £100 that First Direct pays.
Santander pays either £100, £200 or £300 depending on whether you have other products with it already. To qualify for the £200 you need to have a mortgage with the bank. Only customers who have a mortgage and savings with the bank get the full £300. The Co-operative Bank’s offer, on the other hand, is open to everyone.
Will you qualify for the switching deal?
To qualify you need to credit a minimum of £800 into your new account for the first three months, and you also need to switch all your direct debits and standing orders from your existing provider.
The offer applies to anyone opening a Co-operative Bank Standard Current Account, Current Account Plus, Privilege or Privilege Premier Account and switching from another provider.
Which? Recommended Provider
The Co-operative Bank is a Which? Recommended Provider for current accounts, which means it scores well for customer satisfaction and has at least one top-10 account for either credit interest, overdrafts or current account mortgages.
It comes fourth in our Which? customer satisfaction survey scoring 86%, only beaten by First Direct, Smile (itself part of the The Co-operative banking group), and The One Account.
Santander, by comparison, languishes at the very bottom of the table with a score of just 39% for customer satisfaction.
Melanie Green, banking expert at Which?, said: ‘Our research shows that few people switch their current accounts. Offers like this one from the Co-operative Bank will certainly encourage some people to take the plunge.
‘But we think that a more radical approach is needed to really get this market moving. Switching must be made easier, ideally through the introduction of portable account numbers.’
- How to find the best bank account for you – we explain what types of accounts are available
- How to switch bank account – our guide tells you all need to know about the switching process
- Find a Which? Best Rate current account – we help you find the best account for your needs