M&S Bank has relaunched its offer for new current account customers who switch from their existing bank that could result in £185 in vouchers.
The retailer bank will offer a £125 M&S voucher to new customers as well as £5 a month to spend in M&S online or in store when they pay in £1,000 per month and pay out two direct debits.
Customers can also benefit from 5% on its monthly saver account and can save up to £250 a month.
Boost for M&S shoppers
There’s no interest available on balances in the bank account but customers could claim a total of £185 towards their shopping at M&S if they stay with the bank for 12 months and make the necessary deposits.
The offer includes the bank’s standard current account and its Premium current account, which costs £10 a month.
The current account also doubles up as a loyalty card as customers can earn one M&S loyalty point for every £1 spent.
To get the £185 reward you need to:
- Switch from your existing bank using the Current Account Switching Service
- Have two Direct Debits paid out of the account per calendar month
- Deposit £1,000 every month for 12 months
The new offer represents an improved short-term incentive for customers, but is not as generous as the deal it offered to new account switchers in 2016. The bank has also reduced the interest rate on its monthly saver account, from 6% to 5%.
Find out more: The best and worst banks – rated by real customers
How M&S’ new deal compares with its 2016 offer
Switching offer in 2016
- Initial gift card: £100
- Monthly reward: £10 M&S gift card for 12 months
- Total reward after 12 months: £220
- Monthly savings rate: 6% and up to £250 a month can be saved
Switching offer in 2017
- Initial gift card: £125
- Monthly reward: £5 M&S gift card for 12 months
- Total reward after 12 months: £185
- Monthly savings account rate: 5% and up to £250 a month can be saved.
How does M&S compare with other switching offers?
Seven banks currently offer switching bonuses. The table below shows the deals on offer – and what you need to do to qualify.
And our step-by-step guide to switching banks explains when the optimal time to switch is, and what you can do if something goes wrong with your switch.
|Current account||Cash bonus||How to get the switching bonus||Customer score|
|First Direct 1st Account||£100||Pay in £1,000 within three months of opening. Fee-free for first six months, then £10 fee unless you; pay in £1,000 a month, maintain an average balance of £1,000, or have another First Direct product (excludes Regular Saver).||85%|
|Nationwide FlexAccount, FlexDirect and FlexPlus||Recommend a friend and share £200||Complete this form to get £100 each if a friend or family member switches to Nationwide and moves two direct debits (excludes FlexOne and FlexBasic) within 90 days. The FlexPlus packaged account costs £10 per month.||75%|
|TSB Classic Plus||£10 per month until 30 June 2018||Get £5 if you make 20 debit card payments per month (excluding direct debits/standing orders and Paym) and £5 if you set up two direct debits per month. TSB also pays 3% credit interest on up to £1,500. You must not have had a Classic Plus account before.||71%|
|Co-op Bank Current||£110||New customers must switch at least 4 active direct debits. Also pays cashback worth up to £5.50 per month. Co-op Bank recently announced it is up for sale – find out if you’ll be affected.||69%|
|M&S Bank Current and Premium||£185 M&S voucher||£125 switching bonus plus £5 a month for 12 months as long as you pay in £1,000 and pay out two direct debits. Its Premium packaged account costs £10 per month.||65%|
|Halifax Reward and Ultimate Reward||£75||Not available if you switch from Bank of Scotland, or you received a Halifax bonus at any point since January 2012. Reward also pays cashback worth up to £3 per month. Ultimate Reward packaged account costs £15 per month.||64%|