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Join Which? MoneyNatWest, Lloyds Bank and Nationwide launch switching bonuses: should you get a new bank account?
The latest switching incentives pay up to £200
Customers looking to switch bank accounts could earn £200 for opening a current account with Nationwide, £175 by switching to NatWest, or £150 by opting for Lloyds Bank.
The Nationwide and NatWest offers are open to new and existing customers switching their main current account. Lloyds Bank's offer is open to new customers opening a paid Club Lloyds account.
Here, we take a look at the two offers in more detail and see how they compare to other switching deals on the market.
How do you get £200 to switch to Nationwide?
There are a number of steps to complete before you can qualify for Nationwide's market-leading switching offer.
First, you'll need to switch to its FlexDirect, FlexPlus or FlexAccount current accounts using the Current Account Switching Service (CASS), transferring at least two direct debit payments.
Make sure any accounts you switch to work for you. The FlexAccount is fee-free, while FlexDirect pays 5% AER on balances up to £1,500 and comes with an interest-free arranged overdraft for the first 12 months. FlexPlus is a packaged account that costs £13 a month, and comes with worldwide family travel insurance, mobile insurance and breakdown cover.
You'll need to request the switch via Nationwide's website, internet bank or banking app and you must complete the switch within 60 days of requesting it. You won't qualify for the bonus if you're simply switching from one Nationwide current account to another.
The provider previously offered up to £125 to make this switch; this offer was withdrawn on 2 October. Only those who make the switching request from 3 October onwards will qualify for the £200 bonus - even if your switch completes after the new offer was made available.
You'll also miss out on the £200 if you've switched into a Nationwide account since 18 August 2021 and already benefitted from a previous switching offer.
How does NatWest's new switching offer work?
Switching your main current account to NatWest will net you £175, whether you’re a new or existing customer.
You’ll just need to use CASS to move your money before 5pm on 3 November 2022, then pay £1,250 into the account and log into the NatWest app before 15 December. After that, you’ll receive the £175 by 12 January 2023.
NatWest customers can also enter a £1,000 prize draw if they have a current account and a savings account with the bank. If you turn on the ‘round ups’ feature, it automatically sends ‘spare change’ to the nearest pound from current account purchases to your savings account.
- Find out more: how do I switch my bank account?
How to get the Lloyds Bank switching bonus
Lloyds says its latest £150 switching bonus is the largest it's ever offered.
This one’s only available if you use CASS to switch from another bank to a Club Lloyds or Club Lloyds Platinum account. These are Lloyds Bank’s premium packaged bank accounts, which both come with a monthly fee.
Club Lloyds account customers have to pay £3 a month to keep the account open, while Club Lloyds Platinum it's £24 a month. With both accounts, £3 of the fee will be refunded if £1,500 or more is paid into the account each month.
Club Lloyds accounts come with various perks and features, such as travel insurance for the Platinum account, or cashback with both. If you’re not interested in these perks, or if you won’t be paying in £1,500 a month, you might want to consider other accounts.
The Lloyds deal runs until 14 November 2022 – and you’re not eligible for the cash if you have already received a switching bonus after April 2020.
What other switching offers are available?
If neither of those two banks takes your fancy, there are a couple of other switching offers that might appeal.
First Direct: £175 for new customers
First Direct matches NatWest’s £175 switching offer, but in this case it's only for new customers switching to a First Direct 1st Account. You can’t get the bonus if you already have an account with First Direct, or if you opened an HSBC account after 1 January 2019.
- Find out more: best and worst banks revealed
How to choose a bank account
You'll likely interact with your current account more regularly than any other financial products, so you should make sure it suits you – don't switch solely on the basis of a bonus offer.
There are other things to keep in mind if you’re thinking about switching.
Look at other current account perks
We’ve looked at the banks offering cash switching bonuses, but some current accounts pay customers cashback on their purchases, or pay interest on balances.
If you want to get rewarded for your spending, or know you're likely to keep your cash in your current account, these features might be worth considering. It’s worth shopping around to see what's available – our guides can help you find the best high-interest bank accounts, along with the best bank accounts for cashback.
Fees and features
Packaged bank accounts, like the Lloyds Club Platinum account mentioned above, come with all kinds of perks included such as travel insurance, breakdown cover, and even free cinema tickets or magazine subscriptions.
If you can cover the monthly fees, make the most of the account's features and earn enough to meet the minimum pay-in threshold, you might prefer a packaged account.
- Find out more: best packaged bank accounts
This article was originally published on 28 September and has been updated since. The last update was on 3 October to include details of Nationwide's switching offer.
