After virtually disappearing from the market during the height of the Covid-19 outbreak, bank account switch bonuses are back in full swing. First Direct and NatWest are the latest to join the switch bonus action. Both have recently launched new cashback incentives for customers who switch their current accounts to them.
Here’s everything you need to know about the new switch bonuses from First Direct and NatWest and how you can take advantage.
[top_pitch]
What is the new switch bonus from First Direct?
First Direct’s new switch bonus is worth £100 and is available to new customers.
To get the £100 cash offer, you need to switch to the bank’s 1st Account using the Current Account Switch Service (CASS) and pay in at least £1,000 within three months of opening the account.
This offer is limited to one payment per customer or joint account. You will get the money within 28 days if all the criteria are met.
It’s important to note that this bonus is only available to people who haven’t opened an account with First Direct or HSBC on or after 1 January 2018. You may hold an HSBC account and still qualify for the bonus as long as you opened it before this date.
First Direct’s 1st Account can be opened online or via the bank’s mobile app. The account does not charge any monthly fees and also comes with a £250 interest-free overdraft.
Overdrafts in excess of this amount, however, are subject to a rate of 39.9% EAR variable. So if you find yourself needing to borrow more, consider looking into other less expensive options first, such as a 0% purchase credit card.
[middle_pitch]
What kind of switch bonus is NatWest offering?
The new switch offer from NatWest is available to both new and existing customers.
The deal will see both sets of customers receive £100 if they switch their current account to a NatWest Select, Reward or Premier current account, and an extra £50 if they stay with the account. More information on these accounts, including the fees and perks of each, can be found on the NatWest website.
To qualify for the offer, you need to switch using CASS by 2 December 2021. You also have to pay in at least £1,500 and log into the bank’s mobile app or online banking at least once by 13 January 2022.
Your £100 bonus will be paid into your account by 11 February 2022.
Once you’ve qualified for the £100 bonus, you will get a chance to earn an extra £50 if you make 10 eligible debit and/or credit transactions (excluding interest, fees and charges) on your account every calendar month between January and September 2022. The extra £50 will then be paid into your account by 30 November 2022.
If you’ve received any cashback from NatWest (or RBS) since October 2017, you won’t qualify for the offer.
What other switch bonuses are currently on offer?
Several other banks already have their own switching incentives in place.
Nationwide: the bank has a £125 switch bonus for existing customers and £100 for new customers who move to its FlexAccount, FlexPlus Account, or FlexDirect account using CASS.
Santander: new and existing customers who open and switch their current accounts to its 123, 123 Lite, Everyday, Select or Private current accounts within 60 days using CASS will have a chance to earn a £130 bonus. To get the bonus, you must also set up at least two direct debits and deposit a minimum of £100 in the first days. You must also log into Santander’s online or mobile banking app at least once.
HSBC: you can get a £110 bonus if you switch to the HSBC Advance or Premier current account, plus an additional £30 Uber Eats voucher or Dining Out gift card. To qualify, you must switch using CASS and must make a minimum of two direct debits or standing orders.
Ready to make the switch to First Direct or NatWest? Check out our article on how to switch accounts for useful tips and info on how to do it.
