Fancy making a quick £150 just by switching bank accounts?
I know it sounds like some spam advert on the internet. I mean, getting free money for doing nothing without a smidgeon of risk?
But hear me out.
If you’re prepared to play the system, you can earn a little cash as a serial bank account switcher.
Here’s a fun fact. Britons are more likely to get a divorce than change their bank accounts during the course of their lives.
Many of us are content with our bank account and see no need to switch, but that’s often because we have never considered it, don’t know how to make the leap, or are unaware of the advantages it could bring.
It's Time to Switch!
If you’re unhappy with the service you get from your bank or feel like your loyalty isn’t rewarded, then why stick with them?
You probably know that switching banks could save you money, but did you know that you can also snag some extra cash by switching?/
Banks make loads of money from us, so there’s nothing wrong with making a little extra for yourself.
Keep reading to understand how to get a better deal and boost your bank balance.
Free Money? How?
There’s fierce competition in the UK banking system.
Banks want your money even if it means (legally) bribing you to switch.
They’re willing to do this because once you start using their current account, it becomes easier for them to sell you other deals, such as insurance, mortgages, personal loans and credit cards. That’s how banks make profits.
There are great offers around if you know where to look. To lure you in, banks offer cash incentives and other perks, such as access to savings accounts with excellent rates and interest-free overdrafts.
Banks with great sign-up bonuses include:
As a consumer, it’s up to you to take advantage of the latest offers by making a switch. Effectively, for doing nothing. Offers are constantly changing and a quick internet search will pull up the current offers.
So, How Does it Work?
Banking regulations in the UK let consumers switch bank accounts whenever they like, and banks know this.
The process is pretty much straightforward and takes under a week. The banks do all the heavy lifting for you. Should anything go wrong, the bank is required to pay any fees and make corrections.
- You can start by signing up for a bank account of your choice. Read the fine print and follow all the rules.
- Once you switch, you’ll be able to move your current account, together with all your standing orders and direct debits to the new bank.
- Most banks require you to credit your account with a set amount every month.
- In most cases, you’ll receive your bonus (cash or gift cards) a month or two after closing your old account.
- Close the bank account after you receive your cash bonus, rinse and repeat.
Also, it’s worth mentioning that it will be best to avoid bank-hopping if you have imminent plans to apply for a personal loan or mortgage.
The Takeaway
New bank customers enjoy rewards while old customers just get the same service they always did, good or bad.
Thanks to the Current Account Switch Service (CASS), it’s never been easier to switch banks and take advantage of the incentives available.
Remember, you’re under no obligation to remain stuck with your current bank, and the perks are out there for those who are open to change.
Have you switched bank accounts recently to get an incentive? How did it go?