How to make £100s switching bank accounts (again & again)

According to the Current Account Switch service, more than 450,000 people have switched their bank account this year (up to the end of April).

That's almost double the amount of switchers compared to the same period last year.

A large reason behind the recent rise in bank switching has undoubtedly been due to the recent re-emergence of a number of bank switching deals. So far this year, we've seen a number of bank switching offers hit the market and, right now, there are FOUR banks that'll pay you (up to £200) for ditching and switching accounts.

In this article we're going to explore how bank switching works, the latest bank switch offers, plus we'll explore how it's possible to earn multiple bonuses.

What's the deal with bank switching?

The current account market is fiercely competitive. Not because bank accounts are particularly profitable, but because if you have a current account, your bank can turn on the 'hard sell' and try to flog you one of its credit cards, loans, or even mortgages.

Because banks are eager to grow their customer bases, many will shamelessly pay customers for moving to them. So, as you don't let yourself get drawn into applying for products you don't need, switching bank accounts can be an easy way to earn free cash.

What bank switch offers are available right now?

Now's a great time to switch bank accounts as there's a host of hot offers up for grabs.

So if you're keen to earn some free dosh — or you're simply fed up of your current bank — here's a lowdown of what's on offer...

1. NatWest Reward - Free £200

Right now NatWest leads the bank switch table by offering a juicy £200 bonus. To get it you'll need to switch to the Natwest Reward account and pay in at least £1,250. You'll need to use mobile banking within 60 days of opening the account too.

Unfortunately you won't qualify for the bonus if you've already had a NatWest, RBS or Ulster Bank account switch bonus since October 2017.

2. TSB Spend & Save - Free £200

Switch to the TSB Spend and Save account and you can grab up to £200.

To get an initial £125, you need to open and switch accounts, use mobile banking, and spend on your TSB debit card by 31 August 2023. You also need to move over at least 2 direct debits as part of the switch.

To get the extra £75 you'll need to pay in at least £500 each month between September 2023 and February 2023, and pay in at least £500 each month. You'll also need to keep at least two direct debits active on your account.

To get any switching cash you can't have had a TSB current account since October 2022.

3. First Direct 1st Account - Free 175

Switch to the First Direct 1st Account and you could pocket a cool £175. To get it you'll need to pay in at least £1,000 once you've switched.

If you've had a First Direct account before, or you've opened a HSBC account since Jan 2020, then you won't be eligible for the offer.

4. Club Lloyds - Free £150

While not quite as generous as the other switch offers out there, if you switch to the Club Lloyds account then you can earn yourself £150 — certainly nothing to grumble about! To get it you must switch before 17 July.

Do note that you won't qualify for this offer if you've had a Lloyds or Halifax switch bonus since April 2020. Also, this account has a monthly £3 fee, though you can avoid it by paying in at least £2,000 into the account each month.

The Current Account Switch Service

Regardless of the switch offer you go for, in order to bag a bank account switch bonus, you'll need to play close attention the terms of any offer.

In addition, you'll also have to complete your switch using the Current Account Switch Service (CASS). This is the official switching service which ensures you won't be out of pocket if your bank makes a mistake when moving your account.

The CASS also ensures any payments — including standing orders and direct debits — are moved over automatically for you. Plus, as an added boon, under the CASS your switch shouldn't take any longer than 7 working days to complete.

Can you earn multiple bank switch bonuses?

Yes. There's nothing stopping you moving bank accounts, pocketing a switch bonus, and then immediately switching to another bank to grab another bonus. You can do this as often as you like though, understandably, most banks won't allow you to earn multiple bonuses from the same banking group.

If you plan on multiple switches then the main thing to watch out for — besides ensuring you carefully follow the terms of any switching offer — is to ensure you don't switch accounts in the 'wrong order'. In other words, to be successful in grabbing multiple switch bonuses you should prioritise switching deals that specify an end date.

Unfortunately, knowing the right order to switch can be quite tricky as most banks won't indicate as to when they're likely to pull a switching offer. Of the existing bank switch offers out there right now, only the Lloyds offer advertises a switch end date (Monday 17 July).

If the stars align and you manage to bag multiple bonuses in quick succession, then it's certainly possible to pocket £100s for doing very little. And if you don't manage to take advantage of every offer out there, you can take heart from the fact that most bank switch offers return in some form.

Happy with your bank but keen for switching cash?

If you're content with your current bank account but also like the thought of some free cash (who doesn't?), then you may wish to open a separate bank account solely for the purposes of bagging multiple switch bonuses. That way you can switch your extra account and grab as many bonuses as you like while keeping your 'main' current account for everyday use.

If you do this, however, you may have to set up a direct debit or two on your spare account. This is because many switch offers will require you move over a set number of direct debits as part of your switch. Setting up extra direct debits could be a bit of a faff, but if you want to take advantage of earning money for switching a bank account you don't even use, then it could be worth the trouble!

So, in summary, when it comes to switching your bank account and earning free cash, here are some key points to keep in mind:

  • There are four accounts that will pay you up to £200 for switching accounts.
  • To take advantage of any switch deal you must carefully study the terms of any offer.
  • You must move accounts using the official Current Account Switch Service (CASS) to qualify for free switching cash.
  • The CASS guarantees your switch will be complete in 7 working days.
  • The CASS also ensures any payments will be moved over for you, and you'll be covered if any mistakes occur as part of your switch.
  • It's possible to switch your bank account often to receive multiple bank switch bonuses.

Bank switch deals change often. For the latest offers, take a look at the 'switching' section in our best bank accounts guide.