TWO major high street banks are giving customers free cash to switch to their current accounts.
NatWest and Royal Bank of Scotland is giving customers £175 in free cash.
NatWest and RBS have boosted their switching bonus
To be eligible for the £175 payment, customers have to make the switch using the Current Account Switch Service (CASS).
New and existing NatWest and RBS customers will also be able to bag £36 a year in cashback.
The NatWest Reward and RBS Reward current accounts give those who switch £175 in cash and £3 a month in cashback, but the account comes with a £2 a month fee.
If you don’t want to pay £2 a months for the Reward accounts you can open a new NatWest Select or RBS Select account and still get the free cash bonus.
You won’t be eligible for the switching bonus if you opened up a new NatWest or RBS since October 2017.
You will only get the cash if you’re switching from a non-NatWest account to NatWest.
For example, it is possible to get the bonus if you move from an RBS account to NatWest and vice versa.
It takes as little as seven working days to process under CASS, and you won’t have to lift a finger.
How do I switch bank account?
It’s easy to switch your bank account using the Current Account Switch Service (CASS).
You don’t have to remember to move direct debits over when moving as it does this everything for you.
All you have to do is apply for the new account you want and the new bank will let your existing provider know you’re moving.
There are some steps you can take before switching though, such as choosing your switch date, or organising transferring your old bank statements to your new account.
To get your old statements you should get in touch with your bank.
What are other banks offering?
Santander currently pays £175 if you move to its 123 Lite account.
This does cost £2 a month and you have to pay in a minimum of £500 a month to the account.
But you can earn between one and three per cent cashback on bills, including two per cent on energy bills.
There is a maximum of £5 in cashback per bill, so £15 a month in total.
Meanwhile, Virgin Money recently launched 25 per cent cashback on UK supermarket and fuel spending up to a £160 per month for two months.
First Direct also pays £175. You have to deposit £1,000 when you open but there’s no minimum amount per month you need to pay in to get the cash.
Halifax Reward switchers get £150. You need to pay in £1,500 or you’ll be charged £3 a month.
First Direct’s 1st Account offers new customers an interest-free arranged overdraft on any balances up to £250.
Newbies to the Nationwide FlexDirect account will get interest-free arranged overdrafts on balances up to £2,750 for the first year of the account opening.
Remember, an interest-free overdraft should only be used in an emergency or to tide yourself over during an expensive month.
Nationwide’s FlexPlus account costs £13 a month but you get free worldwide travel insurance when you switch to the account.
On top of this you’ll get free mobile phone insurance, plus UK and European breakdown cover with AA which would usually cost you over £100 a year.
