THERE’S free money up for grabs if you switch your bank account.
But you only have until the end of the day to grab the biggest cash freebie out there before it disappears.
Banks often give away a “bonus” to customers who switch over to them from another bank.
HSBC is offering £125 as an incentive to move your money over to its Advance current account.
The deadline for getting the cash reward is 11.59pm today (July 26), and Money Saving Expert Martin Lewis has previously highlighted it as the best bank bonus.
It’s the best switching reward on offer from any bank at the moment – but you will have to be earning a certain amount to get this bank account.
How to switch bank accounts?
NOT sure what switching could do for you? Here’s what you need to know:
- Switching is easy. Under the switching service, swapping banks should take seven working days. That includes all your payments, direct debits and standing orders being moved too. Just open your new account and then ask your new provider to close your old account using the switch service.
- Make sure you are eligible. Most accounts have certain requirements, such as paying in a minimum amount of cash each month.
- Watch your overdraft. Check your new bank will offer you the same limit — and does not have higher costs for using it.
You need to be paying in £1,750 per month – that’s an income of £21,000 a year after tax – or in total £10,500 over six months, so this switch isn’t suitable for everyone.
Anyone not eligible for the HSBC because they don’t earn enough doesn’t need to miss out entirely though.
First Direct is offering £100 is you switch your bank account over to them – and it also rates highly for customer service.
You’ll have to pay in at least £1,000 into the account over three months which is a lot less than with HSBC.
Meanwhile, Virgin Money is offering a bonus too but instead of cash, you’ll get a Virgin Experience days gift card worth £150.
Other account eligibility may apply with both the First Direct and Virgin Money accounts though, so check all the details first.
You’ll also want to check that the rest of the account suits your needs too, such as interest rates on savings, overdraft fees and cash withdrawal limits abroad.
It’s also worth noting that just because this offer from HSBC is ending, it doesn’t mean it’s gone forever or that other banks might not start offering the reward, so keep your eyes peeled.
We’ve rounded up the key points of each cash bonus switching deal below, along with other.
HSBC Advance – £125 free cash bonus
HSBC is paying customers £125 to switch until the end of the day (July 26), and that’s the highest reward amount available at the moment.
You don’t need to be a brand new customer, but you can’t have opened an HSBC or First Direct current account since January 1 2018.
To get the cash, you must start a switch within 30 days of opening the account and you need to transfer across two or more direct debits or standing orders.
You need to pay in at least £1,750 each month or in total £10,500 over six months.
The account gives you access to a regular saver account paying 1% interest, too, when you can pay £250 each month.
For your overdraft you get a £25 buffer at 0%, then you’re charged 39.9% EAR variable.
First Direct – £100 free cash bonus
Up until very recently First Direct was offering £125 to anyone who switched, but this has been reduced to £100.
It’s still a decent amount but it’s worth noting that these offers can come and go and change at any time, so it can pay to move quick.
First Direct will pay you £100 to switch, but you need to pay in at least £1,000 in the first three months to qualify.
The reward is only available to people who haven’t previously held an account with First Direct, and / or have not opened a HSBC or M&S Bank current account since January 1, 2020.
The account also gives you access to an account paying 1% interest for saving regular amounts between £25 and £300 per month.
There is also a £250 interest-free overdraft.
One savvy switcher has revealed how he managed to get THOUSANDS of pounds from banks by moving accounts.
If you’re sitting on a nest egg, here’s how to find the best savings account for your money.
If you’ve been rejected when opening a bank account, these are the best basic accounts you could get accepted for.