In the wake of TSB’s massive IT system failure last month, a number of high street banks have launched big current account switching incentives. The largest cash bonus is from HSBC, which is offering £200 if you switch to its Advance current account.
Up to 1.9 million TSB customers lost access to their bank accounts for more than a week at the end of April – and the new switching incentives, from HSBC, Natwest, and M&S Bank, are probably intended to entice disgruntled TSB customers who are looking to switch accounts.
Natwest will give you £100 for switching to any of its current accounts before June 15. You must switch online, and you must pay in £1,500 and log into online or mobile banking before July 13. The £100 will be put into your account before August 10. This deal is available to new and existing Natwest customers.
HSBC will pay you a little bit more, but the deal is more restrictive too. Until June 30, HSBC will pay you £150 if you switch to an Advance current account. If you stick with the account, HSBC will pay you another £50 after 12 months. You must log into online or mobile banking within 60 days of opening the account. To be eligible, you must pay in at least £1,750 per month, transfer two direct debits or standing orders, and not have an existing account with HSBC.
The HSBC deal also includes a linked Regular Saver account, which pays 5% interest for 12 months – but only on deposits of up to £250 per month. Assuming you save the full £3,000 over the year, you would get £81 in interest.
M&S Bank also has a decent deal: you’ll get a £125 M&S gift card if you switch current accounts, and then your giftcard will be topped up with £5 per month, for 12 months, if you stay with them (£185 total). To be eligible, you must pay in £1,000 per month and have two active direct debits. The M&S Current Account gives you access to a Monthly Saver account with the same 5% interest and caps as the HSBC account, too.