Switching current accounts could now earn customers a generous £150 as banks engage in a cash incentive battle to attract new clientele. The latest offering, known as the “switch and stay” deal, promises individuals £75 upon successfully transferring to the Co-operative Bank, followed by £25 each month for the subsequent three months. John Ward, the bank’s product director, expressed, “This offer enables eligible new and existing customers to receive up to £150 for switching and maintaining the Co-operative Bank as their primary current account provider.”
To qualify for the offer, applicants must apply for either a Standard Current Account or an Everyday Extra account, while also meeting specific criteria. Accounts such as Smile Current Accounts, Student Accounts, and Cashminder Accounts are exempt from eligibility. Existing customers with Standard Current Account, Everyday Extra, Current Account Plus, Privilege, and Privilege Premier accounts must opt for a full switch into their current account to qualify for the promotion.
In order to receive the initial switch payment of £75, customers must deposit a minimum of £1,000 within 30 days of completing the switch, maintain two active direct debits, carry out a minimum of 10 debit card or digital wallet transactions, register for the Co-op’s online or mobile banking service, and set up the debit card in a digital wallet like Apple Pay, Samsung Wallet, or Google Pay. To qualify for the monthly “stay” payments of £25 within the first three months of the new account, customers need to deposit at least £1,000 monthly, maintain two active direct debits, and conduct a minimum of 10 debit card or digital wallet transactions.
If the criteria are not met, customers may still be eligible to claim the remaining two months’ payments if the conditions are fulfilled, though they will only have three opportunities to claim the £25, and the timeframe will not be extended. The offer is open-ended, according to the bank.
The Co-operative Bank’s initiative comes on the heels of a similar offering by Nationwide Building Society, which introduced a £175 switching incentive subject to specific terms and conditions. Additionally, First Direct provides a £175 switching incentive for eligible applicants. Rachel Springall, a finance expert at Moneyfactscompare.co.uk, remarked, “It’s heartening to witness some competition in the current account sector this week, and the Co-operative Bank’s latest offer could be an attractive option for consumers.”
Springall cautioned potential switchers to carefully review the terms and conditions. She noted the possibility of additional switching offers in the near future, depending on the necessity to attract new business before the year concludes. Last year, TSB and NatWest were offering switching incentives of £150 and £200, respectively.
As individuals consider taking advantage of these offers, careful consideration should be given to the terms and conditions to ensure the switch proves beneficial in the long run.