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1.16m bank accounts switched in 2014

1.16m bank accounts switched in 2014

Category: Banking

Updated: 22/01/2015
First Published: 22/01/2015

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Today (22 January 2015) the Payments Council published its latest Current Account Switch Service Dashboard (no.5), which reveals that even more of us are taking advantage of the Current Account Switch Service, with the number of switches increasing by 12% year-on-year from 1.03 million in 2013 to 1.16 million in 2014.

Growing confidence

The switch service guarantees that moving from one current account to another will be completed within seven working days, with all direct debits and payments automatically transferred during the process. The scheme also pledges to refund any interest loss or charges incurred during the switching process.

The scheme was introduced to help fuel competition in the current account sector by removing the barrier of inconvenience from banking customers. And it seems as though the scheme is working: confidence in the service has risen alongside the number of actual switches, with 65% of UK banking customers saying that they trusted the service to deliver, a definite increase from the 58% of customers who said the same in 2013.

Awareness of the scheme and its capabilities has also grown. By the end of December 2014, more than two-thirds of people (69%) reported being aware of the service, up from 59% the year before.

The service is also now reaching more customers than ever before after Duncan Lawrie and Weatherbys Private Bank signed up in December. This brings the total number of providers involved in the scheme to 36.

How can I take advantage?

If you've never switched your current account before, or you have stuck with the same provider for several years, it may be time to join your peers and jump on the switching bandwagon. Loyalty is rarely rewarded in the current account market, and you could find that you can get a much better deal elsewhere.

If you decide to make the leap, find out if your provider is part of the scheme first. This way, you can be sure that your switch will be quick, or that any lost interest or charges will be refunded if things take longer than expected. You can then take a look at our guide on switching current accounts to find out what exactly the process involves.

Once you're sure your provider offers the service and you want to make the move, it's time to start researching the market! Our current account best buys are a great starting point if you are unsure where to look. You may also want to check out high interest current accounts to see if they would be a viable new home for your everyday cash. Whichever account you opt for, by using the switch guarantee you could find that moving to a better deal is much less hassle than you previously thought.

What next?

Check out the current account best buys

Take a look at the best high interest current accounts on the market

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.