Can I be confident switching my bank account in 2021? | moneyfacts.co.uk

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Michelle Monck

Michelle Monck

Consumer Finance Expert
Published: 11/03/2021

More banks at the start of 2021 are now offering customers incentives to switch bank accounts. The incentives to switch now include cash, wine and other offers and the requirements to get these ranges from a simple switch and minimum deposit through to mandated use of mobile apps and depositing money into a savings account.
Some of the most recent bank account switching offers available right now include:

Bank and Account Name

Switching offer and requirements

Find out more

First direct 1st Account

£100 for accounts switched using the Current Account Switching Service

Must pay-in at least £1,000 within three months

Go To Provider’s Site

Virgin Money Current Account

12-bottles of luxury wine from Virgin Wines

And £50 to donate to any Virgin Money Giving charity for accounts using the Current Account Switching Service. Customers also need to register for the mobile app, set up two direct debits and pay-in at least £1,000 into a linked savings account with 31 days of opening the Current Account.

 

See our bank accounts chart

HSBC Advance and Premier Bank Account

£125 for new accounts when a minimum of two direct debits or standing orders are switched using the Current Account Switching Service within 30 days of opening.

Go to Provider’s Site

Are these incentives worth the hassle of switching a current account?

Most banks offering incentives to switch a bank or current account require customers to use the Current Account Switching Service (CASS) to be eligible for these rewards. Customers using CASS have the convenience of all their direct debits and standing orders being automatically transferred to their new bank and all their payees informed. Customers can even choose their preferred switching date. Plus, there is also a ‘guarantee’ that any interest charges incurred on either the old or new bank account will be refunded to customers.

How does the Current Account Switching Service work?

When you open your new bank account you will be asked if you agree to using CASS. They will then make sure that all your existing standing orders and direct debits are transferred from your old current account to your new current account without any these failing to reach the payee on time.
All current direct debits and standing orders are recorded by CASS and they make sure the new bank and companies due to receive payments are updated. Companies receiving direct debits are sent new the new bank account details while the standing orders are updated with the bank the customer is switching to. CASS also notifies Bacs, the organisation responsible for processing direct debits of the details of bank accounts that have switched. Any direct debit instructions requested from the old bank account will automatically be diverted to the new bank account through the Bacs direct debit database.
This means customers that switch their bank account do not need to worry about any missed standing orders or direct debits.
CASS only covers electronWho is responsible for the Current Account Switching Service?
The CASS is managed and overseen by BACs the not-for-profit organisation behind the Direct Debit service in the UK. Banks and building societies that participate in CASS are responsible for making sure your switching process goes smoothly.
ic payments, other types of payments such as debit cards connected to a PayPal account or used for regular purchases such as magazine subscriptions will need to be updated manually.

Who is responsible for the Current Account Switching Service?

The CASS is managed and overseen by BACs the not-for-profit organisation behind the Direct Debit service in the UK. Banks and building societies that participate in CASS are responsible for making sure your switching process goes smoothly.

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