Free cash incentives for current account switching have recently become scarce, according to financial information website Moneyfactscompare.co.uk. Several banks, including First Direct, HSBC, NatWest, Lloyds Bank, and Santander, have recently ended their cash-for-switching offers. Some banks had previously offered as much as £200 for account switching. Rachel Springall, a finance expert at Moneyfactscompare.co.uk, acknowledges that these offers can be attractive to consumers, but advises that the lack of cash incentives should not discourage people from seeking a better current account deal.
Springall suggests that there may still be opportunities for cashback on spending or bill payments, and savers may earn a decent return on high-interest current accounts. She emphasizes that the best account will depend on individual circumstances and recommends comparing perks carefully.
While free cash offers may return in the future, banks and building societies typically offer them when they want to attract new customers or when consumers are actively looking to switch accounts, such as at the start of a new year. Springall advises consumers to consider whether the current account suits their needs and meets their eligibility criteria before switching, even without a cash incentive.
