Martin Lewis shares ‘easy’ tip to claim ‘free £200 before Christmas’ | Personal Finance | Finance
Martin Lewis has shared a savvy tip to secure a “free £200” before Christmas. Writing in his latest Money Saving Expert newsletter, the savings guru explained the latest bank switch deals, which see providers pay hundreds of pounds worth of cash incentives to those who switch current accounts.
Mr Lewis wrote: “Free £200 in time for Christmas. One way to help pay for the day is to grab a legal bribe to switch banks. A flurry of new deals have just popped out, many that are top-rated. Switching is usually easy and hassle-free… You must pass a not-too-harsh credit check and use the bank’s seven-working-day switch service, which closes your old account, moves over your balance, standing orders and direct debits for you, and auto-forwards any payments made to it from then on.” (SIC)
Lloyds Bank switch deal
Lloyds Bank is currently offering a market-leading £200 when you switch to one of its Club Lloyds or Lloyds Premier accounts.
When the switch is complete, eligible customers will receive a £200 payment within 10 working days. To qualify, customers must switch using the ‘Current Account Switch Service’ (CASS) and transfer a minimum of three active direct debits.
You won’t qualify if you’ve received a current account switching offer from Lloyds, Halifax, or the Bank of Scotland since April 2020.
There is a £5 monthly fee to maintain the Club Lloyds account, waived each month when £2,000 or more is paid in.
Club Lloyds and Lloyds Premier customers can also choose from a range of Lifestyle Benefits, including 12 months of Disney+ Standard With Ads, a choice of Vue or Odeon cinema tickets, a magazine subscription, or a digital Coffee Club and Gourmet Society membership.
Additionally, customers can take advantage of the bank’s Everyday Offers feature, which provides cashback when shopping at select retailers. Read more about the switch deal here.
Three more deals with a range of perks are on the market for those who don’t qualify for the Lloyds Bank switch deal.
First Direct bank switch deal
Digital bank first direct offers a £175 bonus if you switch your existing current account to a 1st Account, including two direct debits or standing orders.
Within 45 days, you need to deposit a minimum of £1,000, make five or more debit card payments and log onto digital banking.
Customers will not be eligible if they had a First Direct account before, or opened one with HSBC since January 2018.
NatWest bank switch deal
NatWest is also offering a £175 bonus if you switch your existing current account to a Select or Reward account. You must pay £1,250 and log in to the mobile app within 60 days of switching.
The Select account is fee-free, whereas the Reward account costs £2 per month to maintain. However, you get paid £4 per month if you’ve got two direct debits going out, and you get £1 per month for logging into the app. This means customers who meet these conditions gain an extra £36 per year after the £2 monthly fee.
You won’t be eligible if you opened a NatWest current account before September 16 and it’s still open, or if you’ve ever received switch cash from NatWest, RBS or Ulster Bank in the past.
Nationwide bank switch deal
Nationwide Building Society is offering £175 if you switch a non-Nationwide bank account to a new or existing FlexDirect, FlexAccount, or FlexPlus.
To transfer your old account, you need to meet a couple of requirements:
- Your old account must have at least two direct debits.
- You must deposit at least £1,000 and make one debit card payment within 31 days of opening the new account.
Additionally, the entire switching process must be completed within 28 days.
To qualify, this must be the first time you’ve had a Nationwide current account switch offer since 2021.
Kate Steere, money expert at the personal finance site Finder, described this deal as “the best on the market right now.”
She said: “It will get you the most over the course of the year. If you opt for the FlexDirect account, you get 5% AER on balances up to £1,500 for 12 months. If you keep that in your account for the full year, you could earn up to £75 in interest.
“You also get up to £60 cashback on debit card purchases for 12 months and access to the Flex Regular Saver at 6.50% AER. If you save the maximum of £200 every month, you’ll earn £84.50 in interest in a year. That’s a chunky £394.50 in your first year, including switching bonus, maximum savings interest and cashback.”
The Co-operative Bank switch deal
Finally, the Co-operative Bank is offering a £100 bonus if you switch your existing current account.
Within 30 days, you need to deposit at least £1,000, have at least two direct debits, make at least 10 card transactions and register online. You can get an extra £75 if you meet these requirements again for the next three months.
You won’t qualify if you’ve received switch cash from the Co-operative Bank since November 1, 2022.
Consumers can find the full deal comparison on the Money Saving Expert website.
