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Current accounts allow Britons to regularly check the money at their disposal, as well as receive regular payments. As such, this type of account is used by millions of people right across the country for their banking affairs. However, recently, a number of banks have attempted to incentivise customers through a current account switching reward.
HSBC is offering £125 to customers who switch to its Advance account, with the bonus available to those who open an account and then start a switch within 30 days.
The RBS Reward Account, on the other hand, gives £100 to those who open an account and switch by November 19, 2020.
And for those contemplating switching to the Club Lloyds offering by Lloyds Bank, they may be drawn in by the £100 reward, alongside a choice of other annual benefits.
The incentives to switch have been widely welcomed, after several months of no such deals during the COVID-19 crisis.
However, it is still the case that many view switching as a complicated process.
Administration and other complications often put people off from exploring the options available to them.
But there is a service at hand which could help to simplify making the leap to change providers.
The Current Account Switch Service has been used for over six million current accounts, and is available through many major and popular banks and building societies.
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And the steps are easy for Britons to follow, meaning the process should be uncomplicated.
Firstly, people will need to open a new current account of their choice in one of the banks or building societies signed up to the switch service.
Secondly, they will need to select a switch date of their choice.
This is when they would like to make the change from their old provider to their new offering.
The rest of the hard work is done through the switching service, which makes the process more streamlined.
Seven working days before a selected switch date, a new bank or building society will commence the process of setting up a new account.
Direct debits, salaries and benefits will all switch over within this period, meaning Britons will not be required to undertake additional administrative work to inform people of the change.
Any payments due to go to an old account will be redirected, and at the end of the process, the balance will be transferred to a person’s new account.
But there is one particular benefit of using the switching service that people may not be aware of.
If something goes wrong when switching, the service provides a cushion, meaning any fees or charges because of the switch will be refunded to the customer.
This is not an option available if a person chooses to switch outside of the official service, and so is particularly helpful.
Finally, many of the banks currently offering incentives require Britons to go through the official switching service.
Therefore, it is vital to understand the process before changing bank or building society.
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