Did you know you can earn hundreds of pounds a year just by switching your bank account? The Current Account Switch Service (CASS) makes it quick and painless, and banks regularly offer cash incentives to win your business. If you're looking for easy wins as part of your financial spring clean, this is one of the simplest.
How the Current Account Switch Service Works
CASS is a free, government-backed service that moves everything — direct debits, standing orders, and your salary — from your old bank to your new one in just 7 working days. Any payments accidentally sent to your old account are automatically redirected for 3 years. Over 40 banks and building societies participate.
Best Bank Switching Offers Right Now
Banks rotate their switching offers regularly. Typical bonuses range from £100 to £200 cash, though some offer other perks.
- Cash bonuses: Paid directly into your new account, usually within 30-60 days
- Cashback on bills: Some accounts offer 1-5% cashback on direct debits
- Linked savings rates: Higher interest on linked savings accounts
- Packaged account trials: Free travel insurance or breakdown cover for a year
- Referral bonuses: Some banks offer extra if a friend refers you
How to Maximise Your Switching Gains
You can switch multiple times per year to stack bonuses. Keep a 'base' account you never switch away from, and use a secondary account for switching. Check the terms — most require a minimum number of direct debits (usually 2-3) and a regular deposit. Set up a standing order from your main account to meet the deposit requirements.
Common Switching Mistakes to Avoid
- Not reading the full terms — some require you to stay for 6-12 months
- Forgetting to update accounts that don't auto-redirect (like PayPal or Amazon)
- Switching away from an account with a good overdraft facility you might need
- Not checking if you've had a bonus from the same bank before — most are once-per-customer
- Applying for too many accounts in a short period, which can affect your credit score
Does Switching Affect Your Credit Score?
Opening a new current account triggers a hard credit check, which can temporarily lower your score by a few points. However, this is minor and recovers quickly. If you're about to apply for a mortgage, you might want to hold off. Otherwise, the financial benefit of switching bonuses far outweighs any tiny credit score dip. Check your credit score before and after to monitor.
Frequently Asked Questions
How many times can I switch bank accounts?
There's no limit on how many times you can use CASS. However, each bank typically only offers their bonus once per customer, so you'll need to switch to different banks each time.
Do I need to close my old account when switching?
With a full CASS switch, your old account is closed automatically. If you want to keep it, you can do a partial switch — but this usually doesn't qualify for the bonus.
What happens to my overdraft when I switch?
Your new bank may offer a matching overdraft, but this isn't guaranteed. If you rely on your overdraft, check with the new bank before switching.
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