09 Sept 2024

How to switch your bank account

Switch your bank account in just seven working days. Here, we explain how to switch, the best time of the month to do it and what to do if something goes wrong

Chiara CavaglieriSenior researcher & writer

In this article

Why switch bank accounts?

Not all banks are the same and some offer far higher interest rates, and lower overdraft fees than others, not to mention better customer service.

Better still, the Current Account Switch Service means that your new provider does most of the admin for you.

Here, we reveal the banks offering the biggest incentives to switchers and the pitfalls to look out for.

Best bank account switching bonuses

We don't recommend switching just because a bank is offering short-term perks – we think you should focus on interest rates, overdraft charges and its Which? customer score.

But if you're already looking to move, it's worth seeing what incentives are on offer:

Provider	Account name	Switching bonus	Which? Customer Score
First Direct (WRP)	1st Account	£175	82%
TSB	Spend & Save, Spend & Save Plus	£100 upfront plus £15 per month cashback for six months	69%
Santander	Edge Account	£36	70%

Table notes: Data correct as of 9 September 2024. Which? customer score: Our rating for customer satisfaction, based on feedback from real customers. The score is made up of a customer's overall satisfaction with the brand and how likely they are to recommend that brand to a friend. We surveyed 4,550 members of the general public in August 2023. Our full table includes scores and star ratings for all banks, including those chosen to be a Which? Recommended Provider (WRP).

Bank switching offer reviews

First Direct

To qualify for the switching bonus you must use the Current Account Switch Service and move across at least two Direct Debits or standing orders. You must also deposit £1,000 into your account, make at least five debit card payments and log on to online banking within 30 days.

The £175 will be credited to your account on the 20th of the month after you meeting the switching criteria.

You're not eligible for this offer if you've previously held any First Direct financial product, or if you opened a HSBC current account on or after 1 January 2018.

TSB

To qualify for the switching bonus you must use the Current Account Switch Service. To earn an initial £100 you must make a minimum of five debit card payments and log into the TSB Mobile Banking App by 27 September. The £100 will be credited to your account between 15 October and 25 October if you have satisfied this criteria.

To be eligible for a further £90 in cashback you must satisfy the criteria for the initial £100. You will receive £15 cashback per month (for the first six months) if you make a minimum of 20 debit card payments each month.

If you satisfy the criteria for the initial £100 and make a minimum of 20 debit card payments in March 2025 you will be eligible for a further reward. You will have the option of: a night away for two at a wide range of hotels, including Mercure, 2 ODEON cinema tickets each month for 3 months or a NOW Entertainment Membership for 6 months.

You are not eligible for the offer if you (or your partner if you are opening a joint account) received a switching bonus since October 2022 for switching to any TSB current account.

Santander - offer ends 7 October

To qualify for the cash bonus you do not need to be a new customer or switch bank account.

Instead you need to deposit £500 within the first 30 days of opening the account. Accounts that meet this criteria will be paid £36 within 60 days of opening the account.

Be aware the Edge Account has a £3 monthly fee.

How do I switch bank accounts?

There are plenty of reasons to switch bank accounts, as our video explains:

Most banks have agreed to use the new switching service, which means it should take just seven working days to switch you over from your old account once the new account is opened.

If you want to check which banks and building societies are participating, you can search by name here on the Current Account Switch Service (CASS) website.

The switching service is largely automated. The step-by-step process below details exactly what happens.

Step 1: find your new bank account

If you don't yet have an account in mind, you can skip to our advice on choosing the best current account below.

Step 2: apply for your chosen account

When you apply to the new provider, it will undertake its normal account-opening procedures.

Banks and building societies have to comply with strict money-laundering rules, so when you open an account you'll be asked to provide two separate documents for proof of identity and proof of address.

You'll then need to complete a Current Account Switch Agreement form and a Current Account Closure Instruction form, provided by your new bank or building society.

Step 3: know your rights

Your new bank or building society will confirm whether it's using the Current Account Switching Service, which is backed by the Current Account Switch Guarantee.

This guarantee means that it will correct any problems with payments as a result of the switching process.

Step 4: choose a switch date

You'll be able to agree a convenient switch date for you with the new bank or building society.

It can't be a Saturday, Sunday or a bank holiday, and must be at least seven working days after your account has been opened.

Once this date has been agreed, your new bank will provide confirmation that the switch has begun and will be completed on the agreed switch date.

You'll continue using your old current account up until the agreed switching date, although don't set up new payments such as direct debits and standing orders during the seven working days leading up to your agreed switch date.

Your new provider will contact you if there any issues during this period.

Step 5: start using your new account

On the switch date, your new bank or building society will be responsible for moving your incoming and outgoing payments, and transferring any money to your new account, before closing the old account and sending confirmation that the process is complete.

More on switching bank account

Applying for multiple current accounts can affect your credit rating in the short term – because banks must run credit checks for the overdraft facility – but having one or two credit application searches will have minimal impact.

Ideally, you should spread credit applications out, so if you're applying for a mortgage or car finance it may be best to wait until you've secured this before switching bank accounts.

It can be beneficial to have a longstanding relationship with your bank when you apply for credit but lenders are far more interested in your actual credit history so don't let this put you off switching to a better bank account.

Find out more: How to check your credit score for free

Yes, having an overdraft isn't a barrier to switching but you'll need to pay off any debt with your old bank.

Whether or not the new account provider offers you an overdraft facility and whether or not it matches your current overdraft limit will depend on your circumstances.

If you have a record of managing your overdraft well, most banks will consider taking the existing overdraft on.

If the new provider won't let you move your existing overdraft across, you can still switch but you will need to discuss a way of paying off your overdraft with your old bank.

Some may agree to keep the old account open to help you pay it off gradually but others may insist you clear the debt before you switch.

No, if you don't want to close your old account, you can do a partial switch instead.

The main downside is that you aren't covered by the service guarantee, so you aren't automatically refunded for any charges incurred as a result of a direct debit or standing order failing to transfer properly.

It may also take longer than seven days to complete the switch.

And, the best switching incentives are often reserved for customers who use the full switch (CASS).

The Current Account Switch Guarantee outlines how the switching service works and what rights you have if anything goes wrong with the switch.

All providers offering the Current Account Switch Service will abide by these rules:

The service is free to use, and you can choose and agree your switch date with the new bank.
The new bank will take care of moving all your payments going out (eg direct debits and standing orders) and those coming in (eg your salary) to your new account.
Your new bank will arrange for the closure of your old account and for the remaining balance to be transferred to your new account on the agreed switch date.
For 36 months, the new bank will arrange for payments accidentally made to your old account to be automatically redirected to your new account. The new bank will also contact the sender and give them your new account details.
The responsibility lies with the new bank to contact you before the switch date if there are any issues.
The new bank must refund you for any charges incurred as a result of a direct debit or standing order not having been successfully transferred to the new account.