In years gone by, most people would get a bank account early in their adult life and stick with it for decades.
Competition now sees banks try to win over new customers by offering cash to switch – but only if you use their current account as your main account.
Many people have been put off that idea owing to the perceived complication of wages being paid into that account, and direct debits and the like needing to be moved.
The Current Account Switch Service, external now does most of the hard work.
You provide the account and debit card numbers for the account you are leaving to your new bank and choose a date for the move (although it can take seven days).
Behind the scenes, the service will then automatically transfer direct debits and standing orders, move the balance, redirect incoming payments, such as benefits or salaries, and close your old account.
If anything goes wrong, you’ll be refunded any interest and charges on your old and new accounts.
If you have an overdraft, you’ll have to check the new bank offers to cover this, and the amount owed will then be switched automatically. If not, you’ll have to pay it off.
