HSBC’s competitive switching bonus is back, meaning new customers can get £175 for changing current accounts.
But to get the perk, you’ll need to meet certain criteria – including paying in a minimum amount each month.
The cash bonus is available for new customers switching their main current account to the HSBC Advance Bank Account.
This account requires you to pay in £1,750 each month or £10,500 over six months.
Switchers must also set up at least two direct debits or standing orders from the new account within 30 days of opening.
You must also not have previously opened a HSBC current account of any type since January 1, 2017.
Why should I switch bank accounts?
NOT sure what switching could do for you? Here’s what you need to know:
- Switching is easy. Under the switching service, swapping banks should take seven working days. That includes all your payments, direct debits and standing orders being moved too. Just open your new account and then ask your new provider to close your old account using the switch service.
- Make sure you are eligible. Most accounts have certain requirements, such as paying in a minimum amount of cash each month.
- Watch your overdraft. Check your new bank will offer you the same limit — and does not have higher costs for using it.
The offer is only available online via the HSBC website or official Current Account Switch Service (CASS) and not through a HSBC branch.
But go quick as there’s no end date on the offer, which means it could be pulled at any time. The bank says the switching gift is available “until further notice”.
There is no monthly fee for the account, and HSBC promises access to discounts and offers through the bank’s members’ portal.
You also get an arranged overdraft of £1,000 but you will be charged fees of 17.9 per cent each time you use it.
In addition, you can open a regular saver linked to the account that pays 2.75 per cent, fixed for a year, as long as you save between £25 and £250 a month by standing order.
If you don’t qualify for a HSBC Advance Bank Account, the lender is also offering a £75 switching gift for new customers opening a HSBC Bank Account, which has no minimum monthly pay-in.
The bank is also giving new customers £175 for switching to its HSBC Premier account but this requires you to have at least £50,000 in savings.
You can also qualify by having an annual income of at least £75,000 and either a mortgage, investment, life insurance or protection product with HSBC.
Your main salary must also be paid into the HSBC Premier account.
What other switch offers are available?
First Direct: New customers can get £100 for switching to First Direct and its 1st Account.
To keep the account open you’ll need to deposit at least £1,000 within three months of account opening, although there’s no monthly account fee.
You can also get a £250 interest-free overdraft as well as access to the banks 2.75 per cent Regular Saver Account.
Visit the First Direct website for more information.
M&S: M&S shoppers might want to consider switching to M&S Bank, as the lender is currently giving away £180 worth of gift cards for changing your current account.
The deal is for new M&S Current Account holders who switch by January 6.
There’s no minimum monthly pay-in and you can gain access to a £500 arranged overdraft, although there’s a 15.9 per cent fee if you use it.
The first £100 voucher is paid when you switch, with the remaining £80 paid if you still have your account after one year.
TSB: TSB is offering a £50 switch gift if you change to the TSB Classic Plus account by January 2.
To get this perk, you need to pay in £500 and have at least two active direct debits.
As an added bonus, you’ll earn 3 per cent interest on the first £1,500 in your account if you register for online banking and statements, and then pay in £500 a month.
There’s an option of an arranged overdraft where the first £35 is fee-free, with a charge of 19.84 per cent after that.
In case you didn’t know, HSBC customers will see overdraft charges hiked by up to 39.9 per cent from March 2020.
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