Santander, Lloyds, TSB, Nationwide customers handed free £1,035 payments

Banks have launched a huge free cash war in a new battle for customers. The latest bank to offer free cash for customers who fancy switching is the Co-operative Bank, which has branches up and down the country as the Cost of Living crisis continues.

John Ward, Director of Product at The Co-operative Bank, said: “We’re pleased to launch this new switch and regular save incentive today. As the only UK bank with a customer-led Ethical Policy, our customers can be assured that their money will never be used to fund organisations involved in harmful activity such as the extraction or production of fossil fuels or human rights abuses.”

But the bank isn't the only financial institution offering free sums of money to account holders. Indeed, customers who switch to an array of high street giants - be it Santander, Lloyds or Nationwide, the biggest building society in Brtiain - can also benefit.

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Co-op - £150

The Co-operative Bank has announced a brand new switching offer worth £150. Customers who switch away from their old bank to Co-op bank's Standard Current Account or Everyday Extra account can get an upfront payment of £75.

However, to get the rest customers will need to open a Regular Saver Account. If they do, Co-op will pay an additional £15 a month for the next five months - totalling £75. To get the first £75, new customers must also set up two active direct debit on the accoun.

These can include any that are transferred as part of the switch - deposit a minimum of £1,000, register for online banking or mobile banking, and make a minimum of ten card transactions within 30 days.

Nationwide - £200

Nationwide is offering a £200 switch bonus - but only if you're already a customer. In order to claim this cash, you need to move a non-Nationwide current account into a new or existing a FlexPlus, FlexDirect or FlexAccount. This includes two direct debits.

You must have been a Nationwide member on March 31, 2024, in order to be eligible, and the switch must be completed within 28 days of it being requested. The money will then be sent within ten days. You won't qualify for the switch cash if you've already had a switch offer since August 18, 2021.

Santander - £175

To get £175 from Santander, you can be either a new or existing customer. The offer is available to those who switch to either a Santander Edge, Santander Edge Up or Private current account. To qualify for the £175 payment, customers must complete the full switch within 60 days and pay in at least £1,500.

You must also set up two active direct debits and continue to hold the qualifying current account on the day the payment is made. The £175 will be paid within 90 days of starting the switch process. Sadly, you won't be eligible if you've previously had a switch offer from Santander.

Lloyds - £175

Lloyds is offering switchers £175 if they move across to one of three of its current accounts: Club Lloyds, Club Lloyds Silver or Club Lloyds Platinum. You just have to open an account online, by phone or in-branch, then switch in an account from a different bank including three direct debits by July 30.

The £175 will then be paid within 10 working days of the switch starting.

First Direct - £175

To qualify for the £175 from First Direct, you must transfer a balance of £1,000 into the account, switch at least two regular payments, and using your debit card a minimum of five times within 30 days of opening the account. The £175 will then be paid by the 20th of the next month.

To be eligible for the incentive, customers must not have previously held a First Direct product or opened an HSBC current account on or after 1 January 2018.

TSB - £160

The switch deal from TSB sees new customers get a £100 bonus and £60 in cashback. The offer is available to those who switch to a TSB Spend & Save or Spend & Save Plus current account. To receive the £100, customers must make a minimum of five payments using their debit card or contactless, and log into the TSB Mobile Banking app at least once, by July 5.

TSB will pay the £100 between July 17, 2024 and July 31, 2024. TSB is also offering double cashback for six months, from £5 to £10 a month, for those who choose the Spend & Save account. This means new customers can earn a total of £60 over those six months. If you choose the Spend & Save Plus, the same £10 a month cashback is available for the first six months, and it will then revert to £5 cashback a month.

This means customers can receive a total of £90 in the first 12 months, however, this account does come with a £3 monthly fee - so this takes your cashback down to £54 over the first 12 months. To earn the cashback, customers must make 20 debit card payments each month.