Serial switching.

Sponge

I opened a sacrificial account with NatWest and used that to get £100 from the Co-Op. I then used that to get £125 from First Direct.

I was going to stick with FD and see if they live up to their reputation. However, there are still some bonuses to be had, e.g. Halifax, M&S and I was wondering how many accounts people have opened/closed to get the £££? Does there eventually come a time when you're refused or it has a detrimental effect on your credit file?

My wife is about to start doing something similar.

FireWyrm

Halifax have a clause in their switching statement that says you cant have the bonus if you have switched in the last year or so. I suspect other banks might have similar Ts&Cs.

Mr_Goodkat

I have 30+ current accounts and never had a problem opening new ones from scratch if the incentives/benefits don't require switching or doing a switch where they are required.


You could possibly claim another £100 by closing your First Direct account if you signed up after they offered the leaving £100 as part of their service guarantee.


Halifax Reward is a good account to switch to as you will get £100 switching bonus and then get £5 per month (as long as you meet the t&c's).


There are a lot of accounts out there that don't require switching:
TSB 5% interest on £2k
Santander 123 3% on £3k-£20k plus cash back
Club Lloyds 4% on £5k


Having multiple current accounts is the way to go to make your money work harder.


I have recently emptied my three Lloyds Vantage accounts as they have cut the interest rate but I am not closing the accounts. I will keep them until I can use them as donor accounts for switching elsewhere when new incentives (although with 30+ current accounts) I am running out of options. Come on Dickie B even Tesco have beaten you to launching your 'coming soon' current account...

Sponge

Does that mean any switch? Or just the account you're switching from?

All the application forms I've filled in ask how long you've had the account your closing and if it's been under a year, I can see the potential for refusal with T&Cs like that.

But what about a scenario whereby the account (A) is over a year old, but you switched another account (B) to another bank (C), can (D) still refuse? How would they know?

My Natwest and Coop accounts had only been opened a few months, 6 tops. I had no problems.

My wife has an RBS account that's been unused for several years - that's ripe for a switch.

I have an account which I could switch, but I've had it since 1992. It was my first current account and it has sentimental value. I also wonder if it's worth having one account of such longevity when it comes to applying for loans, mortgages, etc.

colsten

If you plan to apply for credit at some stage, being able to say you have had your current account since 1992 or whenever could be beneficial since lenders like financial stability. They will also be able to see your accounts and their history on your CRA files. So that's a reason for not giving up you old friends, even if you now have a distant relationship with them.

Switching an account that you have only had for a month or two isn't suspicious. It could easily mean that you just didn't get on with the account, and desperately want to switch away from it.

I have applied for many current accounts and switched a few, too. I have never seen an application or switching form that asked how long you had the account to be switched. They normally all ask whether you have "another" current account, and if so, since when. I am truthfully answering this question by giving them the longest period I held a current account for.

Can echo what Mr Goodkat said, too.