Swtiching to Another Bank - Credit Check

originator

Why don't you just get a donor account and switch that instead of your main bank?I did that to switch to halifax,got a bog standard current account with natwest and then left them for the halifax within about 2 weeks.It's easy once you've done it once honest!

Lala2015

originator wrote: »

Why don't you just get a donor account and switch that instead of your main bank?I did that to switch to halifax,got a bog standard current account with natwest and then left them for the halifax within about 2 weeks.It's easy once you've done it once honest!

Hi originator,

Sorry, not sure what you mean by donor account? I haven't got any other accounts that would meet the criteria to qualify for the rewards.

Archi_Bald

Lala2015 wrote: »

Hi originator,

Sorry, not sure what you mean by donor account? I haven't got any other accounts that would meet the criteria to qualify for the rewards.

I you get yourself a new account that would meet the criteria to qualify for the rewards you call that a donor account.

Lala2015

Archi_Bald wrote: »

I you get yourself a new account that would meet the criteria to qualify for the rewards you call that a donor account.

Oh I see! Thank you for explaining.

In my situation that would be a bit of work.

The criteria to meet to get the rewards from the Halifax account are:

A £5 reward each month you pay in £750+ (The only payment of more than this amount per month would be my monthly wage).
Pay two different direct debits (I only have 2 DDs and these come from my main account (apart from utilities, which I don't really want to move about).
Stay in credit - I always do so n/a

To open yet another account (I have 4; 2 current accounts, one saving account and 1 CC) to use as a donor account seems a bit counter productive?


Thoughts and advice welcome!

originator

Hi Lala,maybe have a look around on here at the other threads to guide you through it(there's loads that helped me).I didn't find it hard work,but then I've got plenty of time on my hands to fartarse around online since I retired lol.Didn't involve visiting any branches and it's free money.........

Dird

You have much to learn Padawan. 2 weeks ago I was in the same situation as you.

1) Apply for a new Barclays account, put in £20
2) Apply for a Tesco Internet Saver account
3) Send off the Tesco paperwork (proof of address etc)
4) When Tesco OK open a 2nd Tesco Internet Saver account
5) Apply for a Halifax account
6) Use the 2 Tesco Internet Saver accounts to create DDs on the new Barclays account (say £4.99 and £9.99), schedule them to run in 2-3 works after you create the halifax account
7) Apply to switch the new Barclays account to the Halifax account
8) Transfer the £750 each month from your main to your Halifax, leave behind £15 to cover the Tesco DDs

Pros:
- You keep your main account, nothing can break from it

Cons:
- It does 2-4 credit checks instead of 1 with switching your main. Not sure if the 2nd internet saver will do one. Also not sure if the switch applies its own check

I'm waiting on my Tesco confirmation to return :f

grumbler

Lala2015 wrote: »

I'm weighing up the pros & cons, with the view of potentially switching online today.

Pros:
£100 upfront cash back
£5 every month (I meet - and always meet the criteria so no doubt about this).
The £5 is far more than I am getting with my Barclays current account per month (approx. £1 per month!)


Cons:
I'm worried everything will go wrong and payments/rent/utilities etc. will default!

What are you comparing? I meant that you could open a new account with Barclays for switching it Halifax (possibly through a chain of other banks thus collecting several bonuses).
Nothing stops you from having both Barclays Blue Rewards for monthly £4 and Halifax Reward for monthly £5 (plus bonus).

This will show up on my credit score/history and I will have to build back up.

After ~6 months credit searches have very little effect, if any. One recent search has very little effect either.

Length I've been with new bank (Halifax) will obviously show as a very short time (when applying for a mortgage).

Well, you can keep your long standing Barclays account (with Blue Rewards added).

This will show up on credit score and I'm aware I will have to build this back up, BUT I will be going to be switching my car insurance & breakdown provider in October which will do exactly the same thing.

I can understand paying monthly (and extra as a result) for insurance if it's very expensive. Paying monthly for breakdown is beyond me.

gingercordial

Lala2015 wrote: »

Morning all & thanks for all the replies!

The £5 is far more than I am getting with my Barclays current account per month (approx. £1 per month!)

I take it this means you are only getting £1 per month on your Barclays account.

Why don't you apply for the Blue Rewards on the account? That way you will make £4/month with no need to switch that one.

Then as others have said, apply for a second current account with Barclays and use that to switch to Halifax or anywhere else for the bonuses, with direct debits from Tesco savings accounts as necessary.

Lala2015

Thanks for everyone's help, advice and opinions!


I've decided to switch my main account to the Halifax reward account - Main reasoning is I didn't want to have lots of different 'donor' accounts. I'm a little OCD and like things all in one place!


(FYI Grumbler, in answer to your point - I pay both my car insurance and breakdown annually, but compare quotes each renewal to keep the cost down!)


I'll let everyone know if I experience any issues.... Eeeeek!

grumbler

Lala2015 wrote: »

...(FYI Grumbler, in answer to your point - I pay both my car insurance and breakdown annually, but compare quotes each renewal to keep the cost down!)

In this case you shouldn't worry about any credit searches left in your credit history. Only if you opt in paying monthly this may result in a credit search.