Can I switch bank accounts?

niffer85

Hi everyone,

I'm completely new to this so apologies if this question is in the wrong place!

Basically I was with Santander up until 3 years ago and then switched banks to nationwide as I was taking out a nationwide mortgage and was told I could only get that mortgage rate if I banked with them.

I'm tied into a 4 year fix mortgage with nationwide but I was wondering if I can swap banks to first direct? I've read the newsletter email about £150 cashbook and linked savings account and would really like to switch! Would I be breaking some sort of contract or anything with nationwide though? I'm under the impression that, because my mortgage is with nationwide, I have to keep my bank with them too?

Thanks in advance

colsten

Just open another Nationwide current account (you are allowed up to 4) and switch that one after you have received the debit card (which will be needed for the switch).

niffer85

Thanks for replying

Don't you have to pay your salary into the bank account though?

It says about needing to pay in a min of £1000 per month. I don't earn enough to pay £1000 into 2 separate accounts.

colsten

Open a 1st Account, then switch your banking to us using the Current Account Switch Service and pay in at least £1,000 within three months of your account opening

Doesn't say you can't take out the £1,000 as soon as it has been paid in, and that is what many (most?) people did.

For the ongoing monthly fee, check the T&Cs which say on page 6



So all you need is £1 in their bog standard savings account and you don't need to pay in £1,000 a month.

niffer85

Hmmm I'm not clever enough to play the system and don't understand all the jargon.... If I switch bank accounts will it affect my mortgage do you know? Or will there be a penalty or fine or something? Or is it completely fine?

If I can switch I will and if it's against the rules I won't.

eskbanker

If you're following colsten's recommendation from post #2, you'll only be switching a secondary Nationwide account not your main one, so if a condition of your Nationwide mortgage is that you need to bank with them then you wouldn't be breaking this if you continue to do so with your main account.

However, it would be prudent to satisfy yourself by reading the terms and conditions of your mortgage rather than taking advice from well-meaning strangers on the internet....