Switching from Santander 123 account

JAC2201

I love a recommendation and was wondering if anyone has switched from a Santander 123 account recently.

We have just switched our mortgage to Santander but even with the 1% a month we only stand to make £9 a month cashback what with the recent fee increase to £5.

I am considering switching to either First Direct, HSBC or Halifax. I like the idea of a lump sum bonus which would really help right now.

My partner and I will be paying in £1400 a month to cover our mortgage and bills throughout the month. It's very rare that we have any left over but we never have less than £200 in the account at one time because of our direct debits leaving on different dates. The account is purely for this purpose not for saving or general spending.

Any suggestions please? Was the switching process straight forward?

Many thanks.

Baby_Angel

Recently switched to Halifax from Santander. Immediately got the £100 switching bonus from them. No hassle whatsoever. We were informed via text at every stage and then confirmed with letters. The first DD went through to the council and only three network couldn't manage to collect their DD, but told me that it wasn't Halifax fault and they would collect next month. It hasn't been a month, so yet to receive their £5 for being in credit. Would highly recommend. I do not have £1000s lying around to get any interest from other accounts. So Halifax was my only choice.

Candyapple

Switched an account to Halifax and they paid the incentive 9 days later. I've never had a problem with Halifax and have banked with them for years.

HSBC switching the process is very slow and convoluted from what I have read on here.

First Direct's online banking is woefully inadequate and it wouldn't surprise me if people have left due to that. I've not switched to them but have banked with them for years also (I only use it for the 6% saver).

eskbanker

JAC2201 wrote: »

We have just switched our mortgage to Santander but even with the 1% a month we only stand to make £9 a month cashback what with the recent fee increase to £5.
<snip>
Any suggestions please?

Why not open another (donor) account with Santander (or any other bank) and switch that for a bonus, thus retaining the £9 net monthly cashback on the mortgage from the 123?

JAC2201

Thank you for the replies.

I do have an Instant Saver account with Santander. Does it have to be a current account in order to Switch?

If I open another current account does it affect my credit rating each time?

JAC2201

Considering moving my main current account to Halifax then. Firest Direct gets amazing customer reviews on MSE. Why are more people opting for Halifax over FD?

Kernel_Sanders

JAC2201 wrote: »

Considering moving my main current account to Halifax then. Firest Direct gets amazing customer reviews on MSE. Why are more people opting for Halifax over FD?

If you want to add something to your post, just use the edit button.

enthusiasticsaver

I am switching to FD from Santander 123 for the switching bonus and access to 6% regular saver. Only just started the process though so don't know how straightforward it is.

eskbanker

JAC2201 wrote: »

I do have an Instant Saver account with Santander. Does it have to be a current account in order to Switch?

Yes, it needs to be a current account to qualify for the Current Account Switching Service, which is what switching bonuses depend on you using.

JAC2201 wrote: »

If I open another current account does it affect my credit rating each time?

A search will generally be recorded so it can do, especially if you're already marginal, but many on here, myself included, have opened many (double-digit numbers) current accounts without any adverse effect.

N1AK

JAC2201 wrote: »

I love a recommendation and was wondering if anyone has switched from a Santander 123 account recently.

We have just switched our mortgage to Santander but even with the 1% a month we only stand to make £9 a month cashback what with the recent fee increase to £5.

I am considering switching to either First Direct, HSBC or Halifax. I like the idea of a lump sum bonus which would really help right now.

My partner and I will be paying in £1400 a month to cover our mortgage and bills throughout the month. It's very rare that we have any left over but we never have less than £200 in the account at one time because of our direct debits leaving on different dates. The account is purely for this purpose not for saving or general spending.

Any suggestions please? Was the switching process straight forward?

Many thanks.

I'm not sure I see why you're looking to trade. You keep a nominal amount in the account (maybe £800 averaged over the month?) and are being paid £9 for doing so.

You could get the switching bonus without closing the Santander 123 account with a bit of legwork, which would seem to be the better option financially.