Should you close old bank accounts ?

Lloyd90

I have a account that I currently use with TSB.

Several years ago I originally had an account with Halifax, this account also has a credit card, neither of which I have used for several years.

Currently I also hold an account with Lloyd's, although again I do not use it.

I am looking to open an account with Nationwide for my saving's as they are currently paying 5% on their flex account upto £2500 .

Is it good / bad to have several accounts with different banks ? Should I close old accounts or is it fine, or even better to leave them be ?

Thanks

Lloyd

Vortigern

Use the current account switching service to switch one of your redundant accounts to Nationwide. This will close the old account and you may get a switching bonus if you meet the terms and conditions.

No harm in keeping old accounts and using them for switching bonuses when the opportunity arises.

Mr_Goodkat

Vortigern wrote: »

Use the current account switching service to switch one of your redundant accounts to Nationwide. This will close the old account and you may get a switching bonus if you meet the terms and conditions.

No harm in keeping old accounts and using them for switching bonuses when the opportunity arises.

It would only be worth switching to the Nationwide account if doing so when recommended by a friend so that the OP and their friend get £100 each. If they don't have a friend to recommend them then they would be better switching those accounts for accounts that do have a switching bonus.

Mr_Goodkat

Lloyd90 wrote: »

I have a account that I currently use with TSB.

Several years ago I originally had an account with Halifax, this account also has a credit card, neither of which I have used for several years.

Currently I also hold an account with Lloyd's, although again I do not use it.

I am looking to open an account with Nationwide for my saving's as they are currently paying 5% on their flex account upto £2500 .

Is it good / bad to have several accounts with different banks ? Should I close old accounts or is it fine, or even better to leave them be ?

Thanks

Lloyd

I would only switch to the Nationwide if you are going to be recommended by a friend and get £100 each if not simply open a Nationwide account to get the 5% interest for a year and save the accounts for better switching e.g. Coop have a £150 incentive for switching plus up to £5.50 in reward payment every month (£4 of which is easily achieved) or M&S £100 for switching but then £10 per month subject to meeting certain conditions.

Also worth considering whether you do want to 'switch' Halifax or Lloyds account as Halifax could potentially be turned into a reward account and earn £5 per month dropping to £3 per month next year and Lloyds may be possible to upgrade to Club Lloyds for up to 4% interest dropping to 2% next year.

Nothing wrong with multiple accounts in fact it is recommended, if a bank suffers issues with processing transactions for example it is good to have at least one back up. There are also various switching and ongoing incentives available so makes sense to take advantage of these.

Good luck

anotheruser

Yes.
But use them to switch to new accounts for bonuses.

1) People leave money in old accounts and forget about them.
2) Privacy. If you move house, you may forget about telling that bank and have letters and things go to the old house.
3) One less thing to think about / One less organisation to have your details.

I only have two unused accounts.
My first ever bank account and one I'll use to switch at some point in the future.

DigForVictory

As a female of the species, I can point to at least one advantage of plural accounts - you leave one in your maiden name for the absent minded but generous relatives!

Other than that, a forgotten bank account used to be a lovely little compound interest earner. Maybe open a Credit Union account and trickle a little in by DD? Better rates than many banks at the moment, ahem, plus better odds of a loan when you need one desperately.

TheShape

Vortigern wrote: »

Use the current account switching service to switch one of your redundant accounts to Nationwide. This will close the old account and you may get a switching bonus if you meet the terms and conditions.

No harm in keeping old accounts and using them for switching bonuses when the opportunity arises.

There is a thread on the forum where I'm sure someone;) would be happy to refer the OP to Nationwide.

mt99

Yes I would definatly leave them open.

1. you never know when the bank will come up with a product you want - easier to apply if you already have an account with them.

2. even more important, you never know when your current bank will block access due to some perceived 'money laundering' or other problem - always wise to have a couple of spares.

Lloyd90

My partner is currently with Nationwide, so if she is to recommend me to switch one of my current accounts over to them we both get £100 ?

Very good indeed , are there criteria to meet for this or is it a simple switch ?

YorkshireBoy

Lloyd90 wrote: »

My partner is currently with Nationwide, so if she is to recommend me to switch one of my current accounts over to them we both get £100 ?

Very good indeed , are there criteria to meet for this or is it a simple switch ?

All the details are on the Nationwide website. Just type the word "refer" in the search box.

System

You could ask Halifax to convert your old credit card to Clarity (for holidays etc)

I would personally transfer the Lloyd's account to Halifax for the £100 then transfer Halifax to Nationwide (RAF).