Switching bank accounts and meeting criteria

tuta

Hello just watched MSE re:switching bank accounts and receiving rewards, my question is does the money from an external source entering the new account have to be from a salary? Can I simply transfer savings in and withdraw it monthly? Also do the 2 direct debits have to be large or just regular?

Thanks very much.

Vortigern

1. No you don't need a salary, you can transfer savings in and out.

2. Direct debit requirements depend on the bank you're joining. I don't know of any that need a "large" DD. Many require monthly DDs, some don't.

missile

Some T&Cs require that you close old account to qualify for the incentive to switch.

Zanderman

missile wrote: »

Some T&Cs require that you close old account to qualify for the incentive to switch.

All of them do, but I think the OP probably assumes that already, as it wasn't one of their questions.
A switch is a switch - and the old account is closed. Partial switches (keeping the old account open) don't count.

trailingspouse

There are plenty of current accounts out there where you don't need to switch to benefit from them - Lloyds Vantage and Nationwide Flexdirect to name but two. Just set up a standing order to go in and out, and set up a couple of direct debits. OH and I use the Lloyds Vantage accounts (we have one each) to pay small dd's (TV licence, prescription pre-payment cert, and so on). And Nationwide doesn't even ask for direct debits! You just need to put £1000 in a month - I put it in one day and take it out the next. We have one of those each as well!!

Zanderman

trailingspouse wrote: »

There are plenty of current accounts out there where you don't need to switch to benefit from them - Lloyds Vantage and Nationwide Flexdirect to name but two. Just set up a standing order to go in and out, and set up a couple of direct debits. OH and I use the Lloyds Vantage accounts (we have one each) to pay small dd's (TV licence, prescription pre-payment cert, and so on). And Nationwide doesn't even ask for direct debits! You just need to put £1000 in a month - I put it in one day and take it out the next. We have one of those each as well!!

Nationwide may not NEED a switch to get the interest rates etc but they do offer £100 bonus if the account is opened using a switch via a referral.

Actually the OP is seems primarily interested in switching incentives and 'rewards', not necessarily the interest benefits post-switching. 'Rewards' suggests Halifax, Coop and Barclays are on their wishlist. Not necessarily high-interest accounts, which are a slightly different topic to a switching discussion.

Placitasgirl

You will generally find that the Terms & Conditions for most accounts with a DD requirement state that they must be "active", i.e. being claimed regularly. You can't just set one up, let it claim once to twice and then cancel it. The need to remain active on your account.

tuta

thanks for the replies, yes I was just interested in the rewards and bonuses. I was not sure if the banks would need proof of income or inquire about money popping in one day and popping out to another bank account the next week with nothing but the dds coming out. Sort of seemed too good to be true!

agrinnall

tuta wrote: »

Sort of seemed too good to be true!

Take advantage while you can, they may eventually either stop it or make the interest rates so low that it's not worth doing. Many people on here have many such accounts and it wouldn't be feasible to have salary going into all of them, so we all do the transfer in and transfer out shuffle every month.

Katiehound

Also note that if T&Cs require a minimum pay in that money does not need to stay there- it only needs to visit!

johnac

Katiehound wrote: »

Also note that if T&Cs require a minimum pay in that money does not need to stay there- it only needs to visit!

And it doesn't need to stay for any period of time, I cycle £1000 through several accounts with a minimum pay in then back to where it came all within a few minutes and I always get the interest/reward.