Switching to an old bank account: credit check?

sush40

Hi, 

I would like to switch my current bank account from Santander 123Lite to another bank (reason is, I won't be paying the bills from my account anymore but from a joint account, so there is no need for me to keep 123Lite and pay 2 pounds/month if I don't get the cashback at the end of the month).

I was thinking of opening a brand new account with First Direct and complete a switch in order to get 150 from them.
But I realised that I still have an old Nationwide account that is still open; I could get 125 if I switch to them and use them as my main account.

I know that opening different bank accounts could affect your credit score, so I was wondering if using my Nationwide account would be wiser than opening a brand new account. As my Nationwide account is still open and active, would they still carry out a new credit check if I switched to them? 

I opened my Santander and Nationwide accounts a few years ago, but I applied for a credit card last year, a new saving account a couple of years ago and I just opened a new Chase account too, hence why I would like to make sure my credit score is not too much affected. 

Thank you

Daliah

One or two hard searches for current don’t really matter ref your credit worthiness

[Deleted User]

If you already have an account, then you won't get a switching bonus, unless you open a new account, which will involve credit checks. You'll need to check if already having an account bars you from the bonus in any case.

But it doesn't matter if your credit score is affected. All lenders will see is a single credit check, which is nothing to worry about. The score is just a gimmick for your own entertainment.

sush40

Deleted_User said:

If you already have an account, then you won't get a switching bonus, unless you open a new account, which will involve credit checks. You'll need to check if already having an account bars you from the bonus in any case.

Thanks for your reply. Actually Nationwide offer more money (125) if you are already a Nationwide customer and switch to them than if you were a new customer and wanted to switch to them (100).

Obviously the bonus is bigger with First Direct (150) so I can just switch and open a brand new account with them. It would then close my Santander automatically, and I could close my Nationwide account that I no longer use.

Or I can just switch to Nationwide (using my already-opened account) and get 125 bonus. I'll save the hassle of creating new passwords etc

eskbanker

sush40 said:

I opened my Santander and Nationwide accounts a few years ago, but I applied for a credit card last year, a new saving account a couple of years ago and I just opened a new Chase account too, hence why I would like to make sure my credit score is not too much affected.

By the way, savings accounts aren't reported to credit agencies (as they don't involve credit provision) and so don't affect your credit status in any way....

sush40

Thanks, so basically it doesn't make a difference if I used my old account or opened a brand new account. 

Out of curiosity, I'm still wondering if a credit check would be performed if I switched to my old Nationwide account as it is already opened

phillw

sush40 said:

Thanks, so basically it doesn't make a difference if I used my old account or opened a brand new account. 

Out of curiosity, I'm still wondering if a credit check would be performed if I switched to my old Nationwide account as it is already opened

If they perform a hard search when you haven't applied for any credit, then complain.

Daliah

eskbanker said:

sush40 said:

I opened my Santander and Nationwide accounts a few years ago, but I applied for a credit card last year, a new saving account a couple of years ago and I just opened a new Chase account too, hence why I would like to make sure my credit score is not too much affected.

By the way, savings accounts aren't reported to credit agencies (as they don't involve credit provision) and so don't affect your credit status in any way....

There is also no hard search for Chase.

sush40 said:

Out of curiosity, I'm still wondering if a credit check would be performed if I switched to my old Nationwide account as it is already opened

As you aren't applying for a new current account, Nationwide would not carry out any credit search.

Catplan

In op’s shoes I would open a Santander everyday account, setup, the required DD’s then do the FD switch. I would probably downgrade existing 123Lite to another everyday account and keep that If account longevity is important. Could always switch either to nationwide if that offer is still available.

sush40

I'm not too bothered about leaving Santander and account longevity isn't too important, but it's true that if I switched to Nationwide, I could keep my account longevity with them and still get the bonus, instead of opening a brand new account with First Direct. Now the bonus is bigger with FD and I've heard good reviews about this bank, so...
I'll probably look at other criteria such as their app, possibility to cash in cheques online, etc... 

Olinda99

Nationwide will switch your Santander account into your existing Nationwide account and give you £125.

No credit searches etc (don't apply for an overdraft)

Start the switch online by logging into your NW account.

Separately, if you want a FD account then apply for a new one, but obviously FD will do a credit search. You could wait until your Santander switch has completed and NW have paid the £125, then apply for the FD account and switch the NW account and get the FD money as well. Yes you would lose the longevity of the NW account but you would get a FD switching bonus.