Opening multiple current accounts - credit score impact

patchyX2

I've had a single current account with Santander for ~5 years.

I recently I opened an Edge current account with them (in addition to my 1|2|3 account) and moved a couple of DD's to it, with the sole purpose of switching it to Nationwide to get the £200 switching bonus. 

Once I get the money from Nationwide, I'll be looking to switch again and get some more free £££. I've also seen the latest HSBC offer which doesn't require switching your account; just opening one is enough.

I'm aware that there are warnings about opening too many current accounts in too shorter space of time. What exactly is considered a short space of time though? And how many is too many?

I only intend to keep my Santander 1|2|3 account as my main account. Any other account I'll shut down/switch as soon as I get the qualifying bonus. So my available lines of credit/overdrafts won't increase by a great deal, but I'm not sure if this is the area of concern, or if it's purely the high number of credit searches being performed, regardless of the reason behind those searches.

I'm potentially moving home in the next few years, so I don't want to do anything that could jeopardize this. I have got a good credit score at the moment and this is the only way I can see my negatively affecting it.

born_again

Forget your credit score. It is a made up figure by the CRA's. NO lender see's it. 
Lenders base lending on your credit history (missed payments) income to available credit & their risk appetite.

So carry on enjoying the bribes while they are there. Just maybe leave it a couple of months between moving. (made up figure 🤣)

eskbanker

PledgeX2 said:

I'm aware that there are warnings about opening too many current accounts in too shorter space of time. What exactly is considered a short space of time though? And how many is too many?

There aren't any exact answers to these questions, and much will depend on what sort of credit you'd be looking for and when, together with your broader financial circumstances, but some hard searches now wouldn't influence your ability to remortgage in a few years time.

MikeJXE

From my personal experience

I have been with Santander about 14 years and last December started on the switching game 

Since then I must have opened at least 15 current accounts, some of them more than once and still have 10 open for the yougov bribe

I have been successful in every incentive since then claiming over £2000, never had a problem with any bank. I have just received notification from Nationwide £200 will be deposited into my account within 10 days

So 15 accounts opened in 10 months and not made any difference to my credit score for what it's worth, no black marks on my credit file, I still pay my credit card in full every month 

Does that answer how many is too many and how shorter time ?

Would I still do that if I needed a mortgage in the very near future ? Maybe not but in the longer term yes I would 

flaneurs_lobster

My experience and switching history is pretty much the same as @MikeJXE 's above, including not having foreseeable need to apply for credit facilities. Applied for (and accepted for) an Amex Nectar CC last week for the £100 signup bonus.

As others have said, ignore so-called "credit scores", they are meaningless marketing guff (one agency says mine is "999", might as well say "a hundred quadrillion million") 

phil7445

@mikejxe What's the Yougov bribe?

flaneurs_lobster

phil7445 said:

@mikejxe What's the Yougov bribe?

https://forums.moneysavingexpert.com/discussion/6416681/yougov-finance-bribe/p1

MikeJXE

MikeJXE said:

From my personal experience

I have been with Santander about 14 years and last December started on the switching game 

Since then I must have opened at least 15 current accounts, some of them more than once and still have 10 open for the yougov bribe

I have been successful in every incentive since then claiming over £2000, never had a problem with any bank. I have just received notification from Nationwide £200 will be deposited into my account within 10 days

So 15 accounts opened in 10 months and not made any difference to my credit score for what it's worth, no black marks on my credit file, I still pay my credit card in full every month 

Does that answer how many is too many and how shorter time ?

Would I still do that if I needed a mortgage in the very near future ? Maybe not but in the longer term yes I would 

That took less than 24 hours 

Thank you for £200  Nationwide