Should I switch Current Account?

Abraham1999

Hello,

I have had a BOS Current Account for many years. I recently received an invite from Nationwide to transfer to switch to one of their CAs for £200.


I'm aware that switching has a relatively minimal impact on credit score, and that it is usually advisable not to do this when planning on getting a mortgage in the next six months.

My dilemma is that I am concerned that switching away from BOS to another current account provider could potentially harm my chances of obtaining preferential rates from BOS if I decide to get a mortgage with them in future. 

Would this be likely or are "preferential" rates for long-standing customers a thing of the past?

Should I just go for the switch?

Rob5342

If all you want is the switching bonus then just open a new account somewhere else and switch that. You can then switch that to other banks for more bonuses. 

steven141

Chase have relatively easy to set up accounts in the app but you have to keep at least 1 account open with them otherwise they won’t allow you back after you close an account with them. 

The main Chase account will show on your TransUnion credit file but they won’t do a hard search when applying for a new accounts. 

Their secondary accounts just act as another pot really and you have to direct the debit card to point to that account when you want to spend from it. Extra accounts have no credit search to open and also don’t show as an extra account on your credit file. They can be set up in minutes by adding the plus. 

I hope that helps if you do decide to open a Chase account for switching.

PixelPound

However opening a new account and switching within a short period shows 2 hard searches, one for the donor and the other for the switch. 

friolento

nic_c said:

However opening a new account and switching within a short period shows 2 hard searches, one for the donor and the other for the switch. 

Unless you are planning to apply for a large credit - mortgage, loan, credit card - in the next 6-12 months, these two hard searches won't matter a jot.

penners324

Preferential rates for long standing customers are thing of the distant past.

HSBC offer a mortgage with a very slightly better rate if you have a certain type of account with them but there's no timescale on how long that account needs to be open for.

Katiehound

Very easy to open a new account with BOS. Groom it! (pay in a bit of money, set up DDs if needed,) Wait for debit card to arrive- then switch. Check what Nationwide wants......

keep your 'main' account as it is, especially if you have had it for a long time

Bridlington1

nic_c said:

However opening a new account and switching within a short period shows 2 hard searches, one for the donor and the other for the switch. 

Switching in of itself does not result in a hard search, only the opening of a new current account part does so if switching an existing account into another existing current account there will be no hard search.

Moreover some banks forgo the hard searches altogether when opening current accounts (Metro, Chase etc). In addition BOS, Lloyds and Halifax will only do a hard search for the first current account you open with them and not for additional accounts. 

Therefore if the OP were to open a second BOS current account and then switch that into their existing Nationwide account they would not suffer any hard searches.