Santander 123 Lite - conversion to Everyday Account from 21 August 2025?

Elvie100

I posted this on another Santander thread, but it probably deserves one to itself for those who still have the 123 Lite.  I have not received anything via email or post, but saw this on their website (note “we’re planning”?):

https://www.santander.co.uk/personal/support/current-accounts/changes-to-your-current-account

Changes to your 1|2|3 Lite Current Account – May 2025

Moving to Everyday Current Account
From 21 August, we're planning to convert the 1|2|3 Lite Current Account to our Everyday Current Account. This is the nearest alternative account type we offer.
The Everyday Current Account doesn’t pay any credit interest or cashback and doesn't have a monthly fee. It offers an arranged overdraft with a representative rate of 39.94% APR/EAR (variable).

Your options
If you want to carry on using your account after it’s changed, you don’t need to do anything. However, you do have a couple of other options as well:

• ​You might be able to transfer to another Santander account – take a look at our full range of current accounts. If you do transfer, you can keep your existing account details including the account number and debit card.
• ​You can close or switch your account without charge. We’re a member of the Current Account Switch Service, which offers a secure and easy way to switch your account to another bank in 7 working days. You can find more information through the CASS website

GeoffTF

It is unwelcome news that the 123 Lite is about to go. Transferring to an Edge account appears to be my best option. I can do that online. How long does it take? Is it instant? I intend to open an Edge Saver when the transfer is complete. Can I do all of this in one go? I want the Edge Saver to pay interest at the beginning of each month. The 1st of June will be a Sunday. Can I transfer my account and open the Edge Saver on that day?

Elvie100

Others will have more recent experience I suspect, but I think it was instant to upgrade an Everyday account to Edge, keeping the same sort code and account number. I just think it is odd they say ‘we’re planning’ and not ‘we are’ and we have had no notification as yet, but the change to the Edge cashback in September has already been communicated.

I already have an Edge just for the Saver account.  The 123 Lite is my main account which I had when it was Abbey National and was my original 123 account when that came out.  I would need to close my other Edge and convert the 123 Lite afterwards I guess but I am not doing anything until official notification comes and it’s still three months away if it is actually happening.  My interest varies between 21st and 22nd of the month but does get credited on a Sunday looking back over the past few months.

fergie_

Though not as good as when it was first launched, the 123 Lite account was great for the regular cash back on household bills.

GeoffTF

My 123 cashback is paid on the 27th. I expect that my best strategy is to switch to the Edge on the Wednesday 28th June, and open the Edge Saver on Sunday 1st June.

crumpet_man

How is the Everyday account the closest alternative account?  No cashback, no fee.  Edge is a closer match.  They could offer this with a a few months discounted fee as a gesture of goodwill

I know they don't need to and won't.  I will make less than one pound with Edge direct debit cashback after the fee. 

I think I'll be better off to move the direct debits to Chase boosted saver, the extra interest should pay more than £1 per month.

Section62

If everyone's account gets converted on 21 August then presumably they'll be looking at a pro-rata the final month's fee, or waive it altogether, otherwise it would be unfair on those whose account month is shortly before the 21st.  Likewise, will cashback be paid for the final month if your account month ends after the 21st?

Unless "From 21 August" means the conversion is done on individual account month dates?

surreysaver

crumpet_man said:

How is the Everyday account the closest alternative account? No cashback, no fee. Edge is a closer match. They could offer this with a a few months discounted fee as a gesture of goodwill

I know they don't need to and won't.  I will make less than one pound with Edge direct debit cashback after the fee. 

I think I'll be better off to move the direct debits to Chase boosted saver, the extra interest should pay more than £1 per month.

It would depend upon individual circumstances. For me, the Everyday account is the closest alternative. The Edge would cost me more than I receive in cashback, as I have an Abbey National mortgage which gives me cashback with my 123 Lite.
I expect they cannot move everyone to an Edge, as a lot of us would already have one 

Sea_Shell

We were considering a move away from Santander, this might just be the deciding factor.

Section62

Sea_Shell said:

We were considering a move away from Santander, this might just be the deciding factor.

I'd been thinking about moving my direct debits away - I'm now only just covering the fee with cashback, and with useful SMS alerts being stopped soon the risk of a DD failing due to low balance will increase going forward. As the charge for one failed DD could wipe out more than a year's net profit on the cashback the 123 (/Lite) account doesn't look anything like as worthwhile as it did in the old days.

myth123

Unfortunately a move to the Edge account would leave me slightly worse off after the fee. So I'll be leaving my current account as the free Everyday account when the transfer happens. Not many alternatives for direct debit cash back on bills