Keeping current accounts when doing bank switches

BlueRed12

When you switch a current account from one bank to another bank, can you still open a current account with the bank you switched from in the future? For example, if you perform a full switch from RBS to HSBC to get a switch incentive, your current account with RBS is closed. Can you now not bank with RBS anymore? I know that some banks like Chase do not let you open a current account with them if you've previously closed one before.

eskbanker

As you recognise, some banks will impose restrictions on future accounts, whereas others won't, so there's no one-size-fits-all answer - if you don't wish to sever your relationship with your existing current account provider, open a secondary account with them (or anyone else) and switch that instead, leaving the original one in place…

superleeds27

You'll still be a customer with them, but have no active accounts if that makes sense?

I've switched from barclays to NW, still technically have logins for barclays

pepas

Hello

I requested a switch from Barclays to HSBC, it's in progress. Does the switch close my Barclays current account, or it leaves it open until I close it myself?
I'd rather have everything with HSBC now, as not happy with Barclays, but I've been with Barclays for almost 26 years, is it better to leave something open with them?

Thanks.

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/82119925#Comment_82119925

If the switch is being handled via the Current Account Switching Service then yes, it closes the old account automatically. If you're unhappy with Barclays then I can't see much point in opening a new account just to leave it open with them?

pepas

Thanks, eskbanker.
I agree, and I'd close everything I have with Barclays, but I was under the impression it'd have an impact in my credit as it would erase all my previous 26 years of banking history in this country. I don't understand much about these things, do you think it'd have an impact in some way or my impression is totally wrong?

eskbanker

https://forums.moneysavingexpert.com/discussion/comment/82119947#Comment_82119947

Nothing gets erased as such - my understanding is that it's sometimes beneficial in credit assessments to have a longstanding account (with credit facilities, i.e. not a savings one), but I don't believe it's measured at relationship level, so if you're closing the old current account by switching it then I don't think there's any value in keeping anything else open for the sake of it.

StewedApple

https://forums.moneysavingexpert.com/discussion/comment/82119925#Comment_82119925

Your credit history is held by the various credit reference agencies independently of who you bank with. The data for Barclays will remain on this record when you close you account with Barclays (if this is what you decide to do).

If the data were lost/erased when you closed a bank account anyone with a poor credit history could use this option to erase their previous history.

Don't forget that you can request a copy of the statutory report from any of the credit reference agencies at no cost ( you can usually find a link somewhere at the bottom of their site far below the guff about a paid-for profile which they are selling). This report shows details about you, anyone you have a financial relation with, and details of bank accounts you hold, gas and electricity accounts, and payment histories for credit cards/loans/etc.

You should request a copy annually from at least one of these companies to ensure that the data held about you is accurate.

subjecttocontract

I'm in my seventies & Ive never ever bothered about my credit history. Never seen it, never checked it and why would I even think it's of any importance.

confederated

https://forums.moneysavingexpert.com/discussion/comment/82120427#Comment_82120427

Maybe to monitor whether you have been the victim of identity theft and someone has opened a credit facility or bank account using your data without your knowledge?

I remember years ago O2 had incorrectly left an unpaid marker on my credit reference - for £5 after I'd closed my O2 account. It was causing me issues and had I not checked my credit reference I'd have been none the wiser.

A credit reference is what registered companies are able to see about you - surely you're interested to see what is on record for you?

subjecttocontract

No. Like the majority of the population it's never made my 'to do list' & I don't feel I've missed out on life as a result.