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.

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.

friolento

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

I am also in my seventies, and I check one or two of my credit files monthly. Not because I am concerned about my meaningless credit score, or about my ability to get a mortgage or other credit (as I often was when I was younger), but because I want to monitor whether any accounts were fraudulently opened in my name. It actually did happen twice - someone managed to open JD Williams store credit accounts. I spotted it before any debt accrued and had the accounts closed immediately. Just last month, a new Virgin current account that I knew nothing about appeared on my Experian credit file. It turned out this had been added in error, and Experian swiftly removed it.

There have also been rare occasions when I got asked what looked like difficult questions when applying for bank accounts, credit cards and even a GovUK account. Questions like “when did you open a current account with xyz provider” - something I wouldn’t remember off hand. They are using Experian for these questions. Therefore it’s useful to have a free account with at least Experian, but I also have a Transunion one. I believe the MSE credit club also use Transunion.

I believe it is essential for anyone younger to know what’s on their credit files, unless they never want a mortgage, credit card, current account, or loan. Or for anyone who is concerned about ID theft. Landlords and letting agencies might check your credit files. AFAIK, some employers are also doing soft credit searches when considering job applications.