Another bank switch deal has launched, this time offering £100 for switching and another £50 for staying.
It’s been a full-on week for bank switching with four different banks launching offers over seven days. The latest is from RBS and it’s potentially the biggest earner – but you will have to stay with and use the bank for a year.
Here’s how the offer works and my analysis.
How much can you get for switching to RBS?
The RBS Switch & Stay offer has two parts. First you’ll get £100 for switching to a new or existing account. Then you’ll get an extra £50 if you stick around for a year and make at least 10 payments. I’ll share more details in a bit.
You can only get one bonus per person, regardless of whether you have more than one solo or any extra joint accounts. You’ll also only get one payment per joint account, so if two of you want the cash you’re better off opening two new individual accounts.
Who can get the RBS switching offer?
It’s another deal where new and existing customers can get the free cash. You will need to open up or already have one of the following accounts:
- Reward Silver
- Reward Platinum
Then you need to use the Current Account Switching Service to move over an account from a different bank (this is only non-RBS, so a Natwest account should be fine).
You won’t get it if you’ve had any cash from switching to RBS, Ulster Bank or Natwest since October 2017.
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What are the requirements for the RBS switching offer?
This offer has more conditions than most other offers, particularly if you want the additional £50 – though in reality they won’t be hard to achieve.
The initial £100 switching bonus
To get the first £100 you need to:
- Start a full switch via the Current Account Switch Service by 5pm 18 November 2021 via the RBS website or app
- Pay in £1,500 by 30 December 2021 (it doesn’t have to be in one go)
- Log in to mobile or app banking by 30 December 2021
- Keep the account open until 28 January 2022
The extra £50 loyalty payment
Then for the additional £50 you must:
- Make 10 eligible credit or debit transactions every month between January and September 2022
- Keep the account open until 16 November 2022
These 10 payments are going to be easy to sort out. Here’s the full list from the offer Ts&Cs:
- Direct Debits (for example, regular bill payments made with your account).
- Standing orders.
- Payments to or from your account made in the UK or abroad (for example, online payments, Faster Payments,
- CHAPS, BACS, international payments and payments made to or from your account over the counter in a bank branch or via a cash and deposit machine).
- ATM withdrawals.
- Cheque payments to or from your account.
- Using your debit card (for example, to pay for things online, using chip and PIN, contactless, Apple Pay and Google Pay – criteria apply).
- Using Paym (Pay Your Contacts).
- Recurring point of sale payments (for example, recurring payments set up with your debit
Payments that won’t count though are the account fees such as the £2 a month you’ll pay with the RBS Reward account.
As reader Jonathan suggested, you could easily set up a standing order to and from a different bank account to cover this, and you’ll have two Direct Debits already if you have the Reward account. Though obviously these payments need to happen a total of 10 times.
When will the money be paid?
The first £100 will be paid to your account by 28 January 2022. If it is any earlier it certainly won’t be in 2021.
The second payment will be in your account by 16 November 2022. Again, I can’t see it reaching you any earlier than October 2022.
Which RBS account should I choose?
So, you’ve got four accounts to choose from. Let’s ignore the Silver and Platinum accounts as they’re only worth considering if you need travel insurance and breakdown cover. With the lack of overseas travel right now you’ll be paying for something you don’t need.
That leaves either the Select or Reward account. The Select account is free to use and a good choice if you just want to get the bonus.
However if you’ve got a couple of spare Direct Debits, adding them to the Reward account will earn you £4 a month. You’ll get another £1 for using your RBS app each month. Deduct the £2 a month fee and you’ll earn £3 a month, or £36 a year. It’s not the highest paying account out there, but worth nabbing if you are going to use RBS.
Is it worth switching to RBS?
Though I expect a number of you will be ruled out as you got the free cash from previous RBS or Natwest offers, anyone eligible should certainly consider it.
Not only can you get the free switching cash, but you’ll get £36 a year with the Rewards account and access to the Digital Regular Saver which pays 3.04% on £50 a month (max of £1,000 overall). In total you could be up £200 over 14 months (assuming you start the switch mid-September).
It’s a little annoying that you are required to stick with the bank for up to five months initially, and a further nine and a half for the second payment. Though to be fair I’m surprised more banks don’t put these stipulations in to stop people like you and I from switching again and again.
Are there better switching offers
If you’re a repeat bank switcher then you might only be able to pick one or two options, but for complete newbies I’d actually look elsewhere – at least to start.
You can get £100 (and potentially six cinema tickets) in 10 days with a switch to Club Lloyds, and then switch it to Nationwide for £125 AND still have time to then switch again for this RBS offer. That’ll get you a huge £425(ish).
But if you only want to switch once I’d probably go for the new Santander 123 Lite switching offer. You’ll get £130 for switching and earn cashback every month on your household bills – worth an ongoing £40 to £60 a year.
Here’s everything you need to know about all these different bank switching deals.