Switching bank accounts in the UK is far less hassle than most people assume. The Current Account Switch Service (CASS), run by Pay.UK, moves your entire current account — balance, direct debits, standing orders, salary and pension payments — to a new bank in seven working days, free of charge, and with a guarantee that protects you if anything goes wrong. In return, many banks pay a cash incentive, typically between £100 and £175. Since most of the work can be done online in one sitting, few financial chores deliver as much for as little effort.
That said, the bonuses come with conditions, and who is eligible and what moves automatically matter more than the headline figure. This guide walks through the service, the current offers and the steps involved. It is general information, not personal financial advice, and bank offers change frequently, so always confirm current terms first.
Why people switch at all
Most of us stay with the same bank for years without really questioning it. Switching is one of the few financial tasks that can pay you to do it, and the reasons range from the purely financial to the practical: a cash incentive, interest on a credit balance where most current accounts pay none, lower monthly fees, a cheaper overdraft, a better app, or higher-rated customer service. Some people switch to a bank that avoids fossil-fuel investments, others for fee-free spending abroad. Whichever reason applies, the mechanism is the same — CASS — and it is designed to remove the excuses for staying put.
How the Current Account Switch Service works
CASS is a free service managed by Pay.UK that transfers your current account from one bank to another. It is backed by a guarantee: if payments fail or you are charged anything as a direct result of the switch, the new bank must refund you in full. What actually moves across is broad — all direct debits, all standing orders, salary and pension payments, any interest earned on the account, and any other incoming payments.
Two things do not move. Your overdraft does not transfer automatically, so you generally need to reapply for one on the new account. And CASS only covers current accounts — savings accounts, credit cards and investments held with the old bank sit outside the service and must be handled separately. Your own to-do list is short: open the new account first, apply for the switch, keep enough in the account for direct debits to clear during the transition, and update anything outside the service such as PayPal and gym memberships.
The incentives on offer in 2026
Bonus amounts and their conditions vary from bank to bank and change over time, but a snapshot of offers from mid-2026 gives a fair sense of the market:
| Bank | Incentive | Requirements | Timeframe |
|---|---|---|---|
| First Direct | £175 | Pay in £1,000 a month for 3 months | Within 28 days |
| Nationwide | £100 | Switch via CASS, pay in £1,000 | Within 30 days |
| Lloyds | £125 | Switch via CASS, pay in £1,000 | Within 60 days |
| Halifax | £100 | Switch via CASS, pay in £1,000 | Within 60 days |
| TSB | £100 | Switch via CASS, pay in £500 | Within 30 days |
| NatWest | £125 | Switch via CASS, pay in £1,000 | Within 60 days |
| RBS | £125 | Switch via CASS, pay in £1,000 | Within 60 days |
The most important condition is usually hidden in the terms: most banks will not pay you if you already hold, or have previously held, an account with them. A worked example helps. Switch from Barclays to First Direct and have your monthly salary of £2,200 paid in automatically; after three months, First Direct credits £175 to your account — for roughly twenty minutes of online work. The catch is reading the terms so you meet every requirement before the deadline.
Opening the new account and moving over
Choosing which account comes first, and it is worth comparing on more than the bonus alone — monthly fees, interest on balances, overdraft rates, app quality and customer service all matter once the bonus is spent. Comparison sites such as MoneySuperMarket and ComparetheMarket do most of the legwork.
Most banks let you open a current account online in ten to fifteen minutes with proof of identity such as a passport or driving licence, proof of address such as a utility bill or bank statement, and your existing account details. The switch itself is then applied for in the app or website: select the switching option, enter your old bank details, choose a date and confirm.
Then come the conditions attached to the bonus, which typically mean a minimum monthly pay-in of £500 to £1,000, keeping the account open for a set period, and often setting up direct debits. Nationwide, for example, historically asked for £1,000 paid in via a CASS switch. If your salary is £2,000 a month that happens automatically; if you are self-employed, a transfer of £1,000 from savings counts just the same.
Credit scores and overdrafts
A common worry is that switching will harm your credit record, and in most cases it does not. The CASS switch itself involves no credit check. Applying for a new bank account normally triggers a soft search, which leaves no trace on your credit file. The exceptions are applying for an overdraft — a hard search, which lenders do see — and the effect of closing your old account, which reduces your total available credit and can raise your credit utilisation ratio. The practical tip if you have an overdraft is to apply for one on the new account before you switch, rather than closing the old arrangement first.
What the accounts actually offer
Once the bonus is banked, the account you are left with becomes the point. The main high-street accounts are fee-free, but differ elsewhere:
| Feature | First Direct | Nationwide | Lloyds | Halifax | TSB |
|---|---|---|---|---|---|
| Monthly fee | £0 | £0 | £0 | £0 | £0 |
| Interest on balance | 0% | 1% (up to £1,500) | 0% | 0% | 0% |
| Overdraft rate | 39.9% EAR | 39.9% EAR | 39.9% EAR | 39.9% EAR | 39.9% EAR |
| Fee-free spending abroad | Yes | No (2.99% fee) | No (2.99% fee) | No (2.99% fee) | No (2.99% fee) |
| Customer satisfaction | Top rated | High | Average | Average | Average |
| App quality | Excellent | Good | Good | Good | Good |
Reading across the market, First Direct is the strongest overall choice for most switchers — the largest bonus at £175, fee-free spending abroad and top satisfaction ratings. Nationwide’s FlexDirect is the pick for interest and for overdraft users. For ethical banking, Triodos Bank stands apart by avoiding fossil-fuel lending, and for travel First Direct wins on its abroad spending terms.
The seven working days, and the weeks after
The switch itself runs on a predictable clock. Day one, the new bank submits the request; day two, the old bank identifies everything to be moved; days three and four, the payments transfer; day five, the new bank processes them; day six, the old account closes; by day seven the switch is complete. Throughout, you do nothing — payments are rerouted automatically.
The checks come afterwards. In the first week, log in and confirm every transferred payment is present, and test a small payment. In month one, verify the direct debits, check the salary is arriving and update anything CASS did not cover. By month three, when the bonus conditions are typically met, confirm the incentive has been credited.
Details worth getting right
Because the process is so easy, the slip-ups are easy to miss. Switching too frequently can look unusual to a future lender, so two to three years between switches is a sensible rhythm. Failing to meet an incentive’s exact requirements is the most common reason bonuses are never paid, so read the terms before the deadline. Set a reminder to check your payments two weeks after the switch, since a handful of services sit outside CASS. And do not close the old account manually — the switch handles it once everything has cleared, and closing early risks rejecting payments still in flight.
The bottom line
Switching a current account is one of the few financial tasks that literally pays you for the effort, and CASS makes it free, reliable and fast. The realistic outcome for most people is £100 to £175 for the switch, plus an account that genuinely suits how they bank. Choose the account for what it offers beyond the bonus, meet the terms, and let the seven working days do the rest.