Bank Switching: The Complete UK Guide
UK banks pay you £100–200 each time you switch your current account. Do it 4–6 times a year and earn £500–800 annually. Here's exactly how it works, step by step.
Last updated: March 2026
What Is Bank Switching?
Free money from banks competing for your business
Bank switching means using the Current Account Switch Service (CASS) to move your bank account from one provider to another — and collecting a cash bonus for doing so. CASS is a free, government-backed service that transfers everything automatically: direct debits, standing orders, and incoming payments all move to your new account within 7 working days. Your old account is closed, and any payments sent to your old details are forwarded for 3 full years.
Banks spend millions on advertising to attract current account customers. Switch bonuses are their most effective acquisition tool — far cheaper than TV campaigns or billboard ads. You're simply taking advantage of their marketing budgets. It's not a loophole or a trick; it's exactly how the system is designed to work.
Typical bonuses range from £100 to £200 per switch. With 4–6 switches per year across different banking groups, you can realistically earn £500–800 annually. Some banks also offer ongoing perks like cashback on household bills, higher in-credit interest, or access to high-rate regular saver accounts.
Government-Backed
CASS is operated by Pay.UK and regulated by the FCA. Your switch is guaranteed.
7 Working Days
The entire switch completes in 7 working days. You choose the date.
£500–800/Year
Earn £100–200 per switch. 4–6 switches a year adds up fast.
Want to see what's available right now? Browse current switch bonuses
How Bank Switching Works
Five simple steps from finding an offer to collecting your bonus. The whole process takes about 10 minutes of your time, plus a 7-day wait for CASS to complete.
Find an offer
Browse current switch bonuses on StoozeMax. We track every live offer, show you the bonus amount, conditions, and whether you’re eligible based on your switching history.
Open the new account
Apply online with the new bank. It takes 5–10 minutes. Most banks only do a soft credit check for current accounts, so it won’t affect your credit score.
Request a CASS switch
Tell the new bank to switch your donor account (not your main account) using the Current Account Switch Service. Pick your switch date and CASS handles the rest.
Meet the conditions
Set up the required direct debits, deposit your salary or a qualifying amount, and use the debit card if required. Conditions vary by bank — StoozeMax tells you exactly what’s needed.
Collect the bonus
Your bonus is typically paid within 30–60 days of meeting all conditions. Once the cooling-off period ends, switch to the next bank and repeat the cycle.
Need more detail? Read the full step-by-step switching guide
The Donor Account Strategy
Never risk your main bank account
The most important concept in bank switching is the “donor” account. This is the account you switch from. You never switch your main account — the one where your salary arrives and your mortgage is paid. Instead, you keep a separate, disposable current account specifically for switching.
The Chase trick: Open a Chase current account. It only requires a soft credit check (no hard search on your credit file), it's completely free, and it takes minutes to set up. Use this as your donor account for every switch. When you switch away from Chase, simply open a new Chase account and repeat.
Some experienced switchers maintain multiple donor accounts across different providers — Chase, Monzo, Starling — all free, all soft checks. This gives you flexibility if one provider changes their terms or if you want to run multiple switches in parallel.
Key point
The donor account doesn't need to be your main account. It doesn't need to have your salary paid into it. It just needs to be a current account that you can switch from using CASS. The new bank is the one paying the bonus — they don't care which account you're switching from, only that you're using CASS.
Direct Debits: What You Need
Meeting the bonus conditions without hassle
Most banks require 2–3 active Direct Debits to switch over with your account in order to qualify for the bonus. This is where many people get stuck — if your donor account doesn't have enough Direct Debits, you need to set some up before initiating the switch.
Low-Cost DD Services
- •30pence.co.uk — 30p per month per Direct Debit. The gold standard for bank switchers.
- •50pDirectDebit — 50p per month. Another popular option with flexible setup.
Free Alternatives
- •PayPal subscription — Set up a recurring payment via Direct Debit.
- •Moneybox — Small monthly investment via DD.
- •Utility bills — If you have genuine bills, even better.
Timing matters
Set up your Direct Debits at least 2 weeks before you initiate the CASS switch. Direct Debits need to be active and showing on your account when the switch happens. If they haven't processed at least once, some banks won't count them.
For a full breakdown of Direct Debit options and costs, read our Direct Debit guide or see cheap Direct Debits for bank switching
Cooling-Off Periods & Rotation Strategy
The key to earning £500–800 every year
After you switch to a bank and collect the bonus, there's typically a 6–12 month cooling-off period before you can switch back to that same bank and qualify for another bonus. Some banks require you to have never held an account with them before, while others reset your eligibility after a set period.
The rotation strategy is simple: while you're waiting out one bank's cooling-off period, you switch to a different bank. By the time you've cycled through 3–4 banks, the first one's cooling-off has ended and you can switch back.
Example Year-One Timeline
Santander
Switch from Chase donor account
Club Lloyds
Re-open Chase, switch again
First Direct
New Chase donor, switch to HSBC group
NatWest
Fourth switch of the year
Year-one total: £745
And in year two, the same banks become eligible again
StoozeMax tracks your cooling-off dates and tells you exactly when you're eligible to switch again. Start tracking free
Banking Groups & Sister Banks
Know which banks share the same parent company
Some banks are part of the same parent group. Switching between sister banks within the same group usually doesn't qualify for a bonus, because the parent company considers you an existing customer. For example, if you hold a Halifax account and try to switch to Lloyds, you likely won't get the switch bonus because both are part of Lloyds Banking Group.
Lloyds Banking Group
- Lloyds Bank
- Halifax
- Bank of Scotland
HSBC Group
- HSBC
- First Direct
NatWest Group
- NatWest
- Royal Bank of Scotland
Nationwide
- Nationwide (standalone)
Santander
- Santander (standalone)
Always check eligibility first
Eligibility rules change frequently. Some banks exclude you if you've ever held any account in their group, while others only look at current account history. Before you switch, use StoozeMax's eligibility checker to verify you qualify for the bonus.
Does Bank Switching Affect Your Credit Score?
Short answer: no. But there are nuances.
The switch itself
CASS doesn't involve a hard credit check. The switch process has no impact on your credit score whatsoever.
Opening accounts
Most banks run a soft credit check when you apply for a current account. Soft checks are invisible to other lenders and have no impact on your score.
Multiple accounts
Having several current accounts is perfectly normal and doesn't negatively affect your credit rating. Millions of people hold accounts at multiple banks.
Before a mortgage
If you're planning to apply for a mortgage, stop switching 6–12 months beforehand. Mortgage lenders look at account stability, and frequent switching can raise questions during the application.
For a deep dive into this topic, read our full article: Bank switching, credit scores, and mortgages — the truth
Combine with Stoozing & Regular Savers
Stack strategies for £700–1,550 per year
Bank switching doesn't exist in isolation. It pairs perfectly with two other proven UK money strategies — and the earnings stack up significantly when you combine them.
When you switch to a new bank, open their regular saver account for extra interest (typically 7–8% AER). Meanwhile, use a 0% purchase credit card for everyday spending so your cash stays in savings earning interest for longer. This is called stoozing.
Bank Switching
£500–800
per year
Stoozing
£100–400
per year
Regular Savers
£100–350
per year
Combined annual earnings
£700–1,550
All from standard UK banking products. No risk, no investment required.
Frequently Asked Questions
Everything you need to know about bank switching in the UK. Can't find your answer? Check our bank switching masterclass for a deeper dive.
What is bank switching?
Bank switching means using the Current Account Switch Service (CASS) to move your current account from one bank to another. CASS is a free, government-backed service that transfers your direct debits, standing orders, and incoming payments to your new account within 7 working days. Your old account is closed automatically. Banks offer cash bonuses of £100–200 to incentivise you to switch, and you can earn £500–800 per year by switching multiple times.
Is bank switching free?
Yes, the Current Account Switch Service is completely free. There are no fees charged by CASS, your old bank, or your new bank. The service is backed by the Pay.UK payment authority and regulated by the Financial Conduct Authority. Banks cover all costs because they profit from having you as a current account customer.
How much can I earn from bank switching?
With a disciplined rotation strategy, you can earn £500–800 per year. Individual switch bonuses typically range from £100 to £200. By switching 4–6 times per year across different banking groups, you keep a steady stream of bonus income. Some experienced switchers combine this with regular saver accounts at each new bank to earn even more.
Does bank switching affect my credit score?
No. The CASS switch itself doesn’t involve a hard credit check and has no impact on your credit score. When you apply for a new current account, most banks only run a soft credit check, which doesn’t appear on your credit file. Having multiple current accounts is perfectly normal and won’t harm your rating. However, if you’re applying for a mortgage in the near future, it’s wise to pause switching 6–12 months beforehand.
What is a cooling-off period?
A cooling-off period is the time you must wait before you can switch back to (or first switch to) a particular bank and qualify for their bonus again. Most banks require 6–12 months, and some stipulate you must never have held an account with them before. StoozeMax tracks your cooling-off dates automatically and alerts you when you become eligible again.
What are sister banks?
Sister banks are banks that belong to the same parent group. For example, Lloyds, Halifax, and Bank of Scotland are all part of Lloyds Banking Group. HSBC and First Direct are in the HSBC Group. Switching between sister banks within the same group usually doesn’t qualify for a bonus, because the parent company considers you an existing customer.
Do I need direct debits to get the bonus?
Most banks require 2–3 active Direct Debits switching over with your account to qualify for the bonus. If you don’t have enough natural Direct Debits, you can set up low-cost ones through services like 30pence.co.uk (30p/month) or 50pDirectDebit (50p/month). Free alternatives include PayPal subscriptions and Moneybox. Set them up at least 2 weeks before initiating the switch.
Can I switch a joint account?
Yes, many banks offer the same bonuses for joint account switches. If both you and your partner qualify, you can effectively double the bonus from each bank by switching individual accounts separately. Some banks also offer specific joint account switch incentives. Check each bank’s terms, as eligibility requirements can differ between sole and joint accounts.
What happens to my salary and bills when I switch?
CASS automatically redirects everything. Your salary, benefits, and any other incoming payments are forwarded to your new account. All your direct debits and standing orders transfer across seamlessly. Any payments sent to your old account details are automatically forwarded to your new account for 3 full years. You don’t need to update anything manually.
Is the switch bonus taxed?
No. HMRC treats bank switch bonuses as incentive payments, not as interest income. This means they’re not subject to income tax and don’t count against your Personal Savings Allowance. However, any interest you earn on in-credit balances in your current account is considered savings interest and is subject to your PSA as normal.
See what's available right now: Best bank switch offers — March 2026
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