January is the time when everyone thinks about money. New Year's resolutions fade by February, but if you're actually going to sort your finances in 2023, the first month is when to act.
The good news? Right now, banks are throwing serious money at you to switch. We're talking £175 to £250 bonuses just for moving your current account. Add a regular saver on top, and you're looking at real, meaningful income — the kind that actually moves the needle.
This isn't complicated. Let's break down exactly what you need to do in January to reset your finances and build momentum for the rest of the year.
Why January is different
January is when banks want new customers. They're quieter than summer (fewer people moving), and switching offers are almost always at their peak. The incentive here isn't theoretical — it's genuinely worth your time.
You've also just had the tax year end on 5 April 2022, which means you've got your full ISA allowance back. If you didn't use it last year, you've got £20,000 sitting there waiting for you to use it on savings. January is when people actually think about this stuff, so the timing works in your favour.
Plus, there's a psychological angle: January is when people change banks without guilt. The rest of the year, most people stay put. You're in a window where it's socially acceptable (and actively encouraged) to switch.
The current switch offers
Here's what's actually available right now:
First Direct 1st Account — £175 switch bonus. First Direct has been the standout offer for months, and it's still good. The 7% regular saver rate is also useful if you can stack it with other accounts.
Santander — £200 switch bonus on their newer accounts. If you want the highest headline number, Santander is usually the play.
Multiple providers — Through uSwitch and comparison sites, you'll see various offers ranging from £175 to £250. The highest amounts often come through specific partnerships.
Don't get hung up on chasing the absolute maximum. A £175 bonus is worth the same whether it's from First Direct or Santander. What matters is whether the account itself is good to keep long-term, and whether you can meet the switching conditions.
Most require a direct debit guide to qualify (the switching service handles this for you), and there's typically a 35-day switching window. Check our live offers page for what's available today.
How to actually switch (and not mess it up)
Here's the step-by-step:
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Pick your new bank. Use our switching guide to understand what you're signing up for. Don't just chase the bonus — you might be stuck with this account for years.
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Apply online. This is instant. The bank will do a soft credit check (doesn't affect your score significantly) and you'll hear back within minutes.
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Start the switch. Once approved, the new bank initiates a "Current Account Switch Service" transfer. This is the official UK switching process — it handles all your direct debits, standing orders, and the move itself over 35 days.
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Monitor during the switch window. Your old and new accounts run in parallel. Direct debits get set up on the new account automatically. Watch for any that go wrong.
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Close the old account. Once the switch completes, you're free to close your old bank if you want. But keep it open if you've got a mortgage or loans there — it's not worth the hassle.
The bonus usually lands 30–60 days after the switch completes. Don't rely on it being immediate.
Stack it: switches + regular savers + stoozing
Here's where it gets interesting. £175 is good. But £175 + £200 from a regular saver + £300 from stoozing is a genuinely useful amount of money — that's nearly £700 from your banking setup alone.
Regular savers are where First Direct's 7% rate really shines. You get a capped amount (usually £100–£300 per month), but at 7% on £200/month, you're looking at real returns. The catch? You can't dip into it until the year ends, and you need to set up a standing order from your current account to feed it.
The first step is to check our live offers for what's available — rates have shifted a lot as the Bank of England has raised rates.
Stoozing is the other part of the stack. If you've got a 0% credit card, you can move money between accounts using it and earn the savings rate difference. It's free money if you've got the discipline to pay the card off before the 0% ends. Learn how stoozing actually works.
Most people don't combine all three because they think it's complicated. It's not. It's just three separate accounts working together. The only rule is don't spend money you've meant to stooze or save.
The January checklist
Here's what you should do before the end of the month:
Week 1:
- Decide which bank you're switching to. Use the offer pages to compare bank bonuses, not just the bonus amount.
- Apply online. Takes 10 minutes.
Week 2:
- Initiate the switch through your new bank. The old bank handles the heavy lifting.
- Set up a regular saver if your new bank offers a decent rate.
Week 3:
- Monitor that your direct debits have moved correctly. Call the new bank if anything's missing.
- If you're stoozing, research current 0% credit card offers and apply (this is separate from the current account switch).
Week 4:
- Plan for February. Once the switch completes, you'll have settled into the new account. That's when you review what you're actually earning.
Common mistakes to avoid
Switching too many times. Yes, you can switch again in a few months, but not immediately. Most banks have a cooling-off checker period (usually 30–35 days after the switch completes), and applying for multiple new accounts in quick succession can affect your credit score. One switch now, another in 6 months, is a sensible pace.
Missing the direct debit deadline. If you've got a mortgage payment or insurance premium on direct debit, make sure it gets moved to the new account. The switching service should handle it, but verify.
Forgetting about cooling-off. Once the switch completes, you can't immediately switch again to another bank and get another bonus. That's the regulation — it's designed to stop bank switching from becoming a free-for-all. Plan your next switch for July or August.
Not checking the account terms. A £200 bonus is great, but if the account has monthly fees or a rubbish savings rate, you've won £200 but lost more over the year. Read the small print.
The math: how much you can actually earn
Let's say you're switching from a big bank that offers nothing to First Direct (£175 bonus + 7% regular saver):
- Switch bonus: £175
- Regular saver (£200/month for 12 months at 7%): roughly £84
- Interest on your main balance (if you've got £5,000 and earn 4% on an easy-access savings account): £200
Total: £459
That's nearly £500 from just having the right accounts set up. Most people don't get £500 from anywhere in January. This is genuinely useful money.
Now, if you add stoozing (£300 from moving money on a 0% card), you're at £759. And if you've got a partner and do this jointly, you're looking at £1,500+.
This isn't get-rich-quick. It's "get-£500-quick," which is far more realistic and actually valuable.
What happens in February?
The switching window closes, your accounts settle, and you've got a new normal. That's when most people drop off and forget about their finances. Don't.
Use February to review what's actually working. Did the regular saver feel manageable? Is the new bank's app any good? Are you earning enough on your savings? Then plan your next move — whether that's a second switch, a different savings strategy, or both.
Getting specific: use our tools
If you're unsure whether switching makes sense for you, try our eligibility checker — it'll tell you whether you're eligible for the major offers right now.
Check our live offers page for the current bonuses. They change monthly, and what's best today might not be best in six weeks.
And if you've never switched before, our switching guide walks through the entire process step-by-step. It's boring reading, but it removes the anxiety.
The bigger picture
January isn't just about this month's bonuses. It's about building a system that works for you all year.
Some people switch twice. Some people layer in regular savers and stoozing. Some people just get one £175 bonus and call it a day — that's fine too. The point is that January is when you decide what you're going to do, then build the habit.
If you do nothing else in 2023 except switch banks once, you'll be £175 better off in February. That's not life-changing, but it's real money for 20 minutes of work. Most of us can spare that.
Common Questions
Can I switch if I've got a mortgage with my current bank?
Yes. Your mortgage and your current account are separate products. You can switch your current account without touching your mortgage. The bank might not like it (they want to keep you), but they can't stop you.
How long does the full switch take?
The official switching service takes 35 days maximum. In practice, it's usually 7–10 days. But the bonus doesn't land immediately after — add another 30–60 days for the bonus to appear.
What if I want to switch back to my original bank later?
You can, but you'll lose the switching protection. Also, you won't get another bonus from the same bank for at least 12 months (usually longer). Switching is designed to move customers between banks, not to bounce back and forth.
Can I switch accounts and do a regular saver at the same time?
Yes. The switching happens automatically, then you set up the regular saver separately. They're independent products. Just make sure your standing order for the regular saver comes from the new account, not the old one (or it'll fail after the switch).
Is switching going to wreck my credit score?
No. The credit checks during switching are soft checks, which don't affect your score. You might see a small dip if you apply for multiple new accounts in quick succession (the hard checks do impact), but a single switch? Your credit score will barely notice.
Start your switch today. Check our offers page, pick your bank, and apply. By the end of January, you could have an approval in place and the switch underway. By March, you'll have earned your bonus and be into the routine of your new account.
That's how you actually reset your finances in January — not with vague resolutions, but with concrete actions that put money in your pocket.