We're nearly a month into 2020 and, statistically speaking, most New Year's resolutions are already gathering dust. "Save more money" is consistently one of the top three resolutions people make — and one of the first to fail.
The problem isn't willpower. It's vagueness. "Save more money" isn't a plan. It's a wish. And wishes don't pay for holidays.
So let's turn that wish into something concrete. Below is a practical, step-by-step action plan that uses bank switching bonuses, stoozing, and regular saver accounts to genuinely boost your finances this year — without cutting back on anything you enjoy.
Step 1: Grab the Free Money (Bank Switching)
If you haven't switched your current account in the last year or two, you're almost certainly leaving free money on the table. Banks regularly offer cash bonuses — typically £100 to £175 — simply for moving your current account to them using the Current Account Switch Service (CASS).
The switch itself takes seven working days. Your direct debits, standing orders, and salary all move automatically. It's genuinely painless, and I say that as someone who's done it more times than I'd care to admit.
Your January action:
- Check which banks you've already been with (you can't usually claim a bonus if you've had an account with them recently)
- Head to our live offers page to see what's currently available
- Use our eligibility checker to narrow down your options
- Apply for the best offer you qualify for
Most bonuses land within a few weeks of meeting the switching conditions, which usually involve moving over a certain number of direct debits and paying in a minimum amount each month.
If you've got a partner, even better — they can switch separately, doubling your haul. Between the two of you, a couple of switches through the year could easily bring in £300 to £500 in pure profit.
Don't know where to start? Our switching guide walks you through the whole process, including the direct debit requirements and what counts as a "pay in."
Step 2: Put Your Spending to Work (Stoozing)
Here's where it gets interesting. If you've got a decent credit score, you can use 0% purchase credit cards to earn money on cash you were going to spend anyway.
The basic idea: get a 0% purchase card, use it for your everyday spending (groceries, petrol, bills — anything you'd normally pay from your current account), and leave the money that would have been spent sitting in a savings account earning interest. When the 0% period ends, you pay off the card in full with the money you've had earning interest all along.
It's called stoozing, and it's been a quietly profitable strategy for years. If you're not familiar with the mechanics, our guide to how stoozing works explains it properly.
Your January action:
- Check your credit score (free via ClearScore, Credit Karma, or MSE's Credit Club)
- Look for 0% purchase cards with the longest interest-free periods — some are offering 20+ months right now
- Set up a savings account to park the freed-up cash
- Set a calendar reminder for two months before the 0% period ends (this is critical — you do not want to forget)
How much can you actually make? That depends on your monthly spending and the interest rate on your savings account. But as a rough example: if you typically spend £1,000 a month on a 0% card and park that cash in a savings account paying 1.5%, you'd earn roughly £225 over 15 months. Not life-changing, but it's money you'd have spent anyway — you're just making it work harder before it leaves your account.
The key risk is forgetting to pay it off before the 0% deal expires. Set multiple reminders. Put it in your phone, your calendar, and write it on a sticky note if you have to. The interest rate after the promotional period is typically 20%+, which will obliterate any gains in a heartbeat.
Step 3: Open a Regular Saver (The Easiest Win Going)
Regular saver accounts are one of the best-kept secrets in UK banking. They offer headline interest rates that dwarf anything you'll find on a standard savings account — we're talking 5% or more from some high street banks.
The catch? You can only pay in a limited amount each month (usually £25 to £250), and the account typically locks for 12 months. Because you're drip-feeding money in rather than depositing a lump sum, the effective return is roughly half the headline rate. But even so, a regular saver paying 5% on £250 a month will earn you around £80 in interest over the year. That's still significantly better than leaving it in a current account paying nothing.
Your January action:
- Check if your current bank offers a regular saver (many do, but only for existing current account holders)
- Set up a standing order for the maximum monthly deposit on payday — automate it so you don't have to think about it
- If your bank doesn't offer one, this is another reason to switch (see Step 1) — several of the best switching deals also come with access to competitive regular savers
The beauty of regular savers is that they require almost zero effort once set up. You automate the monthly payment and forget about it until the 12 months are up.
Putting It All Together: Your 2020 Timeline
Here's how to sequence everything so it actually happens:
This week (late January):
- Review your current accounts and check which banks you haven't been with
- Check your credit score
- Browse our live offers page for the best current deals
February:
- Complete your first bank switch application
- Apply for a 0% purchase card if your credit score supports it
- Open a regular saver and set up the standing order
March–April:
- Your switching bonus should land — resist the urge to spend it immediately
- Start using your 0% card for everyday spending
- Your regular saver contributions are now running on autopilot
Mid-year check-in (June–July):
- Review whether a second bank switch makes sense (many people do two per year)
- Check your stoozing savings pot is growing as expected
- Verify your regular saver standing order hasn't been disrupted
End of year:
- Your regular saver matures — either reinvest or withdraw
- Review your total earnings from all three strategies
- Plan your 2021 approach
If you follow even two of these three strategies, you'll likely earn several hundred pounds over the course of the year. All three together? You could realistically be looking at £500 to £1,000+ depending on your circumstances, spending level, and which offers are available.
The Mindset Shift That Makes This Work
The reason most money resolutions fail is that they rely on deprivation. "Spend less" and "save more" both feel like punishment. They require daily willpower, and willpower is a finite resource.
What makes this approach different is that it doesn't ask you to change your lifestyle at all. You're not cutting back on coffees or cancelling subscriptions. You're just being smarter about where your money sits and which accounts you use.
Bank switching takes 15 minutes of effort for a cash bonus. Stoozing means using a different card at the checkout. Regular savers just need a standing order. None of this is difficult — it just requires knowing the opportunities exist and taking 30 minutes to set things up.
The people who do well with this stuff aren't financial wizards. They're just organised. They set calendar reminders, they automate what they can, and they check in on their progress every few months.
What to Watch Out For
A few guardrails to keep things sensible:
Credit score considerations. Both bank switching and credit card applications involve credit checks. If you're planning to apply for a mortgage in the next six to twelve months, you may want to hold off on multiple applications. A single switch is unlikely to cause problems, but half a dozen in quick succession might raise an eyebrow with a mortgage lender.
The 0% expiry trap. I cannot stress this enough — diary the end date of any 0% deal. The single biggest risk with stoozing is forgetting and getting hit with backdated interest at 20%+. It's entirely avoidable with a simple calendar reminder.
Tax on interest. Thanks to the Personal Savings Allowance, basic rate taxpayers can earn up to £1,000 in savings interest per year tax-free (£500 for higher rate taxpayers). Switching bonuses may also count as taxable income in some cases. For most people doing this at a normal scale, tax won't be an issue — but it's worth being aware of.
Don't spend the stoozing pot. This sounds obvious, but the money sitting in your savings account while your 0% card carries the balance isn't spare cash. It's earmarked for paying off the card. Treat it as untouchable.
Common Questions
Is it too late to start in January? Not at all. January is actually one of the best times to start because banks often refresh their offers at the start of the year. But honestly, there's no bad time — the best time to switch is whenever you haven't done it recently. Check our live offers page for what's available right now.
How many bank switches can I do in a year? There's no hard limit, but two to three per year is a sensible pace. You need to keep each account open long enough to receive the bonus and meet any minimum requirements (usually 60 to 90 days). Spacing them out also minimises any impact on your credit file.
Do I need a good credit score to do all of this? Bank switching is available to almost everyone — the eligibility criteria are usually quite relaxed. Stoozing with 0% cards does require a reasonable credit score, typically in the "good" to "excellent" range. Regular savers are usually tied to having a current account with the same bank, so no separate credit check needed. Use our eligibility checker to see what you're likely to qualify for.
What if I've already switched to all the main banks? This is more common than you'd think! New offers do appear throughout the year, and banks occasionally reopen their bonuses to previous customers. Beyond switching, stoozing and regular savers still have plenty to offer. We've also got ideas for what to do when you've exhausted the obvious options.
Can I do this alongside a Help to Buy ISA or Lifetime ISA? Absolutely. These strategies are completely separate from your ISA allowance. The savings account you use for stoozing doesn't need to be an ISA (and often shouldn't be, since easy access is important). Your ISA contributions can continue as normal alongside everything else described here.
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