Get £175 for switching bank account to NatWest or RBS

NatWest and RBS have launched a new bank account switching incentive, where participants will receive £175 when they sign up and make a deposit.

Available to both new and existing NatWest and RBS customers, the offering is one of the most generous checking account switching offerings available today.

Both banks, which are part of the NatWest Group, are making the offer for a limited period of time.

NatWest’s offer runs until November 3 this year. Switchers must submit an application online or via the mobile app by 3 November and switch from a current account elsewhere.

Existing RBS or NatWest customers may already have an account with both banks, but must cancel a checking account with another bank through the Payment Account Switching Service.

For example, if a customer already has a NatWest Reward account, he or she can transfer their main bank account to the Reward account elsewhere and still be eligible for the £175.

Those who sign up for the first time will have to choose between their Everyday bank account and Reward bank account. The former is free, while the latter charges £2 per month.

In either case, switchers must deposit £1,250 into the new account as soon as it is opened and log into the mobile banking app before December 16 to receive the bonus offer.

NatWest says it will deposit £175 into the account by January 12 next year.

Offer from RBS is only available through October 20. Switchers will then need to deposit £1,250 into a new RBS Select or Reward account before December 2 to take advantage.

In either case, switchers who have already used a cash switcher offer from RBS, NatWest or Ulster Bank between October 2017 and 13 September 2022 will not be eligible.

How does it compare to other monetary incentives?

The bribe matches that of First Direct as the most generous cash freebie on the market today.

The fact that all switchers have to do is deposit £1,250 into the account will probably appeal to some. For example, it is not necessary to have at least two direct debits.

Both banks offer a free Everyday account, which means there are no monthly fees either. This means that in theory switchers can simply set it up as a secondary account to take advantage of it.

A return of £175 from a £1,250 deposit is equivalent to a 14 percent return on their investment. That’s way more than any savings account.

First Direct’s offering may be even better. To claim the £175 bonus, switchers must open First Direct’s first account using the Current Account Switching Service and pay £1,000 within three months.

Of course, they may not have previously had an account with the bank or opened an HSBC current account after 1 January 2019.

A return of £175 from £1,000 represents a return on investment of 17.5 percent.

However, for those who want to use the new account as their main account, it may make sense to opt for the Reward account.

Both NatWest and RBS rewards accounts return up to £5 a month in rewards, or £60 over the course of a year.

Customers can earn back £4 per month in rewards for setting up two or more direct debits (two of those direct debits must be a minimum of £2 each). In addition, they earn an additional £1 per month in Rewards if they log into the mobile banking app at least once a month.

Even with the £2 monthly fee, it is still possible to earn an additional £36 in cashback.

For those who want to know what other offers are also available, we’ve written our roundup of what we think are the five best checking accounts.