Sunday, August 7, 2022

NatWest and Nationwide gained the most customers that year, while TSB and Barclays lost thousands

- Advertisement -
- Advertisement -


At some banks, tens of thousands of customers switched to them within a few months – at others, thousands went

The Nationwide Building Society followed with 12,503. Starling Bank, HSBC UK and Monzo also added thousands more customers in early 2022.

NatWest added the most clients between January and March this year, adding 19,464 to its books, according to figures released by a brokerage service.

Cash incentives could have encouraged some customers to move, with NatWest offering new customers £150 on a January move, while Nationwide has offered up to £125 for those switching.

This may have been particularly compelling during the cost of living crisis.

Customers who use the Checking Account Switching Service (CASS) to switch banks receive payments automatically to the new account and benefit from a guarantee that they won’t be left out if something goes wrong with the switch.

The bill of exchange numbers are provided voluntarily by banks and building societies and do not contain any non-service bills of exchange.

While some banks made tens of thousands in profits, others lost that amount.

TSB made a net loss of 13,120 switches while Barclays lost 12,851 and Halifax 11,939.

The service said nearly two-thirds (63 percent) of current account switchers used the exchange service in the past year, up from 55 percent in the previous two years.

Data for the second quarter of 2022 also suggests that, in general, service-related, non-financial benefits continue to be the top reasons customers choose their new current account over their old one.

Online banking (47 percent), mobile banking/banking app Ease (41 percent), customer service (38 percent) and branch location (25 percent) were named as the top reasons for preferring the new current account.

One in six (16 percent) current account holders is actively considering a change, a similar number as in the previous six months.

Another 13 percent were considering a change but had not yet started looking.

A total of 191,777 transitions were completed between April and June 2022, Cass said.

Looking back over 12 months, 850,243 switches were made compared to just 646,569 a year earlier.

David Piper, Head of Service Lines at Pay.UK, owner and operator of Cass, said: “As life in the UK gradually returns to its pre-pandemic form, we have seen a surge in numbers opting to switch to a new decide current account.

“This trend could continue in 2022 as many look to take advantage of rising interest rates and the cashback incentives some providers are currently offering.

“Of course, the rising cost of living is another reason for people to consider whether their existing checking account offers the right benefits for their needs, or whether switching to a different checking account might be a wise move.

“Anyone considering whether it’s time for a new checking account should remember that the checking account switching service is free to use and offers valuable protection for anyone wanting to switch quickly and hassle-free.”

Here are the net gains or losses that current account providers made between January 1 and March 31, according to Cass:

AIB Group UK (includes First Trust Bank and Allied Irish Bank GB brand changes), down 1,580

Bank of Ireland, down 388

Bank of Scotland, 732

Barclays, down 12,851

Credit Union (including Smile counters), minus 3,895

- Advertisement -
Latest news
- Advertisement -
Related news
- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here