NatWest Launches Student Account Offer Amid Competitive Market
The bank is offering a £100 bonus, paid within 10 days, to new student current account holders.
NatWest has initiated the annual competition for student bank accounts by offering a £100 welcome bonus to university students who open a new current account. The bonus is credited to the account within 10 days of opening. This move comes as banks typically vie for new student customers by offering incentives such as cash bonuses, interest-free overdrafts, and money-saving perks like railcards or tastecards.
Last year, NatWest offered an £85 bonus, an increase from previous years. Competitors like Nationwide, Lloyds, Bank of Scotland, and Halifax offered £100 cashback in 2025, often paired with additional benefits such as takeaway vouchers. Nationwide's 2025 offer was particularly generous, including £100 cashback, £120 in Just Eat vouchers, and a referral reward.
Beyond cash incentives, student accounts often feature interest-free overdraft facilities. NatWest provides an overdraft of up to £2,000 in a student's first year, increasing to £3,250 by their third year. These accounts typically transition to graduate accounts post-university, with gradually reduced overdraft limits. Students must manage these balances carefully to avoid hefty interest charges as the limits decrease.
NatWest is also including a four-year Tastecard with its student account offer. A Tastecard provides benefits such as two-for-one meals at certain restaurants and discounts on other attractions, with the cost of a four-year subscription typically around £320. Santander is offering a similar perk with a four-year Railcard, which offers a one-third discount on rail fares, valued at approximately £140 over four years. Students are advised to consider which of these perks will offer the most personal value based on their spending habits and travel plans.