Santander Rolls Out £240 Incentive for New Current Account Holders

Santander is offering new customers £240 to switch their current accounts and open a regular saver account, a move described as one of the highest incentives seen recently. To qualify for the offer, which runs from September 1 to October 7, customers must open both a Santander current account and a regular saver account.

Customers switching to Santander must complete the full switch using the Current Account Switch Service within 60 days of opening the new account. Additionally, they need to pay in at least £1,500 and set up at least two active direct debits for qualifying payments, such as council tax or utility bills. Funding a regular savings account with a minimum of £200 is also a requirement.

New customers are eligible for the deal, provided they have not held a Santander current account on or before January 1, 2026. The regular savings account offers a variable interest rate of 8%, which includes a 5% bonus for the first 12 months. Savers can deposit up to £200 per month into this account. After a year, depositing the maximum monthly amount would result in a balance of £2,504, yielding approximately £104 in interest.

Unlike some other regular savings accounts, Santander permits customers to withdraw funds from the regular saver to their current account at any time. Finance expert Rachel Springall from Moneyfacts advised that while the offer is attractive, customers should compare it with other available deals, as current accounts are tailored to individual needs.

Santander's £240 offer surpasses HSBC's incentive of £220. Other banks are also providing incentives for new customers: NatWest and RBS are offering £200, Nationwide Building Society is offering £175, first direct is offering £175, and The Co-operative Bank provides £125 plus an additional £25 per month for three months for active use. Starling Bank is offering a free toothbrush for customers who switch by October 11, while Zopa Bank allows customers to choose between boosted interest rates, cashback on bills, or cashback on dining out, without requiring a full account switch.