Halifax, Lloyds Bank and Santander £1,100 alert with millions affected

Millions ofl loyal customers with big name banks such as Lloyds Bank and Halifax could be missing out on over £1,000 in extra cash. Now is a good time to think about switching your provider, with several banks offering one-off payments and other perks to try and convince people to jump ship. Barclays is the latest group to launch such an offer, with up to £900 in bonus payments available, and you could get even more if you factor in your savings growth.

Andrew Byres, financial security and pension planning expert at digital finance tool SafeKeep, encouraged people to think about switching. He said: "Loyalty rarely pays when it comes to banking. If your savings could grow faster elsewhere, and a switching offer gives you the push to move, it might be time to leave your long-standing bank behind and put more cash in your pocket."

Barclays is offering £200 if you switch to a Barclays Bank Account, or £400 when switching to a Premier Current Account. Plus you can get paid up to £500 when moving your ISA savings over to the group, adding up to a potential £900 in switching bonuses. You may also want to sign up for the bank's Rainy Day Saver, which pays a competitive 4.36 percent on deposits up to £5,000.

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If you paid in the maximum £5,000, after 12 months you would have earned £207.40 in interest. This means you would take home over £1,100 in total if you also received the maximum £900 from the switch offer.

More bank switch offers to come

Mr Byres said the new offer from Barclays could prompt other banks to roll out new offers. He said: "It’s likely that Barclays’ bonus payment offers will continue to prod further movements on deals and cash-switching offers from other high street banks who will follow suit. Right now for example, Club Lloyds is currently offering £200, and it’s well worth checking other available offers to switch to current accounts with higher savings rates or cashback on spending.

"However, the most attractive offers often come with a monthly charge. For instance, Monzo Perks account holders pay £7 a month but receive benefits such as a free Greggs treat each week, an annual Uber One membership, and a range of other discounts."

However, he warned customers to make sure they read the terms and conditions before going for a switch offer, as there are often specific things you have to do. To bag the Barclays offer, you need to complete a full switch using the Current Account Switch Service, including two direct debits.

To be eligible for the Premier account with the £400 offer, you need a gross annual income of at least £75,000 going into the account, or have at least £100,000 in savings with the group. Plus to get the full £500 payment for switching over your ISA funds, you need to move over at least £100,000 in savings.

What should I think about before switching banks?

Mr Byres said: "It’s crucial to review what your current bank already offers - you may have forgotten to take advantage of unused perks such as cashback or subscription offers. A key point is to make sure that the benefits you’d be giving up are worth less than the switching bonus and additional perks you’ll receive.

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"Next, compare interest rates, monthly fees, and eligibility requirements across accounts to make sure you’re getting the best deal for your personal situation."

Alastair Douglas, CEO of TotallyMoney, is also calling on customers to think about switching. He spoke about some of the other offers on the market: "Co-op, First Direct, Lloyds, Nationwide, NatWest, and TSB are offering £175 and up for you to move your money. The Current Account Switch Service takes care of things for you, transferring your cash, direct debits, and regular income automatically within seven days.

"Just remember that loyalty doesn’t pay, but switching bank accounts can."