New customers switching to the HSBC Advance or Premier current accounts will be rewarded with a £125 cash bonus.

This is the first time in six months it has run a switch incentive, though it is a lesser amount than the £175 offer it ran in January.

To get the offer, you need to set up two direct debits or standing orders and you can’t have been an HSBC current account holder since 1 January 2017.

M&S or First Direct customers also qualify as long as the current account was opened before 1 January 2017.

The switch also needs to be made via the Current Account Switch Service (CASS) so your previous everyday banking service will be closed as part of the move. You’ll also need to set up a minimum of two direct debits or standing orders within 30 days of the account being opened.

For the Advance account, customers need to pay in at least £1,750 a month (or £10,500 every six months, excluding transfers from other HSBC accounts). Customers also need to qualify for a minimum £1,000 arranged overdraft. HSBC confirmed that once a customer qualifies for the account, they can set their arranged overdraft to any amount up to the maximum limit offered.

The HSBC Premier account is available to those with an annual income of at least £75,000 and one other criteria needs to be met, such as having a mortgage, an investment, life insurance or a protection product; or having savings or investment of at least £50,000 with the bank within six months.

The cash will be paid within 30 days of the switch, subject to customers meeting the criteria.

Fiona McCaffrey, HSBC UK’s head of everyday banking, said: “In what has been a difficult year we are pleased to welcome new customers who switch to our HSBC Advance and HSBC Premier accounts with our latest £125 switcher offer.

“The initial lockdown really gave people time to think about friends, family and finances among other things and our cash incentive of £125 will provide a welcome start to what will hopefully be a long relationship with HSBC UK.”

Cash incentive switch war

HSBC joins a handful of banking giants that have launched their own switch deals in recent weeks:

• Halifax offered £100 – it was the first to launch a cash switch offer (valid for switches up to 14 September)
• Lloyds offers £100
• RBS offers £100
• Metro Bank offers an up to £500 total ‘refer a friend’ switch deal – £50 for existing customer and £50 for a friend.