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Lloyds Bank lures new current account customers with promise of £100

Your Money
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Your Money

High street giant Lloyds Bank is hoping to entice new current account customers away from rival banks with the offer of cold hard cash plus a range of goodies.

Lloyds Bank is offering new customers £100 to leave their existing current account provider and switch to a Club Lloyds bank account.

Customers using the Current Account Switching Service to change to a new Club Lloyds current account or new Club Lloyds Platinum account, will have £100 paid directly into the new account within 10 days.

The online Current Account Switching Service transfers your existing current account balance plus all your direct debits, standing orders and salary commitments in seven working days.

Added enticements include credit interest of 0.6% Annual Equivalent Rate (AER) variable on balances to £3,999.99 and 1.5% AER on the part of any balance from £4,000 to £5,000. It also offers a three-month fee-free arranged overdraft, free cinema tickets and magazine subscriptions.

Martin Turner, head of personal current accounts, Lloyds Bank, said: “New customers joining Club Lloyds will get a choice of fantastic lifestyle benefits, cashback at selected retailers, and access to exclusive offers on savings and mortgages, alongside £100 when switching through the Current Account Switch Service.”

The Club Lloyds account comes with a £3 monthly ‘maintenance’ fee, while the Platinum Account comes with a £24 monthly maintenance fee.

Financial adviser Elizabeth Hickey said: “A gift of £100 is a decent inducement to switch current account, but given the monthly fees people would be advised to look closely at the small print and work out which of the ongoing benefits they are really likely to use before jumping ship. An AER of 0.6% on any balance up to £3,999.99 compares favourably to other current accounts but will obviously be of most benefit to those with relatively chunky amounts going into their current account.”