Santander have just opened a new type of bank account that it hopes will bring in more customers. It is claiming that the type of account is completely new in the UK and new customers will be able to earn £300 cash back from the account. It is also offering a high, 5% interest rate.
The £300 will be available to people who are switching their main current account to Santander. The deal will be particularly beneficial for people who have a mortgage with the bank. If they switch their current account to the bank and deposit £10,000 of savings they will get £300, just like that.
If someone with a mortgage switches but they don’t have that amount of savings they will get £200. People without a mortgage will also benefit too as the bank is offering £100 to anyone who switches their banking. The bank currently has the current accounts that pay the most interest, both offering 5% of all credit balances for the first year. The new deal offered by the bank has been described as a, “limited time only offer.”
The bank has also announced a new type of credit card. The card is known as the 123 Cashback Credit Card and unlike its competitors will pay cash back on a monthly basis. The card offers different cash back amounts depending on where you shop.
Petrol shopping will attract the most, with 3%, buying in a department store will attract 2% and in the supermarket, you will get 1% back. It will also offer cash back on other every day spending, which is sure to greatly appeal in a market of higher prices and lower incomes.