Eligible customers have less than one month to switch to Lloyds Bank to receive the £250 cash bonus.
The start of the new year sees a new current account switching incentive on the market after Lloyds Bank launched a £250 bonus today (6 January 2026).
Customers can receive this cash boost by switching to a Club Lloyds Account, a Club Lloyds Platinum Account or a Club Lloyds Silver Account before 3 February 2026 by using the Current Account Switch Service (CASS).
As part of the switch, customers need to transfer at least three active Direct Debits from their existing current account to their new Lloyds account. These will be moved over automatically when using the CASS.
Assuming all conditions are met, Lloyds Bank will pay the £250 bonus into your account within 40 days of completing the switch.
“January can be a difficult month for many consumers, and they may now be feeling strapped for cash after the Christmas festivities. Lloyds Bank’s attractive new switching offer comes at a perfect time, and consumers can kickstart the new year with a £250 bonus if they switch to any of its Club Lloyds accounts,” Caitlyn Eastell, Spokesperson at Moneyfactscompare.co.uk, commented.
Note that anyone who has previously received a switching incentive from Lloyds Bank, Halifax or the Bank of Scotland since 1 January 2023 won’t be eligible for this latest deal.
Although the £250 switching bonus may be attractive, it’s important to consider all the terms and features of a current account before moving provider, including any fees.
All the Club Lloyds accounts charge a £5 monthly fee, but this is refunded whenever you pay in £2,000 or more into the account each month. The Silver and Platinum accounts charge an additional £11.50 and £22.50 monthly fee respectively, in exchange for more comprehensive features and benefits.
Last updated: 06/01/2026
Account: Club Lloyds
Arranged Overdraft Rate (EAR): 29.90%
Interest Rate (AER): 1.50%
Account Fee: £5.00 per month
Representative Example: Based on an overdraft limit of £1,200. Up to £100.00 charged at 0.00% EAR Variable. Over £100.00 charged at 29.90% EAR Variable. Representative 33.2% APR variable.
Account: Silver - with Club Lloyds
Arranged Overdraft Rate (EAR): 29.90%
Interest Rate (AER): 1.50%
Account Fee: £11.50 per month, £5.00 per month
Representative Example: Based on an overdraft limit of £1,200. Up to £100.00 charged at 0.00% EAR Variable. Over £100.00 charged at 29.90% EAR Variable. Representative 48.4% APR variable.
Account: Platinum - with Club Lloyds
Arranged Overdraft Rate (EAR): 29.90%
Interest Rate (AER): 1.50%
Account Fee: £22.50 per month, £5.00 per month
Representative Example: Based on an overdraft limit of £1,200. Up to £100.00 charged at 0.00% EAR Variable. Over £100.00 charged at 29.90% EAR Variable. Representative 64.1% APR variable.
Some of the perks of the Club Lloyds accounts include no transaction fees for using your debit card abroad and the choice of one of the following lifestyle benefits, which could be worth an average of £65:
Moreover, balances of less than £4,000 in a Club Lloyds current account will earn 1.50% AER in interest while balances between £4,000 and £5,000 will earn 3.00% AER (if you pay out at least two Direct Debits each month).
Customers can also gain access to exclusive savings accounts, such as the Club Lloyds Monthly Saver that pays 6.25% AER, fixed for 12 months. This allows you to deposit between £25 and £400 per month.
But, while this is competitive, there are higher interest rates available. See our regular savings chart to see how this account compares to the rest of the market.
Those who are willing to pay £11.50 for the Silver account can access the additional benefits of European family travel insurance and breakdown cover, while the Platinum account offers worldwide family travel insurance, breakdown cover and mobile phone insurance for a higher £22.50 monthly fee.
Because every bank account offers its own unique features and terms, Eastell highlights that consumers should “read and understand the criteria of any bank account prior to signing up so they can take full advantage of all the features it has to offer”.
As well as this new switching bonus from Lloyds Bank, there is a range of other incentives available that could “be a helping hand in the new year”, Eastell noted.
However, she points out that “this Lloyds deal is one of the most lucrative on the market”.
Other competitive current account switching incentives in 2026 include Santander’s £200 bonus, which is available with its Everyday Current Account and Santander Edge current account, among others. Customers can also access a £175 cash bonus by switching to an eligible account from Nationwide BS or first direct’s 1st account.
Always check an account is right for you before starting the switching process.
Want to switch bank accounts in 2026? Visit our chart to compare current account switch incentives and discover the criteria you need to meet to receive the bonus.
All of our newsletters are available free by email to all Moneyfactscompare.co.uk users.
Send me Weekend Moneyfactscompare, Savers Friend, and Companies Friend.
Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time. Links to third parties on this page are paid for by the third party. You can find out more about the individual products by visiting their site. Moneyfactscompare.co.uk will receive a small payment if you use their services after you click through to their site. All information is subject to change without notice. Please check all terms before making any decisions. This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
