Brits could pocket up to £470 thanks to little-known banking perk

Research identified financial “blind spots” among Brits

As per new Nationwide research, British homes could be missing out on a whopping £470 simply by sticking with their old bank provider.

Nationwide is officially the most switched-to financial provider in the country, as official figures published Thursday (November 5) have shown.

The building society, which is the world’s largest, recorded a significant net gain of 23,636 customers between April and June this year, data from the Current Account Switch Service (CASS) showed.

As such, it surpassed high street competitors Barclays and NatWest.

A remarkable 411,384 people switched their bank accounts between July and September, which is the highest quarterly figure since the end of 2023.

That said, millions are still forfeiting free cash, in spite of the thriving switching market.

A substantial 60% of people have never switched their everyday current account, Nationwide says, and 28% have no clue how much they could actually earn by making the move.

What the research revealed about Brits' accounts

A series of financial “blind spots” among the public were identified by the research.

New data showed that just 36% of people are actually aware that you can earn interest on a standard current account.

Meanwhile, only 18% currently earn cashback on their everyday spending.

What is more, 23%, or nearly a quarter of Brits, simply leave their remaining money sitting idle in their current account between paydays.

Rachel Springall, finance expert at Moneyfacts, outlined how switching to an account such as Nationwide's FlexDirect could prove exceptionally beneficial.

“Nationwide's FlexDirect account could offer customers up to £470 in value in the first year. The account is highly attractive all-round and rewards customers on their day-to-day spending with cashback. Those who keep a bit of cash in the account will earn an inflation-busting interest rate”, she said.

FlexDirect customers, in addition to the £470 potential value, also gain access to a Flex Regular Saver offering a competitive 6.50% AER.

For someone putting aside the maximum £2,400, this means that annually they would receive an additional £84.50 in interest.