While bank switching promotions offered by UK banks are more or less similar, there could be a certain difference in the size and type of bank switching offers made by banks in USA. The bank offers for switching in USA could be in the form of cash bonus, cash back opportunity, air miles, story credits, higher APR, fee waiving, or even a bonus for referring a friend. Although, the bank switching offers in UK are clearly stated as such, most often, in USA they could be in the form of a new bank account promotions, new bank account bonuses, etc. Whatever name we call them, at the end their primary goal is to persuade you to change your bank, and open a new account with another bank.
Bank switching offers in USA – overview
As it has been mentioned, the reward you will earn for opening a new account (checking or savings account) can vary from bank to bank. Before deciding on the bank you will open your new account with, make sure that you have gathered information and you understand the attractiveness of each switching incentive. You can find a comprehensive, detailed and an up to date list of switching offers made banks in USA here. Noteworthy mentioning is that most of these bank switching incentives have an expiration date. Meaning that they are valid for a specific period, or during a specific session.
Choosing the bank switching offer should be in accordance to your habits and preferences. Thus, if you have a habit to increase your savings and/or direct deposits then you should look for a bonus such as the one offered by Capital One. Namely, Capital One is offering a fee free savings account, and the possibility to earn up to $500 bonus. To qualify for the bonus, you should deposit the qualifying amount in accordance to the terms, within the first 10 days of opening your account. In addition, you should maintain the required balance for 90 days, after the 10 days period. The so-called balance/bonus tiers (offers) include: $50 bonus if you deposit $5,000, $100 bonus for a $10,000 deposit, with $20,000 you are entitled to a $200 bonus, $400 bonus when you deposit $40,000 and a maximum of $500 bonus for a $50,000 deposit.
BMO Harris offers a $200 cash bonus when you open a checking account (or the switch to a BMO Harris checking account bonus). Santander bank will give you $150 bonus within 30 days after you open an eligible checking account. The conditions to receive the bonus are: to have a direct deposits of at least $500 within the first 90 days and your account should be opened for 90 days. In addition, you could waive the fee with the Simply right checking with Santander bank. Meaning that, you could avoid the $10 monthly fee if you make one transaction (a deposits, transfer, withdrawal) during the month.
SunTrust – is offering two possibilities. The first one is a checking bonus of up to $200 if you open a new Sun Trust checking account with direct deposit (applicable only for new clients). In order to be eligible for the bonus, you need to make, at least, $2000 in direct deposits within the first 60 days. You are eligible for a $100 checking bonus if you open an Essential checking account with a minimum of $500 in direct deposits within 60 days.
Christian Community Credit Union – will give you a $100 bonus if you decide to open a free checking account with them. If you go for the free checking you are also entitled to receive additional benefits. Some of these benefits are: no monthly service fee, no minimum balance required, and free mobile banking.
Northpointe Bank is attracting new customers, through the usage of an appealing APR and fee waiver. Meaning that, Northpointe Bank will pay you a 5% APR for a balances of up to $5,000. Moreover, you could get a refund of up to $10 a month for ATM fees, and $3 a month for person to person payment fees.
With the Citigold relationship program you have the opportunity to earn a $500 cash bonus. To be entitled to a bonus, first, you need to open a new consumer checking account. Second, you should make an eligible deposit equal to, or in excess of $50,000, with the first 30 days of opening the account. You will receive the bonus if you maintain a minimum of $50,000 balance the next 30 days.
Bank of America is offering the possibility for a new client to earn up to $150 bonus. The bonus is consisted of two components. The first one, that could earn you a $100 bonus, is related to a checking or savings account. Namely, to qualify for this bonus, you should open a Bank of America Core Checking or Bank of America Interest Checking account. After opening any of the account, you should set up and receive 2 eligible direct deposits of minimum $250 each, within the first 90 days of opening your account. The second component is related to your tax refund. You have the opportunity to earn additional $50 bonus if you direct deposit your federal tax return of a minimum of $500 into any of the Bank of America checking or savings account.
Bank switching incentives for referring a friend
Aside of the cash bonuses and cash back rewards, there is also another interesting offer made by the banks. Namely, they offer a possibility for their clients to earn additional bonus by referring their friends or families. These offers are interesting because, not only you take a bonus for opening a new account, but also, you take a bonus if someone you have referred to the bank opens a new account.
If you have a large circle of people you know who are dissatisfied with their bank, or are simply looking to switch to another bank, the referral bonus offered by some banks could provide high value, and this is to say cash value for you. These offers should be of particular interest for students when they are at the early stage of the need to use bank products and services.
HSBC is offering a bonus when you refer a friend. If you refer a friend who opens a qualifying HSBC premier or advanced checking account, you will receive a $100. The catch is that the friend referring reward is limited to up to $1,000 per calendar year. Of course there are requirements that should be fulfilled. Standford Federal Credit Union is trying to attract the students by offering a $25 per student referred. Each (you and your friend) one will receive a $25.
Wings Financial Credit Union offer up to $500 reward per year for referring a friend or family member, through the program called ReferLive. The referred friend or family member should open a Wings First Class Checking Account set up e-statements, and has a direct deposit of minimum $300. Afterwards, you and the person you referred will each receive a $50 Visa reward card.
Banks in USA have a wide spectrum of offers and incentives for opening new checking or saving account with them. One of the factors that should be taken into consideration when deciding whether to switch banks or not, are the bank switching offers. You should not neglect these rewards because they could be beneficial for you in the long run, or at least the short run, by doing something you would do anyway, open a new bank account. Thus, look for the banks with switching offers that will be in accordance to your needs and preferences. But, when deciding about your new bank, you should not base your decision solely on the offers for switching banks, there are many other factor that should be taken into consideration.
So, coming back to the bank switching offers, what kind of bonus or reward will make you open an account with a specific bank? Do these banks switching offers provide any value for you? Are they attractive?