Less than 2 per cent of people switch bank accounts each year, despite warnings that millions are not getting the best deal.
The number that switch has actually fallen. In the past year, 1 million people have switched account – 11 per cent fewer than the year before.
Only four banks gained customers in the second quarter of 2015, which is the latest data available.
Santander, Halifax, Nationwide and Tesco added customers, while Barclays, Lloyds, Nat West and RBS suffered the greatest losses.
Only four banks added customers
Jody Baker, Head of Money, comparethemarket.com, said that everyone should review their current position and look to switch their provider.
“There are plenty of smaller players offering attractive products, such as Clydesdale Bank and Yorkshire Bank both offering £150 to switch and TSB offering 5% interest on balances up to £2,000,” Baker said.
The banks that have added customers have one thing in common: they are offering new customers cash.
Santander offers a 0 per cent overdraft in the first four months as well as cash back for bills. But it charges customers £5 a month for the account.
Halifax offers customers £5 a month to open an account, plus £100 up front. That adds up to £160 in the first year alone.
Nationwide offers switches a 12 month free overdraft, no monthly fee and 5 per cent interest for 12 months.
Tesco’s current account is also free and offers an interest rate of 3 per cent on balances up to £3,000.
