Nationwide Building Society is set to introduce a new offer for its customers, including a £50 interest-free buffer on overdrafts starting in November. This buffer will eliminate charges for those who only dip into their overdraft by a small amount. The offer is subject to eligibility and will apply to the society’s main current accounts – FlexPlus, FlexDirect, and the FlexAccount.
Moreover, Nationwide has announced a £175 bonus for customers who switch to its current account through the Current Account Switch Service (Cass) starting Wednesday. This switching offer applies to the FlexDirect, FlexPlus, and FlexAccount accounts. The FlexDirect account, which offers 5% credit interest on balances up to £1,500 for the first 12 months, will also provide 1% cashback on debit card purchases for the first year, capped at £5 per month.
While the interest-free overdraft offer on new FlexDirect accounts will be withdrawn, existing customers will continue to benefit from the offer until the end of their 12-month period. Additionally, starting in November, FlexDirect customers, along with FlexPlus and FlexAccount customers, will receive the new £50 interest-free buffer if eligible.
Rachel Springall, a finance expert at Moneyfactscompare.co.uk, noted that the £175 switching incentive offered by Nationwide is competitive, matching First Direct’s offer. She also highlighted alternative accounts such as TSB’s Spend & Save Plus Account, which offers cashback benefits. Overall, customers are advised to consider their account usage and charges to ensure they are getting the most out of their accounts.
The introduction of the interest-free buffer and switching bonus by Nationwide aims to provide more value and benefits to its customers. Financial experts suggest that these offers could be particularly useful as the holiday season approaches, offering a safety net for those who may overspend by a small amount. Customers are encouraged to review their current account options to maximise their banking benefits.