8.7m adults have switched their current account in the past year

New research from the Group 1 Software consultancy reveals that as many as 8.7m adults in the UK switched their current account from one bank to another in the past twelve months.

Not so long ago customers, were, on the whole, loyal to their bank. It didn't seem to matter that the rate of interest on credit balances was low, or that overdraft charges were extortionate - customers preferred to stay with the devil they knew.

However, it seems this pattern is changing. The research from the Group 1 Software reveals that banks are losing customers twice as fast as they did in 2003 as more and more current account holders are shopping around for better deals.

It seems a significant factor for the change is the increasing number of special offers from Alliance & Leicester, Abbey and the Halifax to win new customers from the "big four" banks - NatWest, Barclays, Lloyds TSB and HSBC.

The Big Four banks have around 70% of all current accounts in the UK - around 29 million. If you're a "big four" current account customer, there is every reason to shop around as better deals are available. However, before switching you must always check the terms and conditions and consider what you really want from your current account.

The switching process is very straightforward; once a request is made, your old bank has three working days in which to provide details to your new one, which should then ensure that everything is set up correctly and without any problems.