Basic Bank Accounts

Been turned down for a Bank Account due to bad credit rating? Fed up of unfair charges? Well it sounds like you need to look at basic bank accounts.

At the beginning of this year, all banks were made to offer a basic bank account alongside their regular and premium, paid for, bank accounts.

So what are these basic bank accounts I’m talking about? And what makes them different?

Well the key points to remember are:

• Anyone can get one, regardless of credit score or history. With the exception of people convicted of fraud.
• You simply need to have 1 form of ID
• They are completely fee free!
• They generally don’t offer any fancy extras such as overdrafts, however most have debit cards.
• They will do the regular functions required of a current account such as direct debits and receiving your salary or benefits.

So why haven’t you heard about these basic bank accounts before? Unfortunately it’s because the banks generally would rather you not know about them. Current accounts all cost money for the banks to keep running. So if you take out a basic account with no fees then its actually costing the bank to have you as a customer. These fore it makes more business sense to the banks to offer regular accounts ahead of basic accounts when they can.

If you fail an application for a regular account then you ‘should’ be offered a basic account in its place. However this isn’t always the case so make sure you request one by name.

These basic bank accounts are fantastic for getting into the banking system and are a real lifeline for the millions of people who’s not been able to get a bank account in the past.

You don’t need to have bad credit to apply for one of these accounts. They are also great for managing money, as an extra account or for reasons such as matched betting.

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