Business bank account with bad credit rating

larks1981 · 10 February 2011 at 6:45PM

i have started my own small business. i am a sole trader. but i have yet to set up a business bank account. tried to do so with my bank who i have my current account with, but they said with a bad credit past, if i don't pass a credit check, i would not get the business account.

So my question is, which bank can i go to, to open a business account, that will not need a credit check, or at least would not be concerend that i have bad credit history. I do not need an overdraft or any credit facilities. i just need to be able to pay in cheques in my business name, maybe set up some standing orders from my account. the normal things you would expect.

any advice?

larks1981 · 16 February 2011 at 10:03PM

anyone? really need help here....

jonesMUFCforever · 16 February 2011 at 10:23PM

Google is your friend Nat West used to have a step type of account for business.
If Nat West is your current bank forget the above.

larks1981 · 16 February 2011 at 10:48PM

Thanks Jones

i have tried to find something in google. but all i get is dodgy looking companies who say they can guarantee me a bank account, for a fee. Im reluctant to go down that route, as i am sure someone else has been in this situation before, hopefully on this forum.

I could try Natwest, but i do have a checkered past with them, with a credit card!

izools · 16 February 2011 at 11:18PM

Absolutely don't go for one of the paid accounts. Good call.

How bad is your credit history? Do you have any accounts currently in arrears / defaulted, or are all your prior arrears / defaults paid up? Have you any CCJs? When did you last miss a payment? Any accounts in a reduced repayment agreement?

You may find that if you've had problems in the past, but your credit file shows they are definitely in the past and your recent history is fine, you can still pass the credit check for a full business account. Natwest are in fact relatively lenient for bank accounts.

larks1981 · 16 February 2011 at 11:43PM

thank you

I have a debt management agreement in place, and have done for over a year, both that and my current bank account have been run perfectly over the past year. but i have received a recent unexpected ccj.

should i try natwest?

clcr · 8 March 2011 at 9:17PM

Anyone help with this?
I have a bad credit rating but need to open a business bank account. Don't want a credit card or an overdraft. Just a basic business bank account with debit card.
Can I trust the organisations Google throws up saying they'll get you a business bank account if you pay them money?
thanks,

jonesMUFCforever · 8 March 2011 at 10:44PM

clcr wrote: »

Anyone help with this?
I have a bad credit rating but need to open a business bank account. Don't want a credit card or an overdraft. Just a basic business bank account with debit card.
Can I trust the organisations Google throws up saying they'll get you a business bank account if you pay them money?
thanks,

No you can't.
You pays your money you lose your monies - simples.
Does your accountant not have any contacts with any banks?

stclair · 9 March 2011 at 12:22AM

Natwest or RBS foundation account maybe an option for you they are designed for people with a poor credit history.

http://www.natwest.com/business/products/business-current-accounts/foundation-current-account.ashx

http://www.rbs.co.uk/business/current-accounts/g1/foundation.ashx

pamstretched · 9 March 2011 at 1:54AM

Opening through third party
The companies that offer a bank account usually lay out the costs prior. If it's off the net you need to invest the time to read the small print on costs

They do work for some cases often opening the account for you if they cannot get you an account direct (Managed account)

I have tried the managed account then progressed to Foundation - they charge per month

They can act as a reference if you are then ready to progress to the full account

clcr · 10 March 2011 at 12:11AM

thanks so much for you help.
I am going to go into the local RBS and have a chat with them about their foundation account.

Business bank account with bad credit rating

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