Will Changing my bank account negatively impact me
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Legacy_user
Posts: 0 Newbie
I don’t have many longstanding accounts on my credit files, one of the longest being my current bank account. I opened a first direct account to take advantage of their switch offer but I’m worried that chopping and changing accounts will lower my credit scores and make me a less desirable candidate to potential mortgage providers. Would it be better to keep this open and have an old redundant account transfered to First Direct?
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Comments
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That's what many people here do. Keep your main account that you use and start and prepare a new account as a donor account. Equally an old account you rarely use can be utilised for the same purpose. I've switched a few times, not as often as many people here, but I've often kept the accounts for various purposes. Some of them give you access to 5% regular savers and some give interest in addition to the switching bonus.0
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So
Move some of my current direct debits and income etc from TSB current account to my old Halifax account
Set up a new DD from old Halifax account to TSB current account so it remains active without charges
Apply for account transfer from old Halifax account to newly opened First Direct current account to qualify for transfer bonus and 5% saving account
Income will then be paid into new First Direct current account and direct debit will transfer enough to keep TSB current account active without fees
Phew!0 -
You may not need to do all that!
Have a look here.
Then go to the First Direct website, double check the conditions and make sure you do what you need to do.
I make a lot of manual payments to accounts on the 1st of each month to meet the funding requirements. Others use standing orders. The money doesn't have to stay there long.0 -
No since you have no credit score or rating to be affected0
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Yes, i've changed my bank account a couple of times over the last year... it has hit my credit card pretty badly. On my clearscore account I have 416 out of 700. I have a mortgage, i've never missed any payments or been late with anything before, and I have no credit card debt or finance agreements.0
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That makes no difference.
Your score is irrelevant as no one sees or judges your credit worthiness by it0 -
It will probably look as though you are unreliable to any prospective credit lenders. On ClearScore I have only just got past the point of it telling me all my credit accounts are new. Longer account history will give more to judge you on. Keep a donor account as suggested by a poster on this thread.0
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It will probably look as though you are unreliable to any prospective credit lenders. On ClearScore I have only just got past the point of it telling me all my credit accounts are new. Longer account history will give more to judge you on. Keep a donor account as suggested by a poster on this thread.
In practice I don!!!8217;t think lenders will take the same stance as the CRAs do with regard to account length for current accounts.
With the ease of changing accounts and various incentives to do so more people will be doing it, and more often.
They!!!8217;re far more concerned about late payments, defaults and the like. They!!!8217;re unlikely to give much weight to how old your current account is.0
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