Small Business Bank Accounts Discussion Area

Snow-Munki

Hi,

I have just started a ltd company and need a business bank account. I have looked at a few high street ones and think I will choose Natwest as it currently has 2 years free charges,

Any other opinions ?

Thanks,

jonesMUFCforever

Snow-Munki wrote: »

Hi,

I have just started a ltd company and need a business bank account. I have looked at a few high street ones and think I will choose Natwest as it currently has 2 years free charges,

Any other opinions ?

Thanks,

Will they accept you?

Snow-Munki

jonesMUFCforever wrote: »

Will they accept you?

No idea, waiting for a call back from them, assume they will though, haven't thought about that

polymaff

Snow-Munki wrote: »

Hi,

I have just started a ltd company and need a business bank account. I have looked at a few high street ones and think I will choose Natwest as it currently has 2 years free charges,

Any other opinions ?

Thanks,

Considered RBS Business Banking Direct? No good if you're banking bags of cash all the time, but currently free - "indefinitely"

LucyWa

Hi all, I needed to set up a business bank account swiftly for my new consultancy business. Yikes: confusing offers, hidden rip off charging by the banks, no interest, 2 weeks to set up... A friend suggested this alternative which I'd like to post in case anyone is in my situation: Metro Bank. Please note the date as offers change:

Positives:
£0 monthly charge if you have £5k,
30p transaction charges (and this is a cost not often quoted but it quickly adds up to £100's),
Swift set up (after an hour I had a business bank account, cards etc),
Sunday opening and until 6 on Saturday
You can speak direct to your own branch
If you are cash rich they can trade your money

Negatives to be balanced:
You need the £5k pot or its £5pm,
There is no booking you just turn up (but this was a godsend, I turned up at 4.30 on Saturday and saw someone immediately, I phoned the branch before to check)
Limited branches

Hope this helps. They didn't appear on the regular comparison sites and they were such a refreshing change that I think they are worth considering depending on your circumstances.

LucyWa

One other thing: it's not great for customers (or you) to keep changing banks - so you should look at the longer term charges or be prepared for the pain of changing.

Zanderman

LucyWa wrote: »

Hi all, I needed to set up a business bank account swiftly for my new consultancy business. Yikes: confusing offers, hidden rip off charging by the banks, no interest, 2 weeks to set up... A friend suggested this alternative which I'd like to post in case anyone is in my situation: Metro Bank. Please note the date as offers change:

Positives:
£0 monthly charge if you have £5k,
30p transaction charges (and this is a cost not often quoted but it quickly adds up to £100's),
Swift set up (after an hour I had a business bank account, cards etc),
Sunday opening and until 6 on Saturday
You can speak direct to your own branch
If you are cash rich they can trade your money

Negatives to be balanced:
You need the £5k pot or its £5pm,
There is no booking you just turn up (but this was a godsend, I turned up at 4.30 on Saturday and saw someone immediately, I phoned the branch before to check)
Limited branches

Hope this helps. They didn't appear on the regular comparison sites and they were such a refreshing change that I think they are worth considering depending on your circumstances.

LucyWa wrote: »

One other thing: it's not great for customers (or you) to keep changing banks - so you should look at the longer term charges or be prepared for the pain of changing.

Keeping £5k at zero interest to avoid 12 months of £5 charges isn't cost-effective use of £5k. If you invested that £5k in an interest paying account at, say, 2%, you get back £100, which would pay your monthly charges and leave you £40 change. At interest of 5% (put it in TSB and Nationwide current accounts) and your £5k would earn you £250.

As for changing banks - it doesn't need to be a problem, but it depends on the nature of your business. If you take a lot of BACs payment then yes, switching every 12 or 24 months might be awkward, but if you buy and sell online, and most transactions are online payments via a card agency, or an agency like Paypal, then it isn't a problem. And the switching guarantee does re-route payments to the old account for some time, so you have time to re-organise. Most customers would never even be aware of a change.

Savvy_Sue

Zanderman wrote: »

Keeping £5k at zero interest to avoid 12 months of £5 charges isn't cost-effective use of £5k. If you invested that £5k in an interest paying account at, say, 2%, you get back £100, which would pay your monthly charges and leave you £40 change. At interest of 5% (put it in TSB and Nationwide current accounts) and your £5k would earn you £250.

While I agree that you can get better than 2% rates on PERSONAL bank accounts if you shop around, I'd love to know where a BUSINESS can get 2% on deposit!

polymaff

Savvy_Sue wrote: »

While I agree that you can get better than 2% rates on PERSONAL bank accounts if you shop around, I'd love to know where a BUSINESS can get 2% on deposit!

Use your imagination

Zanderman

Savvy_Sue wrote: »

While I agree that you can get better than 2% rates on PERSONAL bank accounts if you shop around, I'd love to know where a BUSINESS can get 2% on deposit!

There is no obligation for you to keep business bank deposits in a business deposit account. As Polymaff says above, use your imagination!