We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Small Business Bank Accounts Discussion Area
Options
Comments
-
peakoilisnow wrote: »I am a sole trader, business banking with Abbey which is now Santander.
I have been reasonably happy with them. I get paid by cheque for my service-orientated work, and then I used to have the following options to bank: post in prepaid envelope, bank them over the counter, drop them in a box that all Abbey/Santander branches have (quick and avoids queues, in a/c same day), bank them at the counter which means that the cheque is in the clearing process that day.
Cashflow in these hard times is very important.
Now Santander will only **allow businesses to use the cashpoint machine to deposit cheques**, which is slower, and adds one more day to clearing time, so now it sometimes takes 6 days for the cheque to clear. This has meant on several occasions a direct debit has come up short and I have been charged £35.00 by Santander and £20 penalty by the recipient of the DD.:mad:
I used to post cheques in the prepaid envelopes but since the postal strikes and reduced cashflow I have found it good time-management to go shopping and drop in cheques at a nearby Santander branch while passing.
I am very annoyed that businesses are discriminated against by them. I have complained verbally to the counter-person, but looking at what the Financial Ombusman does on this site, I think there's a case for a complaint. I haven't yet submitted a written complaint because this obviously is a head office policy decision.
Do any other Santander Biz Banking users agree and will also complain with me?
thanks
I find that cheques are normally clear on the same day of the week that I deposit them - but a week later obviously. They used to be clear one day earlier than that but they changed it. Obviously public holidays will increase the time taken.
I don't believe that I, personally, would have grounds for complaint on this matter. I say this because when I first started the business account, it was made clear from the start that post and ATM were the only two deposit methods available. Also, when they increased the clearance time for cheques, I did get written warning of this with quite a bit of notice before the change was made.
When I was snowed off this winter it was squeaky bum time with the cashflow for a while - especially as postal deliveries were temporarily suspended (my cheques couldn't get to me). Of the cheques that did arrive, I separated the ones with my personal name from the ones with my business name. I then walked to the local branch (it's nearby) and I deposited the personal named cheques and the cash over the counter into my Santander personal account. The cash cleared instantly and the cheques cleared much more quickly than an ATM deposit. The cheques with my business name went into the ATM in my business account as usual. I then went home and transferred (via the internet) the cash that I deposited from my personal account into my business account. It transfers instantly these days unless done in the dead of night.
I lived on porridge, pasta, Cornflakes and bread for a week (I already had those in) and I scraped home by about 30p.
I've cut things fine a few times in my life but that was probably the closest.
I find that Santander are very picky about giving out overdrafts (perhaps most banks are these days). Although they have left me with a bit of overdraft on my personal account, they have never let me have one on the business account. There have been times when I've needed to view the two accounts as one - while keeping proper records of course.
Those charges of £35 sound excessive. I don't doubt that they are in keeping with their T & Cs but still a lot IMO.0 -
Paulgonnabedebtfree wrote: »Thanks for the input. I once tried emailing Santander about another matter entirely. I got no reply - not even an acknowledgement that i had sent them an email. So forgive my cynicism when I say that I have little faith in them. Also, when I have discussed the issue of BACS references on the phone with them, unless I'm lucky and get a person who knows what I'm talking about, it can get very longwinded.
There have been other issues too. Most of it works most of the time but when it's broken, it can take a very long time to get anyone to even admit that it's broken.
Dealing with them can be a very frustrating experience.
you are paying for the free banking with poor customer service. Cannyou afford the time and extra stress dealing withnthem? After Reading the current statements I will not go with Abbey. I will go with Natwest for the free two years and by the end if the two years be earning enough to cover their banking costs. Otherwise move to another bank.
Thanks everyone.“…the ‘insatiability doctrine – we spend money we don’t have, on things we don’t need, to make impressions that don’t last, on people we don’t care about.” Professor Tim Jackson
“The best things in life is not things"0 -
you are paying for the free banking with poor customer service. Cannyou afford the time and extra stress dealing withnthem? After Reading the current statements I will not go with Abbey. I will go with Natwest for the free two years and by the end if the two years be earning enough to cover their banking costs. Otherwise move to another bank.
Thanks everyone.
From my perspective Santander are on their last chance. BACS references by the end of April or I'm off. A big upheaval for me but they are probably glad to get rid of someone who they make so little money from. I no longer wish to run two accounts because each has their deficiencies. I would be happy to pay something for the banking if a particular bank ticked all the boxes but a per transaction fee would be too costly for me as many of the payments I receive are relatively small.
There's enough hassles in life and business without the banks being a bunch of !!!!!!.0 -
I just wanted to add something to this thread.
Although I pay £100 a year for the FSB membership, I do feel that I get my moneysworth due to what is effectively investigation accountancy insurance. The membership also allows me access to free business banking with the Co-op. Although I have used the Co-op account very little so far, I got a letter from them this morning telling me that the anniversary of my account opening has now arrived and they are crediting the account with £25. So that tax deductible £100 is in fact rather less. Not sure if the £25 bonus is subject to tax. I would imagine so.0 -
Katie-Kat-Kins wrote: »Oh and any difference between these banks when we come to get a credit/debit card machine?
Yes, Don't go to A&L as you'll be waiting over 2 months for an answer.
plus they will not entertain you if your account is under 6 months old and you have a sufficient trading history with the account.
Bigcat0 -
Anyone who is still receiving payments by cheque should encourage customers/clients to pay by bank transfer. Be sure to include instructions for payment by bank transfer on invoices and state that it is the preferred method of payment. Benefits to clients are that it saves postage and letters don't have to be posted. For the recipient, charges (if applicable) are normally lower, you don't have the bother of paying them in and then having to wait for them to clear. Items sent by bank transfer are already cleared when they are credited to the account. Everyone's a winner (except the Royal Mail and manufacturers of cheque books and envelopes).0
-
Anyone who is still receiving payments by cheque should encourage customers/clients to pay by bank transfer. Be sure to include instructions for payment by bank transfer on invoices and state that it is the preferred method of payment. Benefits to clients are that it saves postage and letters don't have to be posted. For the recipient, charges (if applicable) are normally lower, you don't have the bother of paying them in and then having to wait for them to clear. Items sent by bank transfer are already cleared when they are credited to the account. Everyone's a winner (except the Royal Mail and manufacturers of cheque books and envelopes).
Of course this does depend on whether or not your bank lets you know which customer the bank transfer has come from.
Mine don't. They think I'm psychic.0 -
i have i question
i need a business account for my start up (1st june) but i have bad credit not massive debt mostly missed or late payments (oh the joy of redundancy 4 times)
i have applied for a small start up loan from a charity (only people that will help)
but they say i must have a business account.
wheres the best place to go?
i have applied with nat west where my personal account is (waiting to hear)
any thoughts or advice?0 -
Santander call this their 'switcher account'. Their non-switcher business account shows what they think of their loyal existing business customers. It pays 0.01% interest. I've never seen anyone offer 1/100 of a percent! Why not admit it's 0% & have done with it.
Business account balances tend to fluctuate, so the 6% is probably worth around £50 over the 1 year offer, that is if you can manage to keep putting £1000 in every month & keeping the balance below £2,500.0 -
I am starting a new business and wondered which bank would be the best for a business account? I currently have 5 outstanding defaults on my credit file but when I get round to applying for a business account I'll only have 3 so please bear this in mind when recommended a bank/account.
Thanks0
This discussion has been closed.
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 351K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.6K Spending & Discounts
- 244K Work, Benefits & Business
- 598.9K Mortgages, Homes & Bills
- 176.9K Life & Family
- 257.3K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards