hsbc account after bankruptcy?

boltonangel

Hi

I went BR in June 09 and was discharged in Dec 09.

I have recently found a job and start on Monday :j

However, since declaring myself br I have basically had nothing to do with banks and have used my husbands account for everything we needed and a savings acc in my name for cheques etc.

I am now in the lucky position where most of my new wage can be saved so I want it paid into an account seperate from my husbands.
I don't want it to go into my savings account as I really struggle getting to the branch if I ever need the money.

I applied for a cashminder with co-op but they want the ID posted to them before they will open it and my nearest branch is a long way away for them to photocopy plus I need the acc numbers by Monday for the new job.

so, I went to Natwest yesterday for a step acc after being told over the phone I would be eligible only for it to go to referral (whuch will take 10 days)

I have a HSBC current acc (no overdraft) from before I went BR and I know it's still active so I just rang them to confirm that I would be free to use the acc and they are sending me a new card out and a cheque book (which would be brilliant for paying school lunches etc). I have got the account details.

After all this rambling my question is do you think I will be able to use it properly or will they keep my money once it's paid in?!

I never owed HSBC any money although I did owe First Direct a £1000 or so.

izools

Congrats on the early discharge!

Before submitting any applications, you must go through the post bankruptcy credit file clean up, keep an eye on things through Experian credit watch or similar, and don't apply for anything until:

1. All three CRAs show your BR as discharged
2. All three CRAs show your default dates as no later than BR date and SATISFIED
3. All three CRAs show any CCJs as SATISFIED

You should have ZERO outstanding debt as far as the credit reference agencies are concerned. It's a slog, and a lot of chasing up is involved, and it's likely to take six to eight weeks, but until you do this, it's unlikely anyone will take you seriously even for a basic account.

Don't apply for anything else until this is completed, it's likely to result in a decline and will hurt your score further.

Once this is all done you should be hot to trot opening a basic account anywhere.

Don't open an account with any financial institution involved in your BR. If you owed First Direct anything, don't go to HSBC. They are the same bank. It matters.

I.e. if you owed RBS anything, don't apply to Natwest. If you owed Halifax anything, don't apply with BOS. Etc.

Good luck, you'll be fine if you follow the right steps, and feel free to shout for a helping hand with the cleanup getting your old debts marked as satisfied

boltonangel

thanks for that.

I really need an account asap as when I start work on Monday they will ask for bank details.

I completely appreciate what you mean about not using a bank connected with anyone involved in my BR.
However, I pretty much had accounts spread everywhere and owed small amounts to each bank The HSBC one is showing as a small credit (58p!)

What would happen IF i did use the account for paying in and they took my money, would I have a right to get it back or would it be seen as payment to them?

I have a cheque for £5 that i could pay in and withdraw as a test, do you think that would work?

Sorry for all the questions I just really want to get back on my feet again and live my life. I felt like a leper when I visited TWO natwest branches yesterday in the vain hope of getting a basic step account.

izools

Like I said, don't use any banking group you owed money to. Just don't. Legally they shouldn't take any money off you but it's likely to cause more hassle that it's worth.

Did you owe co-operative group anything?

boltonangel

no I didn't owe them anything but I am unable to get into the branch nearest to me before monday (to provide ID) as it's quite a way away and I have meetings all this week.
I know this should be irrelevent but I am friends with someone who works in the new acc opening at the centre where all the apps are sent and I don't want them knowing about my BR, only my dh knows.

Thank you for your help and I know I sound like I'm making excuses for every thing but i thought it would be a lot easier to get a basic acc after br........naive!

izools

Don't worry, the people processing applications can't see your credit file, just what the computer makes of it. And you'll get the co-op cashminder so all they'll see is that you applied for an a/c and got it

never-in-doubt

boltonangel wrote: »

I completely appreciate what you mean about not using a bank connected with anyone involved in my BR.
However, I pretty much had accounts spread everywhere and owed small amounts to each bank The HSBC one is showing as a small credit (58p!)

What would happen IF i did use the account for paying in and they took my money, would I have a right to get it back or would it be seen as payment to them?

I have a cheque for £5 that i could pay in and withdraw as a test, do you think that would work?

Sorry for all the questions I just really want to get back on my feet again and live my life. I felt like a leper when I visited TWO natwest branches yesterday in the vain hope of getting a basic step account.

Once your bankruptcy is clear then it does not matter if you use the same financial organisation as the old debt is gone, dead - buried. They have no right to offset and they certainly have no right to try and claim back any of the pre-b/r debt!

What you'll find though, is that HSBC perform an update feed with the CRA's on a monthly basis and when they do this it will send back sharing data, although they will not see the entries in detail they will see the b/r entry and then if they happen to find out that you owed their sister company money they may decide to close your account. It's their prerogative.

Just use the HSBC one and see how you get on, especially if they're sending a card etc out to you....

never-in-doubt

izools wrote: »

Don't worry, the people processing applications can't see your credit file, just what the computer makes of it. And you'll get the co-op cashminder so all they'll see is that you applied for an a/c and got it

They can see your credit file - they can see each and every search; any public data and history of existing accounts...... In fact they see pretty much exactly what we see, other than unrecorded enquiries.

However, if the bankruptcy is discharged the entry still remains visible for 6 years and so their friend would indeed see the b/r entry if their systems are flagged to look for discharged b/r entries.

Public data, such as Bankruptcies/CCJ's/IVA's etc will remain on your credit file for a period of 6 years from the date of registration and can be seen publicly, by anyone, unlike the rest of your credit file. Having Public Data on your credit file will have a major impact on your ability to obtain credit, regardless of whether it has been settled or not.

See here for detailed CRA info: Credit Reference Agencies

boltonangel

thanks for the info.