Is there any other way?

lesley_rod

Hi,

A friend's credit history seems to be screwed and he has been unable to open even a basic bank account (turned down twice). What makes it worse is that he has split up with his girlfriend and their joint account has been closed. He has finally won a 2 year battle with the Halifax over a fee for closing a mortgage early and they have sent a cheque. Apart from giving on of the 'cheque cashing' business' over £200 (2.5% seems to be standard), does anyone know of a way he can get this cheque cashed quickly?
(He has sent off relevant details to Experion & Equifax this morning to get credit reports back).
Thanks

lesley_rod

sgx.saint

Hi,

A friend's credit history seems to be screwed and he has been unable to open even a basic bank account (turned down twice). What makes it worse is that he has split up with his girlfriend and their joint account has been closed. He has finally won a 2 year battle with the Halifax over a fee for closing a mortgage early and they have sent a cheque. Apart from giving on of the 'cheque cashing' business' over £200 (2.5% seems to be standard), does anyone know of a way he can get this cheque cashed quickly?
(He has sent off relevant details to Experion & Equifax this morning to get credit reports back).
Thanks

When you say "credit history seems to be screwed". What exactly do you mean?

Does your friend have any Defaults/CCJ? Or has he been declared bankrupt?

I would recommend your friend try opening a "Step Account" with Natwest, this is their Basic Bank Account. I think they will accept anyone apart from bankrupt individuals. There are even some basic bank accounts for people who have been bankrupt also, so I dont see any problems with him getting a new basic account. Which banks has he/she tried so far?

In reference to the cheque, if you want it clearing quickly as far as I am aware the only way is through a company that will charge. But I am sure others will be along soon to shed more light on it, if I am wrong!

lesley_rod

Hi sgx.saint, to be honest 'screwed' is the only word we can use right now until he gets the credit reports. He was told by TSB that because of the info coming back currently no bank would give him even a basic account. He's not bankrupt or does he have any CCJ's.
Thanks for replying!

sgx.saint

Well if thats the case, regardless of what the credit file says he should be able to get a Basic Bank Account without any real issues. Unless of course he was involved in some sort of fraud then there would be a big problem!

I think whoever told you that at Lloyds TSB should be shot ... probably a typical Customer Service Advisor acting way above his or her station without the proper knowledge.

It is worthwhile getting a copy of the credit file though as you say to see where the issues lie, however I would recommend your friend go try Natwest as I am almost certain he would be able to open one there and then.

sgx.saint

Nearly forgot, I know all this because my credit history is also "screwed" lol

Gordon_the_Moron

Tell him to take a walk down the high street of the nearest town and go into each bank/building society he hasn't tried yet and ask for a basic account. Someone should be able to offer it.

jonesMUFCforever

I will declare an interest - I work for a bank.
Ask your 'friend' to go to a bank - DON'T ask for a basic account just tell him/her that she wants to open a current account.
They will conduct a credit search and it well may come back rejected for a current and that the only account we can offer you is a cash/basic one which is what you want anyway.
Play the game - banks don't make any money from basic accounts so do their best to dissuade potential customers whilst you'll get the 'red carpet' treatment as a potential new current account customer.
By the time they have done the credit search they will have completed 75% of the work to open a new account.
You've not heard this from me ok