Help: Are there downsides to a new/ having several current account?

elliejay2006

I have been with Lloyds for 10 years.

If I move my current account will it affect my credit rating?

Will there be any negative impact on my credit rating or are there any rules preventing me having several current accounts (in order to get high regular saver interest rates) with standing orders shifting money between them?

Help very gratefully received.

mleonard79

Hi There,

There are no rules about how many current accounts you can have - the only rules you have to follow are the rules placed on the current accounts themselves by the respective banks (ie minimum funding.) Many people have several current accounts for the different incentives on offer (esp the regular savers.) So long as there is no overdraft facility then there is no reason having several current accounts would affect your credit rating at all as you are not amassing new debt (in other words savings don't count.) The only thing I would suggest before dong it, though, is if you have been with your current bank for a number of years then don't close down the account you have at the moment as it is good for your credit rating to have a long-standing relationship with an institution. You don't need to use it much if you don't want to - My first main bank account was with Barclays and although they are not competitve in the current accounts market I maintain my account with them just putting a few transactions through it while using other accounts for their better rates and incentives. Hope that helps.

Regards

Michelle

sofa_surfer

I'll second that - keep the old one to put down on applications

steady__eddie

I use Nationwide for my wages and living ? expenses but use Lloyds for regular savers, interest received and dividends etc. That way, I find that I can keep a better track of what has got to go out when. Retrospectively, it is easier to see how much was received in the past and anyway, it's cheaper than an accountant.