Can I be refused a basic bank account?

agentpodge

Hi

I wonder if anyone can help me. I have a normal gold account with Natwest and I also have a basic bank account with them (Step account).

As I have bad credit I know that I cannot get a normal bank account anymore but I thought you could not be refused a basic bank account.

However, I have applied to Natwest for another step account and was told that I was declined because I didn't pass the credit check! I know I wouldn't pass for a normal account but I thought basic accounts didn't use a credit check because the point of them is that they are for people with bad credit! Am I correct or not?

The reason I need 3 accounts is that I use my gold account (no overdraft facilities) for my wages to go into and my everyday spending. When I am paid I transfer all bill money into my step account where all bill payments come out of. The gold account then only has my budgetted spending money for the month.

As i'm in a house share and am in charge of paying those bills, I want another step account so that when my housemates transfer bill money to me it is separate to my own personal bills.

I have heard of people having 3 or 4 accounts with the same bank so I'm not sure why Natwest are declining me. Before I query with them I wanted to double check that I am right in my thought process that I shouldn't be declined for a basic bank account based on my credit score!

Any advice would be appreciated.

Thanks

Twister84

You are still credit checked for Step Accounts for fraud, ID & bankruptcy purposes.

Have you checked your credit report to see if there'd be anything on there which could affect you?

YorkshireBoy

Twister84 wrote: »

Have you checked your credit report to see if there'd be anything on there which could affect you?

And if indeed NatWest actually searched your file. If they didn't, you were declined due to a 'policy rule' rather than as a result of information found on your CRA file.

jonesMUFCforever

A bank can refuse to have anybody as a customer and also refuse to offer a particular service if they want to.

IMO basic accounts cost a lot to run with little income from them so as you already have one your only option seems to be opening one at a different bank.

Cmdr_Bond

Agreed.

It may be policy to only allow 1 basic account per person (i don't know, but it would make sense)

[Deleted User]

and various other reasons may decline you

Dr_Cuckoo3

From the information provided we do not know whether the OP was declined instantly or returned the paperwork and was declined by the AVU

If only one basic bank account is allowed at Nat West then RBS or Ulster Bank could be used instead - these use the same internet banking platform but have separate banking licenses

agentpodge

Thanks for your replies everyone. I think I'll speak to Natwest to find out exactly why they declined me and then go from there.

Thanks again

MichaelCR

A bank doesn't have to give you anything, Even a Basic bank account, Although this is rare to be declined for one (They run Fraud checks, ID checks, and of course checks to make sure your not bankrupt etc), Unless you're after a full current account (Visa Debit Card, Cheque book etc) then they'll run a full credit check, You say you already have an advantage gold account (I had one, Although i found downgrading it to a current account plus to be more beneficial, And i still have a full current account, Cheque Guarantee visa debit, Cheque book, And a small overdraft, Without paying £12.95 a month), But back onto subject, Maybe you've been declined as its policy that natwest customers can't have 2 of the same financial products ? In this case 2 step accounts ? Maybe try somewhere like Lloyds tsb for the classic account ? You still get a visa debit card, And a cheque book if you want one...

Toe-Jam

Dr_Cuckoo3 wrote: »

From the information provided we do not know whether the OP was declined instantly or returned the paperwork and was declined by the AVU

If only one basic bank account is allowed at Nat West then RBS or Ulster Bank could be used instead - these use the same internet banking platform but have separate banking licenses

Not necessarily true, If the OP was declined by the AVU then any applications to any of the group banks will go to the AVU and they will most likely decline them also. Its the same AVU for all the banks and the same application system.

Even Ulsterbank Republic of Ireland is on the same platform.

Dr_Cuckoo3

Toe-Jam wrote: »

Not necessarily true, If the OP was declined by the AVU then any applications to any of the group banks will go to the AVU and they will most likely decline them also. Its the same AVU for all the banks and the same application system.

Even Ulsterbank Republic of Ireland is on the same platform.

That suggestion was for the one basic bank account per banking license scenario

I doubt that using the same platform means using the same "AVU" - Offshore for example