Basic Bank Account Thread

Waltess

people are curious about using a place to keep our money. A bank or even credit score companies can't offer you the chance to more interest than your local business can gain you. Surely, while you need a business bank account, it may require a little more documentation.

lisa701

We currently have a joint cashminder account with the co-op. I have my own personal account too for buying things online etc as I like to keep all the seperate from the main account. My husband would like to set up the same for himself but we are going round in circles with the co-op as each time he contacts them they say because he already has an account with them he has to provide the password for that account before they can process an application for a second account - and neither of us know what this password is. The account was set up over 4 years ago and neither of us recall setting up any password but even if we did after that length of time we wouldnt remember it anyway.

So where else can we open a basic bank account which offers the facility for direct debits and a visa debit card like the Cashminder does? Any suggestions?

jalexa

lisa701 wrote: »

So where else can we open a basic bank account which offers the facility for direct debits and a visa debit card like the Cashminder does?

Decide for yourself here.
http://www.moneyadviceservice.org.uk/_assets/downloads/pdfs/your_money/bank_accounts_table.pdf

It is no bad thing to spread your banking across more than one bank.

AFAIAA, both Natwest/RBS and Halifax/Bank of Scotland allow online application for their Basic bank accounts (NB not always easy to find the link, take care not to inadvertantly apply for a full service account unless that is what you want) and both offer a much better online banking proposition than the Co-operative Bank dynasaur.

Anthorn

lisa701 wrote: »

We currently have a joint cashminder account with the co-op. I have my own personal account too for buying things online etc as I like to keep all the seperate from the main account. My husband would like to set up the same for himself but we are going round in circles with the co-op as each time he contacts them they say because he already has an account with them he has to provide the password for that account before they can process an application for a second account - and neither of us know what this password is. The account was set up over 4 years ago and neither of us recall setting up any password but even if we did after that length of time we wouldnt remember it anyway.

So where else can we open a basic bank account which offers the facility for direct debits and a visa debit card like the Cashminder does? Any suggestions?

If you really mean a basic bank account you're unlikely to get a debit card of any description. You also need to face a basic fact that if you want a debit card there's most likely going to be minimum total credits into the account.

The Santander "Everyday Current Account" that I have might be suitable: Pay in a minimum of £500 a month, VISA debit card, standing orders, direct debits, online banking, mobile banking, telephone banking, BACS and Faster Payments, free arranged overdraft if you want it, cheque book on request.
http://www.santander.co.uk

pmduk

Anthorn wrote: »

If you really mean a basic bank account you're unlikely to get a debit card of any description. You also need to face a basic fact that if you want a debit card there's most likely going to be minimum total credits into the account.

I'm sorry but you're wrong. Most banks that offer basic bank accounts will provide a debit card. The two notable exceptions are HSBC and Santander. No basic bank accounts have a minimum funding requirement, to my knowledge.

There's a full list of them here. NB Yorkshire and Clydesdale only offer a Mastercard debit card

Anthorn

pmduk wrote: »

I'm sorry but you're wrong. Most banks that offer basic bank accounts will provide a debit card. The two notable exceptions are HSBC and Santander. No basic bank accounts have a minimum funding requirement, to my knowledge.

There's a full list of them here. NB Yorkshire and Clydesdale only offer a Mastercard debit card

I'm sorry but I'm right. The definition is explained in the page you link to in the section starting with "Take money out at cash machines ..." The next section on that page explains that "Some banks will give you a debit card ..." A basic bank account should be like the old Halifax Cardcash, for example, which allowed direct debits and withdrawals through ATMs. If it progresses to a debit card then it ceases to be a basic bank account and becomes no-frills account which is the same as a regular current account without the overdraft.

Through competition banks will offer more to entice customers but at a price and in the end the consumer will be the loser. For example, if there is a charge for overdrawn balances then there must be the ability to overdraw. That's not a basic bank account!

But of course it's a matter of definitions and labels: When is a basic bank account not a basic bank account? And the answer often is that it's like a regular current account with higher charges: Check out that £45 charge on the Barclays Cash Card Account, for example. To my mind that flouts the very principle of a basic bank account!

Lastly I didn't say that basic bank accounts have a minimum funding requirement. I said that "...if you want a debit card there's most likely going to be minimum total credits into the account." Taking again Barclays as an example, there is a reason why they have both an ATM only card and a VISA debit card!

Toe-Jam

pmduk wrote: »

NB Yorkshire and Clydesdale only offer a Mastercard debit card

Yorkshire and Clydesdale only offer Maestro on their basic account.

Anthorn

Forgot to say what a basic bank account is (or rather, should be): It was the idea of government although I don't recall which government. So that those who find it difficult to open a regular Current Account because they are new to banking or because they have had bad debt can still have one to store their money and have access to it.

pmduk

Toe-Jam wrote: »

Yorkshire and Clydesdale only offer Maestro on their basic account.

You're rght of course, I was trying to stress that their cards aren't operated by Visa as the original enquirer requested.

System

I would suggest using the Money Advise Service or similar organisation's definition of a Basic Bank Account rather than making up your own.

Having a debit card doesn't stop an account being a basic one since these types of accounts usually come with an online debit card like Visa Electron.

Anthorn wrote: »

I'm sorry but I'm right. The definition is explained in the page you link to in the section starting with "Take money out at cash machines ..." The next section on that page explains that "Some banks will give you a debit card ..." A basic bank account should be like the old Halifax Cardcash, for example, which allowed direct debits and withdrawals through ATMs. If it progresses to a debit card then it ceases to be a basic bank account and becomes no-frills account which is the same as a regular current account without the overdraft.

Through competition banks will offer more to entice customers but at a price and in the end the consumer will be the loser. For example, if there is a charge for overdrawn balances then there must be the ability to overdraw. That's not a basic bank account!

But of course it's a matter of definitions and labels: When is a basic bank account not a basic bank account? And the answer often is that it's like a regular current account with higher charges: Check out that £45 charge on the Barclays Cash Card Account, for example. To my mind that flouts the very principle of a basic bank account!

Lastly I didn't say that basic bank accounts have a minimum funding requirement. I said that "...if you want a debit card there's most likely going to be minimum total credits into the account." Taking again Barclays as an example, there is a reason why they have both an ATM only card and a VISA debit card!