Unable to open a bank account

Sceptic001

Interesting_Ian wrote: »

I don't know. I have no idea about this sort of stuff! Are they implicated with the ease with which one can obtain credit cards? I was given a credit card a few years back. Scarcely used it, and when I do I just pay it off by direct debit. So basically never been in debt in my life. Much prefer using my debit card so that I know how much money I have!

So won't have a problem there will I? Does this "credit reference agency" have an email address or tel no?

Have a look here: http://www.moneysavingexpert.com/loans/credit-rating-credit-score#files

Don't worry about your credit score. This is irrelevant for savings accounts. What matters is that the three agencies listed have your correct basic details when the banks do their ID checks.

psychic_teabag

Interesting_Ian wrote: »

PS One final thing. A friend who knows a lot about this sort of stuff said that since I don't have an officially recognised job, then I would not pay any tax on my savings in a deposit account and hence it would be better for me to open a deposit account rather than a cash isa. Is this correct?

Sorry, one thing I forgot to mention earlier. Another benefit of ISA is that they will remain tax-free ever, even if you get a proper job one day. So you might regret not building up an ISA pot in the future if you become a taxpayer.

Interesting_Ian

psychic_teabag wrote: »

Sorry, one thing I forgot to mention earlier. Another benefit of ISA is that they will remain tax-free ever, even if you get a proper job one day. So you might regret not building up an ISA pot in the future if you become a taxpayer.

I am a tax payer. Pay a fortune in VAT!

xylophone

Once the OP starts to earn interest on his (non-isa) capital, he has income?
He can therefore earn up to his personal allowance tax free and on top of that, as all his income is from savings, he benefits from the 10% band on a further portion of his interest.

See http://www.hmrc.gov.uk/tdsi/example22.htm but substituting the correct allowances for the tax year in question.
http://www.hmrc.gov.uk/rates/it.htm

innovate

Sounds pretty incredible - if you are on the ER and have not moved in years, why won't they let you open a savings account?

A few suggestions to the OP

1. you didn't say how you applied - was it online? If not, might be worth trying an online application. The online operations of many banks are a lot more modern than what they use in branch, and a person's ID will generally be confirmed against the ER when they apply for a savings product (different matter if you apply for a loan of sorts).
2. just get a passport, life will be a lot easier for you if you have one (and you might even enjoy some foreign travels with your winnings ). Banks must be able to demonstrate that they have verified people's ID, and once you need to provide any documents, you invariably will have to provide a government-issued picture ID, such as a passport or DL.
3. ensure you do not keep more than £85,000 in any single bank (or group of banks). If any of them goes bellies up, you are only secured up to £85K
4. there have been suggestions over on the Matched Betting board that people had difficulties getting mortgages when their bank statements showed lots of gambling transactions. Whilst I can't see why you should have any problems opening savings accounts with Yorkshire, who knows, may be you got a 'bad marker' for gambling?
5. as and when you have a passport, open a couple more current accounts (interest paying ones, preferably) and spread your money a bit.

innovate

xylophone wrote: »

Once the OP starts to earn interest on his (non-isa) capital, he has income?

Agreed.

And one day, he might get a pension, which will count as income.

Having a cash ISA is a good idea for most people IMO

Interesting_Ian

Since I started this thread I've been communicating with the Yorkshire bank. They sent me an email stating:

I refer to your recent e mails in connection with your request to open a savings
account.

I understand that your request was declined as you were unable to provide satisfactory
identification as required by Financial Services Authority.

The Bank’s preferred method of identification would be an electronic identification
search but unfortunately the system was unable to find 2 forms of identification and 2
address verifications for you. Also you failed to achieve sufficient points to pass the
credit search.

The company the Bank use for this information is Experian.

The P45 which you have cannot be accepted as one of the forms of identification.

An alternative method would be for you to provide a statement or letter from a person
in a position of responsibility who knows you sufficiently well to confirm your
identity and your address. A list of examples of persons in a position of responsibility
is enclosed.

Unfortunately I know of no one in a so-called "position of responsbility" apart from a Labour Market Researcher, although I don't know if this constitutes such a "responsible" position.

I'm confused here on a number of issues. What for example has this got to do with my credit rating? Also I can't understand why I would fail it anyway since I pay off my credit card by direct debit at the end of each month (not that I scarcely ever use it, I much prefer using my debit card so I know how much money I have!), and I have never borrowed any money in my entire life apart from said rare purchases on credit card.

And why can't this [FONT=&quot]Experian[/FONT] company confirm my identity and address if they can do so for everyone else??

Do I have to pay them for a credit report to check if they have my correct details?

Sparky47

Interesting_Ian wrote: »

And why can't this [FONT=&quot]Experian[/FONT] company confirm my identity and address if they can do so for everyone else??

Do I have to pay them for a credit report to check if they have my correct details?

You can get a credit report from them for £2
http://www.experian.co.uk/consumer/statutory-report.html

Interesting_Ian

Sparky47 wrote: »

You can get a credit report from them for £2
http://www.experian.co.uk/consumer/statutory-report.html

Is it better to pay the £2 or get the free 30 day access and I can see the report instantly? I'm wholly indifferent about the cost.

Never seen a credit report before, what am I looking for precisely?

Jus' used this credit score calculator and got "excellent", but failed the credit score check to open up a bank account! (Also found it extraordinary dificult to get my credit card about 5 years ago).

http://www.moneysavingexpert.com/loans/credit-rating-credit-score

Does anyone have any idea why I have to obtain lots of points in credit searches to open up a bank account?? I want to save, not borrow! Is this standard procedure?

AirlieBird

Interesting_Ian wrote: »

Never seen a credit report before, what am I looking for precisely?

The only thing to be looking for on a credit report for the purposes of opening a savings account is to check your personal details are correct and then have correct electoral role history for you.

Interesting_Ian wrote: »

Jus' used this credit score calculator and got "excellent", but failed the credit score check to open up a bank account! (Also found it extraordinary dificult to get my credit card about 5 years ago).

Ignore these credit score calculators and any credit score generated by a credit reference agency. They are meaningless. Each organisation that accesses your credit file will generate their own credit score based on their own risk profile and the kind of customer they are looking for.

Interesting_Ian wrote: »

Does anyone have any idea why I have to obtain lots of points in credit searches to open up a bank account?? I want to save, not borrow! Is this standard procedure?

You don't. I suspect there has been some miscommunication. You are likely to have failed the scoring process to check your identity. Experian have solutions where, as well as checking your credit file for your identity, they will also check numerous other sources including passport data and driving license data. They take all this and generate a score to provide the probability that you are who you say you are, and live where you say you do. If you do not have any official documents you are likely to score low and fail these electronic identity checks.