Business banking charges

pmduk

DontGetIt wrote: »

the fact that IT IS NOT LEGALLY REQUIRED to have a business account as a sole trader

So don't have a bank account. The banks aren't legally required to give anybody an account.

You charge for your services and decide what to pay yourself as a private company. It's hypocritical to expect banks not to do the same. Very few people in retail banking get huge bonuses.

tim75

I until very recently did my business banking with HSBC. The service was casual and unprofessional. They made one too many mistakes so I switched to Barclays who so far have been the exact opposite.

w211

If you're eligible to join the Federation of Small Business, one of the benefits is free business banking with the Co-Op, if that's any help. (It's £120 a year though!)

I'm a self-employed private hire driver, and I don't have a business bank account. There's no need, and the bank knows this, as I had a chat with a personal banker, who knows what I do for a living, and understands I take on work from more than one firm (as well as having my own clients).

I think you're quite right what you said earlier, that it's hardly any different paying in a monthly wage if you work for a company. Same for employed private hire drivers, who may get paid an hourly rate, direct into their bank account ,and some have to take expenses out for fuel used.

paul2345

I've spent the last hour looking into other options.

RBS Business Banking Direct is free fee and can be applied for online.
Carter Allen do a free account, but have a £5000 minimum balance.

If you google "carter allen it contractor" you will get a referral page that allows you to open the account via them, and avoid the minimum balance.

To the original poster, I can only suggestion you change bank. It is a much more a productive use of time than complaining to people you don't know on the internet. Probably better for your blood pressure too.

Paul

willo65

I don't understand what you don't understand? A bank is a business and as such can charge for its services. Do you think branches/staff/ATMs/clearing systems don't cost money to run?

Most banks personal terms & conditions don't allow you to run a business through so although not illegal it would break the T & C's.

Surely as a business owner yourself you understand to run a business you can't give everything away for nothing?

By applying the same logic should a heating engineer charge for the privilege of installing my own boiler for me?

DunPin

paul2345 wrote: »

Carter Allen do a free account, but have a £5000 minimum balance.

If you google "carter allen it contractor" you will get a referral page that allows you to open the account via them, and avoid the minimum balance.

It's Cater Allen and are they good for business banking? I know people tend to stay away from them for private banking as they are to easy to open an account with thus lack prestige but is the business side good?

CKhalvashi

DunPin wrote: »

It's Cater Allen and are they good for business banking? I know people tend to stay away from them for private banking as they are to easy to open an account with thus lack prestige but is the business side good?

It's supposedly good, but I haven't personally experienced them.

I still wouldn't move my business banking away from HSBC*, as we've got an amazing relationship manager that's been able to manually approve anything that the computer's said no to (it's usually, however large amounts for a small time, 1-2 times a year), but I can understand why many would with the raised charges.

Natwest/RBS are supposedly a good catch-all for many small businesses.

CK

*Unless VTB came into the UK market, as I hold Russian/Georgian accounts with them, and they manage the Austrian and Russian parts of the company

marlewuk

i think op should should take it up with ombudsman if he feels that strongly about business not being being treated fairly by banks.

pmduk

I'm not sure there's a complaint there for the ombudsman. The business considerations and decisions taken by banks can't be considered by an ombudsman.

opinions4u

marlewuk wrote: »

i think op should should take it up with ombudsman if he feels that strongly about business not being being treated fairly by banks.

I think you should desist from suggesting clogging up the ombudsman with nonsense when there are others waiting months for more reasonable complaints to be ruled on.