Current account after Debt Relief Order

sn1975

Hi all,

I'm looking for some advice, please, regarding current accounts after a Debt Relief Order.

I've held accounts with NatWest for a few years without any problems.

During which time I regret that I ended up in debt to several other organisations (none of them NatWest, and mainly high-rate credit cards).

In 2012 with the support of the Citizens Advice Bureau I successfully applied for a Debt Relief Order - the moratorium period of which ended in May 2013.

Before the DRO I also had two basic current accounts with Nationwide Building Society. I regret that one of these accounts was approximately £140 overdrawn and was included in the DRO.

The current accounts that I have with NatWest are unfortunately basic accounts with a VISA debit card which I believe cannot be used in certain places such as petrol pumps and onboard trains, which has been an inconvenience to me, but the major problem I have at the moment is that NatWest have severely restricted which cash machines can be used to only NatWest and RBS machines. Unfortunately, I do not have either of these types of machine in the places I visit the most and this is causing me major inconvenience.

I have spoken to both NatWest and Nationwide in branch and both said they were unable to upgrade my account - all I am looking for is a debit card which I can use without restrictions - I am not looking for an overdraft or cheque book. Nationwide were able to find my old accounts on their computer systems (as I have forgotten the details) and they said the debt still appeared on their systems and the other account had been closed and because of the DRO and my history with them a new account could not be opened. NatWest just said that the DRO would be a problem.

I decided, perhaps wrongly, to try to apply for an account upgrade online with NatWest but was declined due to "bankruptcy".

Any suggestions would be gratefully appreciated.

Many thanks.

pqrdef

You won't get an offline debit card anywhere.

For cash, Barclays or the Co-op may give you a basic account with a card that's not restricted to their own machines. Also, there are savings accounts with Link cash cards, e.g. Tesco.

Archi_Bald

Get a pre-paid debit card, perhaps?

tommytynan123

I know that many will throw up their arms in horror because this card will cost - but read on.

Think Money (part of RBS ?) have an account which can generally be opened on the phone in 10 mins. No restrictions on your financial past. Debit Card - no cheques - no overdraft facility. It costs £15 ? a month but:

1. You discuss with them your DDs and SOs and your income amounts and dates. Together you agree how much they will take from your ''salary account'' (pay goes in there and bills are paid from that account) on each occasion money goes in. That is then set aside and all bills are then paid as per DDs etc.

2. Balance is then put into your ''card account'' and thats yours.

3. Card works just about everywhere (I can't use the cash machine in one garage but can in the rest and for some reason it doesn't work on the ASDA 24hr fuel machine - but does in the store ??? Apart from that it works everywhere.)

4. Having paid your £15 you pay no more - ever !! So if a DD can't be paid - which in fact should never happen but has to me once due to a misunderstnding - no charge. If it means grabbing a fiver from your card account to pay a DD then they will and will tell you by text. You also don't pay for ANY cash machines - even those that charge.

5. It really works for me - google it and read a bit.

pmduk

Think Money are not part of RBS. They'll keep your money in their account at RBS. As well as the annual running costs of £174 you need to dial an 0844 number should you wish to talk to your money manager, so make sure you budget for that, particularly if you rely on a mobile phone. I accept there are some people for whom this is the only answer, but I feel it should be the very last resort.

tommytynan123

pmduk wrote: »

Think Money are not part of RBS. They'll keep your money in their account at RBS. As well as the annual running costs of £174 you need to dial an 0844 number should you wish to talk to your money manager, so make sure you budget for that, particularly if you rely on a mobile phone. I accept there are some people for whom this is the only answer, but I feel it should be the very last resort.

I can understand what you're saying and used this account some 4-5 years back when we were in a mess (not entirely our fault) Having sorted the mess I could now move to a more High St bank but find this system works for me. I do it all on-line and havn't talked to them for over 12 months. My bt plan gives free calls to 0844 anyway.
With some machines charging £1.75 and some banks charging £20+ for non-paying DDs or unauthorised o/drafts it is easy to rack up charges of more than the £174 per year.
Maybe I, and others, should be more careful and manage things more accurately but I know that all bills are paid, I can't overdraw and will not get any charges over the monthly fee - I'm OK with that.

JuicyJesus

Think Money's service sounds a lot like what I do with two free of charge current accounts and a calculator.