any reason not to keep existing bank account?

thinkpositive1

I am about to petition for BR.

Is there any reason I cannot keep my existing bank account?

I have a basic bank account, taken out when I agreed a DMP over 5 years ago (and IVA since then) and no credit facilities and I don't owe them anything.

I understand the O/R freezes your bank account as part of bankruptcy but is this "unfrozen" if your bank is not one of your creditors?

I have spoken to my bank manager about impending BR and he is very happy to "put in a good word" to the O/R to hopefully let me keep it running.

Any reason why my account could not be re-activated if I owe them nothing, and it is a simple basic account?

Helpmeoutofthismess

thinkpositive1 wrote: »

I am about to petition for BR.

Is there any reason I cannot keep my existing bank account?

I have a basic bank account, taken out when I agreed a DMP over 5 years ago (and IVA since then) and no credit facilities and I don't owe them anything.

I understand the O/R freezes your bank account as part of bankruptcy but is this "unfrozen" if your bank is not one of your creditors?

I have spoken to my bank manager about impending BR and he is very happy to "put in a good word" to the O/R to hopefully let me keep it running.

Any reason why my account could not be re-activated if I owe them nothing, and it is a simple basic account?

It's not the OR that will close your account if it gets closed, it's the banks decision. I have read on here lots of times that a local branch manager has said it's fine to keep the account open but then head office has closed it!

Who is the account with? Maybe it would be an idea to phone co op to try and open a cashminder before it's too late (don't mention bankruptcy!)? If you don't get the co op account and the bank does close your account down, you can go to barclays even as an undischarged bankrupt. Unfortunately barclays don't allow internet banking but it's better than nothing!

H x

woodformoretrees

As above. I've also heard of branch managers giving the okay and then the account still being blocked.

It would be worth opening one with Barclays (you don't need to put any money in it at all) so at least you have one available if your manager is wrong.

thinkpositive1

woodformoretrees wrote: »

As above. I've also heard of branch managers giving the okay and then the account still being blocked.

It would be worth opening one with Barclays (you don't need to put any money in it at all) so at least you have one available if your manager is wrong.

If I open that as a contingency in advance of BR do I not need to state the account on my BR forms? (parts 5.2 and 5.4)

woodformoretrees

With Barclays basic account you can open that post-bankruptcy, so you could open straight after you're declared and you won't need to list it. But if opened prior you would need to - if it's empty or contains your everyday living money the OR would have no interest.

alastairq

thinkpositive1 wrote: »

If I open that as a contingency in advance of BR do I not need to state the account on my BR forms? (parts 5.2 and 5.4)

Yes indeed, but there will be no problem...you simply state that the account is/are used for day-to-day living expenses.

The OR will want confirmation from you that the account are used for the purpose as above....

bigjl

Nationwide left my savings account open if that helps.

tigerfeet2006

Which bank?

fermi

Helpmeoutofthismess wrote: »

I have read on here lots of times that a local branch manager has said it's fine to keep the account open but then head office has closed it!

Happens all the time. If it's the bank's policy from their head office or wherever to close accounts, then local staff, even managers, have no say. No matter what they may have thought or promised. Not saying it happens 100% of the time, but gotta be 90 something % at least unless it is a BR safe account.

thinkpositive1

Been into Barclays today and have arranged an appointment next week to set up an account.

From the advice above there seems no 100% certainty of keeping my account going. On that assumption are my better setting up a Barclays account after I submit my BR petition in court / after the OR interview or do it now in advance?

woodformoretrees

You can of course do it afterwards....but you need to be aware that (in my experience) you need to give it a good week before you have your card/PIN etc. Although the account is available instantly to set up your DDs and payments in etc.

Also - just make sure you have no payments in going to your current bank account close after your bankruptcy. You need to be able to access your everyday living money without issue.

in retrospect I would open it prior.