Getting a standard bank account and credit card

PippaGirl_2

Hi I was made BR May 2012 with ED January 2013. Since then I have cleaned my credit file, gained a phone contract, and have a capital one credit card (£1000 limit) which I pay off in full each month as I do with a Next account (£6000 limit!) and my credit score has gone from 1/5 to 2/5 on Noddle.

I was wondering what my likelihood is for gaining a standard bank account rather than a basic one with a bank? And is it best to avoid a bank that you previously had debt with or does that make no difference?

Also now that I have run my capital one card for a few months always paying it in full, what is the likelihood of being accepted for an ordinary credit card? In one way it should actually make no difference as I pay it off in full always so the 34.9% interest rate doesn't affect me, but just in case a bad month appeared or whatever, it might be nice to have a better one.

Any advice appreciated. Thank you.

john1002

It is rare you will get a full bank account with the bankruptcy on your credit file also it will take years rather than months to better your credit history to get a mainstream card.

Keep doing what your doing and when the bankruptcy and any defaults are off your file then you will have the best chance for a bank account and credit card.

john

Carlabo

I'm not able to give any advice but I just wanted to say your post is so encouraging to read!! I'm going bankrupt this month and your experience seems really positive and shows things can improve pretty quickly if your careful and work at it! Hope things continue going well for you and thank you for sharing something that's so positive. xx

PippaGirl_2

john1002 wrote: »

It is rare you will get a full bank account with the bankruptcy on your credit file also it will take years rather than months to better your credit history to get a mainstream card.

Keep doing what your doing and when the bankruptcy and any defaults are off your file then you will have the best chance for a bank account and credit card.

john

Thanks John. Do you think that would still be the case if the BR wasn't on my file? I mean, I have the defaults stating settled/satisfied etc. but no BR showing. So maybe that would be ok? Or are the settled defaults enough to put the banks off?

dojoman

Just because it is not showing on your files means nothing, the banks have other ways of checking your current status and until 6 years has passed you have very little chance of getting either a normal bank account or mainstream CC, although some people claim to have done so.

alastairq

Why the rush, or need, for a so-called 'normal' bank account?

Or, a so-called 'mainstream credit card?

A Visa is a Visa, regardless of whose name is printed on the plastic.

Since you already pay balances off in full, what advantage would pining after a 'mainstream' card give you?

What advantages does a 'normal' bank account give you, that a basic account does not?

[aside from an access to 'cheaper' credit? Which, as a BR is perhaps to be avoided anyway...not that one would be offered it?]


Unless, one is desperately keen to not be labelled 'us'...and to adopt the accolade of 'them?'

PippaGirl_2

Alastair, bank change would be just for convenience. I have difficulty using phones and I don't have a Co-op branch near me but have other mainstream banks I could just walk in to.

Credit card would be 'just in case' a balance couldn't be paid off on an occasional month. For instance I had to put two car tyres on the card one month, did manage to pay that off but it was hairy and the cupboards were bare, but the card is only for emergencies and only having this is not the end of the world at all, I am very grateful for the emergency back up whatever it is.

Although several times recently my Co-op visa debit card has been declined despite there being the funds in my account, once at the garage having put petrol in, so having the credit card was a big sigh of relief.

woodformoretrees

PippaGirl wrote: »

Alastair, bank change would be just for convenience. I have difficulty using phones and I don't have a Co-op branch near me but have other mainstream banks I could just walk in to.

Credit card would be 'just in case' a balance couldn't be paid off on an occasional month. For instance I had to put two car tyres on the card one month, did manage to pay that off but it was hairy and the cupboards were bare, but the card is only for emergencies and only having this is not the end of the world at all, I am very grateful for the emergency back up whatever it is.

Although several times recently my Co-op visa debit card has been declined despite there being the funds in my account, once at the garage having put petrol in, so having the credit card was a big sigh of relief.

I second this with regards to debit cards.
had a time when both hubbie and I had the same banks debit cards and if we were in a situation where the machine declined (nothing to do with the balance of the account) then we were absolutely stuck.
I now have a mastercard debit, a visa debit, and a vanquis credit card. Before we had these we'd end up withdrawing the days funds in cash so that we knew we wouldn't get stuck with our stupid debit cards.
It's just the confidence of knowing that you won't be left high and dry.

alastairq

but....I thought the OP already had a Capital One credit card?

Also, I have, occasionally, had my Co-op visa debit card declined....it definitely is the machine at the point of sale [they need to clean or service their machines more often]....so, despite having a Vanquis card sitting in my wallet...I stand there and make the issue their problem, not mine. Especially useful if other's cards are declined as well?

Usually, the result is a hard copy written debit slip [like the old days]..probably with a swipe as well.....and a signature from me.

My view is, if retailers want the convenience of plastic payment, they should take every step to ensure their technology works correctly, every time.

After all, as a customer, I can always take my custom elsewhere?

alastairq

......also, my Co-op branch might as well be on the moon for all the use it is to me....internet banking facility meets all my needs, certainly....and when it comes to cheques [paying in..I have no need to 'pay out]....they go in an envelope, filled in by me ....and popped over the counter at any convenient <sub>post office.

In fact, as a rural dweller, various village sub post offices also provide a handy [ie, less queueing] cash machine too....

which reminds me, just had a comparethemarket cheque drop through the door.......so it's, into the envelope [which Co-op will re-supply by post if asked..over the phone, or by email apparently].....and into any PO I happen to pass in my travels....must avoid buying haribos and fizzy sweets when I go in, however....</sub>

jelliedills

PippaGirl wrote: »

Hi I was made BR May 2012 with ED January 2013. Since then I have cleaned my credit file, gained a phone contract, and have a capital one credit card (£1000 limit) which I pay off in full each month as I do with a Next account (£6000 limit!) and my credit score has gone from 1/5 to 2/5 on Noddle.

I was wondering what my likelihood is for gaining a standard bank account rather than a basic one with a bank? And is it best to avoid a bank that you previously had debt with or does that make no difference?

Also now that I have run my capital one card for a few months always paying it in full, what is the likelihood of being accepted for an ordinary credit card? In one way it should actually make no difference as I pay it off in full always so the 34.9% interest rate doesn't affect me, but just in case a bad month appeared or whatever, it might be nice to have a better one.

Any advice appreciated. Thank you.

Hi PippaGirl,

It has taken me seven years since my discharge to be able to get a 'fully functional' current account! Only this year I was able to get an internal marker removed from my Barclays cash card account (this was an error on Barclays behalf mind you!) which enabled me to use internet banking, and only this week applied for the first time since I was discharged in 2007 for a full account and overdraft with Nationwide. I didn't feel confident to bank fully with Barclays after they didn't remove an 'internal' marker that related to my BR and should have been removed back in 2007. However, Nationwide were part of my BR and I have had no issues opening a 'full' bank account (with OD) or applying for their credit card - each were easily applied for an accepted.

Like you I also built my credit rating up with a Next Directory account, later on a Very account and T-mobile account, however I have only had these accounts for the last three years as a) I felt too scared of the rejection and b) to let my credit file 'breathe' a bit after the BR!!

I think the longer I have left any applications for the 'prime' credit cards, full banking etc the better it has been for my credit file. If you can hold off a little while longer whilst your Capital One and Next accounts are getting the nice green dots, the better. Not only does it save unnecessary disappointment if an application does decline, it also gives you a chance to think about if you really need these other avenues of credit. Just a thought! Hope that helps!:D