Self employed Business Bank Account

bgamble

HI Everyone,

I was unsure where to post this, either in credit or business related.

I need to set myself up as a business with business bank account, self employed and not LTD.

Does self employed business details such as bank account or anything else go on my personal credit file ?

I understand the difference between a self employed and LTD as far as liability etc, but am unsure on how these things are reported.

I will want also later in the year to set up a LTD company unrelated to the self employed business and account.

I just want to know if any of this gets reflected on my personal credit history.


Thanks in advance

skivenov

I've neever seen the point in having a business account as a sole trader. All it seems to mean is you pay them more for the pleasure of having an accout with them. I just use a separate personal account. They don't like it because they don't make anything out of it, but that's theeir problem not mine.

bgamble

HI,

Cheers. Yeah I know what you mean. My bank do a no charge business account for 2 years.

The income will be minimal and will involve no work hours. As it is merely to sell a book through amazon.

The trouble is I have to register as business and not under my personal name, which means to get paid to that business name means I need an account in that name.

Cheers

Game_Over

skivenov wrote: »

I've neever seen the point in having a business account as a sole trader. All it seems to mean is you pay them more for the pleasure of having an accout with them. I just use a separate personal account. They don't like it because they don't make anything out of it, but that's theeir problem not mine.

The point is because most banks specifically prohibit the use of a personal account for business purposes in their terms & conditions.

Have you read the ones you agree to abide by?

If your bank doesn't permit it, and does find out you are in breach, then it will become your problem.

Game_Over

bgamble wrote: »

HI Everyone,

I was unsure where to post this, either in credit or business related.

I need to set myself up as a business with business bank account, self employed and not LTD.

Does self employed business details such as bank account or anything else go on my personal credit file ?

I understand the difference between a self employed and LTD as far as liability etc, but am unsure on how these things are reported.

I will want also later in the year to set up a LTD company unrelated to the self employed business and account.

I just want to know if any of this gets reflected on my personal credit history.


Thanks in advance

As a self employed sole trader, you are the business, so yes it's all on your credit reference file.

bgamble

Game_Over wrote: »

As a self employed sole trader, you are the business, so yes it's all on your credit reference file.

Thanks for the reply and the information, I thought this maybe the case.

Does that mean then that any creditors who can look up my file could go after my business or affect it in anyway? I mean, I am not talking about big deals of money here, just trying to separate things out and not have one affect the other etc.

Cheers

w211

Game_Over wrote: »

The point is because most banks specifically prohibit the use of a personal account for business purposes in their terms & conditions.

Have you read the ones you agree to abide by?

If your bank doesn't permit it, and does find out you are in breach, then it will become your problem.

I've been self-employed for years, and use my personal account.

The bank knows this and don't see it as a problem. My income goes in (as with anyone else who's wages are paid directly in the bank), and I pay my expenses with credit/charge cards, which go out through direct debit, as with most other people I'd imagine.

If they later insist they want me to open a business bank account, I'd just close all my accounts with them, including savings, and move somewhere else.

Tixy

bgamble wrote: »

Thanks for the reply and the information, I thought this maybe the case.

Does that mean then that any creditors who can look up my file could go after my business or affect it in anyway? I mean, I am not talking about big deals of money here, just trying to separate things out and not have one affect the other etc.

Cheers

Well as a sole trade your businesses assets are legally your personal assets, so yes in theory if a creditor took court action against you then in theory your business bank account etc are part of your personal finances.

nolongerindenial

As a sole trader trading on amazon, you can use a personal account as long as your business name is registered with hmrc.

bgamble

nolongerindenial wrote: »

As a sole trader trading on amazon, you can use a personal account as long as your business name is registered with hmrc.

HI,

Thanks for the reply, but I want a separate account in the business name.

Thanks