Authorised Signatory ID Check and Possible Credit Check

Bella2007

OK, weeks later, here's the resolution, just in case anyone has a similar question:

I have been approved as a signatory on the two accounts my employer has (each with a different bank). My credit rating is classed as 'very low' but this has not been an issue.


Thanks again for people's advice and comments.

SuperTrooper

I know this is quite an old thread, but I am experiencing a similar situation.

Do you mind me asking which banks accepted you as a signatory with defaults, as I have hit a complete brick wall with a bank I've been dealing with?

Ben8282

I think the situation with being a signatory is very simple. You don't need a good credit score as such but your credit report should not show your financial situation as being so bad that you may be tempted to fraud or theft from your employer to meet the demands of debt collection agencies etc

CKhalvashi

SuperTrooper wrote: »

I know this is quite an old thread, but I am experiencing a similar situation.

Do you mind me asking which banks accepted you as a signatory with defaults, as I have hit a complete brick wall with a bank I've been dealing with?

See my post above. We bank with HSBC.

Ben8282 wrote: »

I think the situation with being a signatory is very simple. You don't need a good credit score as such but your credit report should not show your financial situation as being so bad that you may be tempted to fraud or theft from your employer to meet the demands of debt collection agencies etc

So, are you suggesting that anyone with a bad credit history would steal from their employer? If yes, then you have completely the wrong attitude.

Ben8282

I am not suggesting that a person with a bad credit history would steal from their employer. What I am suggesting is that a person being hounded by debt collectors and with the bailiffs coming the next day may be tempted to do so or perhaps 'borrow' from their employer. I would also suggest that you yourself would think twice before making such a person an authorised signatory on your personal bank accounts!

KK2

I have a similar query. I've been a signatory on employers business account for years, we are now changing banks so will need to go through checks. I now have an IVA & am very worried the bank will refuse me being a signatory. Someone wrote earlier that banks don't mind a low rating but how low is low??
Also, Will the bank just refuse me or give details of my IVA to boss?
Thanks in advance.

chrisjdw

As someone who works for a bank i get asked this a fair bit. If you're just a signatory on a Companies Bank Accounts then the bank won't care, your employer might see it and ask questions but the bank won't unless you were applying for a job with the bank as credit checks are done on prospective employees.

KK2

Thanks for your reply. So the bank shouldn't care but may still pass my credit details to my boss you think?
The form I've seen that I need to complete & sign does mention obtaining credit checks.
Would it make any difference if the account was set up first & then I applied as a signatory at a later date rather than be part of the original application & approval for an account.
Thanks

alchemist.1

CKhalvashi wrote: »

So, are you suggesting that anyone with a bad credit history would steal from their employer? If yes, then you have completely the wrong attitude.

It may the wrong attitude but plenty of employers have this approach. Most if not all in the financial services sector.

truckerblue

I have been asked to be an authorised signatory, this involves me being the main named card holder on a school credit card account (I am a senior member of staff) which staff members can use with my authority to purchase smaller items with a value of less than £200. I think the overall limit on the card will be £3000. I have been informed that a credit check will be run, I have no defaults or any financial issues such as IVA's or anything, but I do carry a large amount of debt which I am managing apart from the very occasional late payment. My debt increased when I was only able to work part time for many years but I am now full time and aiming to try to bring my debt level down. I am worried that my credit score will be low because of my debt and will this mean that I will not pass the credit check? Was hoping someone would be able to give me some advice and came across this thread so thought I would post my question here. Thanks