What can I do?

J33

Hi everyone this is my first post so please forgive me if my thread is not in the correct section.

So I am an EU national , I was forced to leave the UK in 2011 due to serious family stuff in my home country and now planning to return by mid 2015 (currently I am abroad).While I was a student back in 2011 I had my Natwest Student Account default (roughly 1000 pounds overdraft).I am not sure when the default actually happened by my guess is that this occurred around late 2012 as I left the UK in mid 2011.

On top of this I just learnt that have a unsatisfied CCJ of 1250 pounds from Sep 2010.This totally freaked me out since I am not sure how I got it.It could either be from a Capital One card, my old Orange contract, or my old Sky account (? can they do this?). For the time being I am unable to repay any of my debts and I cant access any credit report sites since they dont accept non UK debit/credit cards and ask irrelevant questions about my current UK address and all sorts of ID verifications based on this (I cant provide a recent one obviously).I learnt about my CCJ through the Trust online site (and paid a great deal of money since I had multiple addresses in the UK between 2003 and 2011 and had to do lots of searches to make sure)

What worries me is that when I get back to the UK I ll have a hard time opening a bank account considering my credit history/score (which I guess would be kinda lame).I made a great deal of effort to secure my return to the UK in order to find a fulfilling job,which i know I can only get in the UK (mind u I worked in the UK between 2007 and 2010).

I dont want to sound melodramatic but shortly after leaving the UK i fell seriously ill and was bedridden for 17 months.I dont know how I survived to be honest.Anyhow,throughout 2013 my health improved dramatically and by late 2013 I started working a really well paid job (for my country's standards) which allowed me to bank for my future UK return (this has been the goal all along).Currently I am still working and saving money for my return which I plan around the summer of 2015.

What can I do in order to get a bank account opened?My research indicates that Barclays Cash Card account maybe easier for people like me.I ve also found that a cool alternative would be prepaid cards that act as bank accounts (ClearCash seems very interesting).

Basically I just need a UK bank account to have my wages paid in and a UK card to do my ebay and paypal stuff.An interesting detail is that by the looks of it I will return to the UK with a 4k capital which will be my safety net until I land a job.I am not willing to give it towards my debts as London can be a tough b*tch while job hunting.

Would it help if I made it clear to the Barclays people that if they give me the account I will immediately deposit my 4k (which i will obviously do)?What do u think I should do?

Given the shock I got finding out about my CCJ I feel really insecure about opening an account and on top of it I am not even British...

Any help?

MrSilk

Upon your return, as soon as you receive debt collection letters (which should be very soon after you apply for the Barclays account), call each debt collection company up and set up a payment plan to pay x amount each month. By 2018, you'll have paid most of your debts off and you'll have a clean file.

Archi_Bald

I doubt that Barclays could be bribed with £4K (or any amount of money, for that matter) to give somebody with a CCJ, a generally trashed credit record and no ER presence any account, not even a basic one.

Other than that, as jonesMUFCforever would say, I am thinking "T" word.

gregor123

I think something like ClearCash is the perfect fit for you (I am a cardholder myself) and they know quite a bit about the debt sector.

been with them for years after my fall out with mainstream banks! :j

J33

gregor123 wrote: »

I think something like ClearCash is the perfect fit for you (I am a cardholder myself) and they know quite a bit about the debt sector.

been with them for years after my fall out with mainstream banks! :j

Thank you guys for your answers.I am gonna first try Barclays Cash Card account and see how it goes but I also highly doubt I am gonna get anywhere.

Just a question for you gregor123.I see in their site that in order to get your wages paid in your Clearcash iaccount you need to provide your employer a standard application form.Cant you just provide them your bank account and sort code? I am a bit worried that if future employers are aware that this card is mostly for people with poor credit history this will kinda ''stigmatise'' me in my professional arena.

Also do you know if their credit builder service actually helps your credit score?I am inclined to use it tbh...

Zkr65

Sorry to hear about the CCJ - They can be a real pain.

Now when it comes to opening a bank accout, naturally you will struggle.. however, there are options.

Barclays are actually one of the toughest providers in respects to Current Accounts.. the core of Barclays business is Buiness/investments.. which means they are not too keen on student accounts or 'basic' accounts. However nearly all major high street providers have a basic account.. If you try and apply for a 'full' debit card.. instant decline (and not handy to have that on the credit file)

You will need to specify that you want a BASIC account.. I.e. a 'non credit scored account' for many providers these are just ATM cards (but you can still have wages paid in and set DDs up)

To give you an example, Nationwide Building Society have 5 main 'Card Accounts'

Cashbuilder - A card based ATM card, no fee, nothing exciting - access to all link + visa ATMs but no visa facilities.. you CAN have one, even if bankrupt.. CCJ'd and IVA'd though this needs to be opened in branch.

CashCard+ - This is a non credit scored current account. No credit options i.e. no overdrafts etc available but IS connected to the VISA network and works overseas for payments. You have a high chance of getting one as not credit scored.. needs to be done online or in branch.

FlexAccount - Credit scored standard current account - you will NOT be able to get this on a CCJ

FlexDirect - Internet banking based current account - Similar to FlexAccount; you will NOT be able to get this
FlexPlus - premium flex account - you won't be able to get this either.

Most major providers will have a similar setup, though if you appy for a standard account they will decline and then generally they will be unable to do another application for xxx amount of time.. if you apply for the basic options, then this will go through and give you access to the wonderful world of UK banking again.

Hope this helps..

C

P.S - Any providers that offer credit for low credit scored people - best avoided.. interest through the roof and will not help you. There is not an easy fast track to building a credit file up.. and until the CCJ and debt is resolved, you're credit rating isn't going anywhere upwards, at all.

J33

Thank you ChrisVonae for the advice however I am a bit puzzled as to which option is the best for me.

As I mentioned it is important for me to have a UK debit card that can be linked to Paypal/Ebay etc and wont interfere with my online purchases and MOST importantly have my wages paid in.From your suggestions Barclays is a no go.

Again from my research there is no guarantee that a mainstream bank will give me these options with a CCJ.Because I am really familiar with the UK bank bureaucracy I dont want to go through the hassle of waiting anxiously the result of my application for weeks and weeks only to find out I am rejected.


The Barclays cash card account seemed a good option but people have already discouraged me from applying to it.So now I think my only real option would be a prepaid card that acts as a bank account.

My research indicates that ClearCash and Kalixa might just do the trick for me.Obviously I dont mind paying a credit builder facility and generally I think that after my life threatening adventure I became wiser and wont risk any more debt.

Now one more major hurdle I will also need to overcome will be the lack of proof of address when I return to the UK since I will be living in shared accommodation and my rent will be all inclusive (which means no utility bill will be under my name).I remember when I first came to the UK in 2003 and despite being an undergraduate student and living in UNI halls Natwest gave me the Holy Inquisition just to get their Step account . They even rejected my halls of residence letter from the UNI as proof of address.It took me like 6 weeks to finally have my Natwest account approved.I was actually forced to register with NHS and get the NHS card in order for them to accept this as proof of address.

So things are really complicated for me.I rang yesterday ClearCash (just to get a first taste of their service) and a totally clueless advisor freaked me out when I explained my problem with the proof of address.Anyhow according to their website I can present the documents they want from their list for ID/proof of address documents but these will be my EU documents (which on their website say they accept).

Having a lot of experience with UK companies I am not convinced that it will be so easy for me even if they say they accept my EU documents .For example my documents are not in English obviously and I will need to translate them and affix a certified true copy of the original and this advisor was clueless when I mentioned it to her.Obviously they dont even bother to mention this procedure on their website.Plus there is a significant fee in order to translate and certify my documents.

My other option is to get a tenancy agreement when I return to the UK.As I said I always rent in shared accommodation and always with a private landlord (dont do agencies) HOWEVER most landlords in shared accommodations are not too keen in doing tenancy agreements.Provided I find a willing landlord, private tenancy agreements usually are not accepted by mainstream banks (though a few might accept them based on the managers discretion) and I know this when Natwest was giving me again huge problem when I moved and wanted to upgrade my Step account to a Student account (which is actually a Current account).ClearCash also doesnt accept those according to their site Kalixa on the other hand does.

Anyhow I might apply to both and see which one gives me less grief over this proof of address issue.But my experience says that if you are new to the UK or an expat you will have serious difficulty with this.

Zkr65

I apologise if my response was a little confusing.. most providers offer a basic ATM card for low credit score (As I work at Nationwide I have intricate knowledge of their setup, but most of the main providers will do similar things) if you deem VISA/MC network access I.e. you need access to online payments and shops; then the ATM card option although it is the easiest to obtain, would not be suitable.

What you are looking for is a Basic Non-Credit Scored Current Account.. (Which is a CashCard+ at Nationwide) Barclays do have a similar one as do other providers.. (Barclays are a fantastic provider - though one of the strictest on credit scoring) some providers will instantly not accept any VISA access with a CCJ.. but some will.. it largely depends on how they do their applications.

Generally speaking if you apply for a current account (a standard one) a soft credit search is done, the CCJ appears and the provider runs away.. though if you specifically ask for a basic one, and the provider allows you to apply directly for a non-credit searched account - it will likely go through.

Prepaid cards are good for access to online etc though they are a pain as they're not run by a bank or building society persay, they are generally run by a credit card or 'finance' company.

The best or easiest option I could suggest would be to open a basic ATM card (No visa access) with a major provider (naturally make sure it's a no fee one) as these are easy to obtain.. then in addition, have a prepaid card for online/shop purchases and balance the two.. I.e. put wages into ATM card then transfer to prepaid.. this way you don't have issues with credit scoring, also it is protecting your money rather than having all wages paid onto a prepaid card.. also, doing it that way will build up your reputation with a bank/building society.. whereas having a prepaid alone will not.

Summary - get a basic ATM card with major provider.. have wages paid in. Also have a prepaid card which you transfer funds to, to make your online payments. Credit file issues not important.

Address -

As with most things, providers vary.. not massively though..

A proof of address is generally something a provider will have a list of what they can accept.. there are special circumstances in which other options may be available.

Without having bills/statements etc it can be difficult..

Generally speaking, a private tenancy agreement will not do the business (As anyone could knock one up) a tenancy agreement from an estate agent on headed paper would be the only really acceptable format.

To best advise you on this, more details would be necessary really.. options are available.. some to consider:

If you explain the situation, some providers will waive the need for proof of address but will ask for extra primary ID - Passport/Birth Cert etc though this is rare and taken on case by case.

Do you have any accounts or 'official' dealings in the UK? Where are these debt collection agencies sending all their letters to? It may be possible to validate yourself under your old address to open the accounts, then change the address after; though this is not legally advisable.. think of whether you have any account open, even an old savings account from years ago with a penny in, as you don't often need ID to update an existing address on an account already in existence..

Also, you will presumably be working, thusly our good friends at HMRC will need to know about you. Anything official counts as address ID i.e. if you call HMRC and update them with your address and ask them to send you something (for example ask them to send you your tax code and tax office address) it will come addressed to you et voila proof of address.. also any kind of benefits you make be eligible for - DWP letters are also used for address ID you have to think outside the box a little..

Another option; do you have friends/family in the UK that can help you (And you trust)..? If so, in theory you could have your wages paid into their account for the first few months of work, then work will be able to issue you with a PAYE letter or payslip with your address on.. which means you can then open the accounts in your name, and ask payroll to switch the pay to that account.. though as you are probaly aware, even if someone offers; do not go into a joint account agreement.. ever. You will destroy the other parties credit file with your CCJ if you get financially linked.. but if they are happy to take the wages then give it to you as cash for one or two months, this will get rid of the bank account opening rush, and make address ID much easier..

I hope that makes sense

J33

Thank you again for the tips.They are really helpful.I might just try then Nationwide and see how it goes.Now regarding my proof of address I need to think what I should do as nothing you suggest is an option for me.

Probably Kalixa would be ok since they do accept private tenancy agreements (provided I find a willing landlord that is).

Does anyone else have experience with ClearCash or Kalixa?I would be grateful if you give me some tips on them specifically...

Archi_Bald

J33 wrote: »

Now regarding my proof of address I need to think what I should do as nothing you suggest is an option for me.

It is at best very strange that you should be unable to get a tax code from the HMRC as every adult UK resident can.

badger09

Archi_Bald wrote: »

It is at best very strange that you should be unable to get a tax code from the HMRC as every adult UK resident can.

I haven't read through every single post in this thread but OP hasn't been resident in UK since 2011 when he/she was a student. Why would HMRC allocate them a tax code?