Best account to open and switch from

Simon15

Please can anyone recommend any suitable current accounts, to be opened just for the purpose of switching to another provider that offers a reward?


I was looking at Ffrees, because opening an account with them wouldn't "use up" any credit checks. But they're not a bank, so could you still switch accounts in the usual way?

grumbler

It can be an account with any bank, e.g. a second account with the bank you already have an account with.

MARTYM8`

I would suggest you try a basic bank account - these qualify for switching but as they don't offer overdraft facilities normally don't require a full credit check.

All the main banks etc do them - so there are plenty of options - and most (bar Barclays and Coop?) can be applied for online. Natwest are pretty efficient with account openings as are Lloyds, NW etc.

Try the basic bank account link above for more info.

babe-ruth

I just opened a Barclays current account online, took about 10 mins!

Where is the basic bank account link please?

grumbler

'above':
Basic Bank Accounts Top accounts for poor credit scores

System

This is inaccurate - banks now credit check for basic accounts.

Obviously, you are less likely to be declined but that is the only real benefit as a 'donor' account for switching.

MARTYM8` wrote: »

I would suggest you try a basic bank account - these qualify for switching but as they don't offer overdraft facilities normally don't require a full credit check.

Simon15

Thanks for your ideas,


- Additional current account with same bank: I thought of this, but was surprised to see that Nationwide would conduct a credit check... even though I was actually logged into online banking already.
- Basic accounts: I started looking at these too, but haven't seen any that don't require a credit check. I also wondered if having any basic accounts would affect my credit profile as seen by lenders (maybe not the official file, but in some other way?)
- Guaranteed accounts: Such as Ffrees and ThinkMoney. It could be worth the monthly fee or account closure fee to open these as donor accounts, considering the switching rewards on offer right now. But I don't even know if you can switch from these, as they're not normal bank accounts?

YorkshireBoy

Simon15 wrote: »

- Additional current account with same bank: I thought of this, but was surprised to see that Nationwide would conduct a credit check... even though I was actually logged into online banking already.

Try a branch application. No guarantees, but I know Yorkshire Bank don't credit search existing customers (of long standing?) for additional accounts if opened in branch.

- Basic accounts: I started looking at these too, but haven't seen any that don't require a credit check. I also wondered if having any basic accounts would affect my credit profile as seen by lenders (maybe not the official file, but in some other way?)

Lenders don't even see the account provider's name, let alone the account type (eg basic) or name (eg FlexDirect).

- Guaranteed accounts: Such as Ffrees and ThinkMoney. It could be worth the monthly fee or account closure fee to open these as donor accounts, considering the switching rewards on offer right now.

Totally unnecessary in my opinion. I've opened more than a dozen current accounts in the last 8-10 weeks, and it hasn't caused me any 'problems'. Then again I don't need a mortgage, or other credit, in the next few months.

Simon15

After a bit more research, the best sacrificial donor account that I've seen is probably the Barclays Cash Card account*.

- No fees
- No credit check (according to MSE)
- Allows direct debits
- No switching rewards from Barclays



But I can't get to a branch before Saturday, and I want that First Direct £125 before it ends on Friday. I have another donor account that I could use, but really I'd like to keep it (if I re-opened it later, I'd lose my account number which I've memorised and shared with friends over the years).

Has anyone ever re-opened a donor account after the switch, and got the old account number back?


*I'm too new on here to post a link, but for the details, Google "money saving expert barclays cash account".

grumbler

Simon15 wrote: »

Has anyone ever re-opened a donor account after the switch, and got the old account number back?

I don't think so.

MARTYM8`

If you need fast account opening and don't want to visit a branch I would recommend the RBS/Natwest group. I once applied for a current account with them on a Thursday afternoon online - and received my debit card on the Saturday morning in the post.

They also do online ID verification - have a debit card and passport handy - ensuring instant approval. Their communication - email and text is also great. I even got a sorry you are leaving text and email when I switched from them.

They do credit checks even for their basic cash account I believe - but if you want to get the £125 FD offer (before it drops to £100 on Valentines day) speed may be more important.