New account required previous adverse credit

onthefencepost

Hi there,

I've been with HSBC for over 15 years and have used my account well, never had a overdraft never needed one. This was mainly a second bank account until 2010 when I made it my main account as fell into financial difficulty with Barclays bank and a few credit cards as I was unable to pay back fully what I borrowed. felt rotten as I cleared large chunks using my life savings but eventually ran out and then came the big defaults on my credit file in hind sight i would have handled this differently.

Anyhow...

I've saved money with HSBC over the and ran my accounts we'll.I recently had a review meeting as I've been unsuccessful in getting a overdraft (only a small amount 100 pounds) which ive applied for recently . I was clearly told this is due to my credit rating. but the bank has never credit searched me. Further more my account had been downgraded to the regular account the one above the basic. I was under the impression i had a advance account as i earn more than the 1750 amd she confirmed i should be a advance customer.

The lady went through the system and said ive got no internal markers bad account management etx but she admitted that the reason i havent been externally credit searched is that im not passing internal assessments and she couldn't tell me why and she couldn't see why.

Ive had never been over drawn
Never had a dd bounce
Never had a fall out with hsbc
She carried out a ID search which came back fine as she thought it could be addressed linked.
Ive even got savings with them which i regularly top up.

Cutting a long story short im quite sick of them i want to change banks. Now my credit history :

Ive got 4 defualts three which will be off by next spring and the last one ive got another 2 years. Ive never had a ccj's or declared bankrupt. Over the past 6 months ive taken out a catalogue bought some small items and paid them off, got. Aqua card again paid in full and also a argos card which ive not used yet do i need to show activity? Just to add my account from hsbc showa greens on all my credit reports and my catalogue and credit card show the same.

Why i need a overdraft, it would assist me occasional and more importantly i want to start building a good profile with bank and credit file as im planning to get a mortgage whilst putting down a Sizable deposit.

Would i get accepted for proper account not a basic one?

Im thinking of a reward account from nationwide or lloyds as i save money with the benefits package.

Many thanks in advance

parksajj

Stick with HSBC

colsten

Just try applying but make sure you actually apply with a bank that pays you decent interest. on your current account and also has decent savings offers. Worst case they will offer you one of their basic accounts.

If you qualify as a first time buyer, the Halifax HTB ISA could be of interest?

https://forums.moneysavingexpert.com/discussion/5374614

onthefencepost

Hi, cannot apply for Halifax one of credit card default is with them. How about getting another account but keep HSBC open to claim my monthly greens on my credit report, does having more than bank account come across as a negative?

Also I believe Lloyds is part of Halifax, thus is Rbs and natwest? That only leaves me with coop, Santander and nation wide, don't want anymore old skeletons to come out of the closet.

Thanks.

colsten

You can have as many current accounts as you get accepted for. Some people here have over 2 dozen.

Lloyds isn't part of Halifax - they are both part of the Lloyds Banking Group, as is Bank of Scotland. They have nothing to do with the Royal Bank of Scotland, so Natwest and RBS are an option for you. Although they are useless for any savings. You also can look at TSB. Did you actually look at the link I posted earlier?

onthefencepost

Hi,

Yes i got the link earlier very informative, i suppose getting interest paid is never a bad thing, however alot of the these accounts change like the weather so not sure which one i should go for, as ive not got the cleanest credit file. I was leaning more towards a reward account as i currently pay for: World wide travel insurance, UK & European Breakdown Cover and Gadget insurance. Nationwide comes out on top, but not sure how friendly they would be with adverse credit.

Also as banks are associated in the same group of companies which i've got active defaults with, surly there internal systems will set alarm bells of or, once i'm in the door have my money frozen? Sorry just thinking out loud, ive had a rough ride with these banks and hoped i would have found this forum earlier as it have been a drop in the ocean compared to what i have been through.

Thanks

Archi_Bald

onthefencepost wrote: »

alot of the these accounts change like the weather

Do they? Mine haven't done so in years, and I have almost all mentioned in that link.

If Nationwide sounds the best to you, may be you should try Nationwide.

onthefencepost

I'll have another read on your link, i rather just have one main account and a backup account rather than move money around to gather interest, i don't really have the time frankly. I'm just grateful i can apply for basic credit and get accepted.

Many thanks i'll put another thread up about nationwide.

john1002

I'd say apply to nationwide and if you don't get main account they should allow the basic, run that well for 6-12 months and should be able to upgrade.

If you want to try Lloyds they have a current account eligibility check on account and overdraft so give that a go.

John

onthefencepost

Hi John,

I did a eligibility checker not so long ago, my results were on the right on the top end of the Red. I'm guessing its best for me to wait a few months.

Do nationwide have a soft search facility? i.e can they check your application as you go along before a hard credit search is performed?

Thanks

onthefencepost

Lloyds or Nationwide account opening assistance

I'm after opening either a Nationwide Flex plus account or a Lloyds Platinum account due to the benefits on offer.

On paper nationwide seems a better deal but due to my adverse credit i rather spread the risk in applying for them both if one doesn't accept.

I appreciate know one will actually know the true criteria for either bank but here is a little bit about me:

I earn around 28K a year with a payrise and promotion in a few months (have written confirmation of this if the banks want to see)
Managed my current account well
Live at home with parents so have reasonable disposable income
lived at the same address for 15 years
had my job for almost 5 years

my adverse credit:
no CCJ's or Bankruptcy
have 4 defaults three which will be off by spring next year and the remaining two years after that

Currently hold one credit card with a low limit (got it in October), paid on time and in full
Took out a cataloge in November along with a Argos card, again paid the catalouge off, Argos card ive not used, i dont need to shall i close the account? or just by something minimal on it and pay it off if it does me good?

Could i apply for any of the above account(s) with a minmual overdraft limit say £100?

Im prepared to challenge a rejection from the under writers by sending them a appeal letter but most of all i want to be close to acceptance criteria so i have a fighting chance.

I dont mind waiting till March/ April as my credit file will give a positive picture of me managing credit.

Many thanks in advance.