Current account for unemployed?

Anthorn

Heng_Leng wrote: »

The only people who'll realistically get refused one of new basic accounts (from every provider) will have no ID or a history of fraud.

Fidor has uses a third party it's limited incoming / outgoing payments, doesn't accept cheques or BACS credits, doesn't offer Direct Debits along with the £1 ATM charge. It's substantially inferior to a basic account.

You refuse to accept that basic accounts are now essentially charge free (unlike previously) making paid for products much less appealing.

On the first point, the very reason why Basic Bank Accounts have been reviewed on a government initiative is that some people couldn't get the account that was meant for everyone regardless of their circumstances. There was also a problem of people getting a basic bank account and then being subjected to considerable fees for bounced payments and overdrafts. There is now currently (pun not intended) several new Basic Bank Accounts but whether they will be what they were originally intended to be remains to be seen because they are new and don't have a track record.
https://www.gov.uk/government/news/new-basic-fee-free-bank-accounts-to-help-millions-manage-their-money

On your second point, a new bank cannot exactly be established overnight. The UK arm of Fidor Bank is in the process of being established. So far they promised a debit card and that's what they now have. Promised for the future is a full banking service but we'll have to wait for that. In contrast, for example, Atom Bank doesn't have anything at all available (yet) and is still in the process of building.

Lastly Fidor Bank UK accepts transfers in from a linked account and out by by transfer to any UK bank account for free as well as transfers to accounts in EU countries by SEPA transfer for a flat fee of £2.49p up to £25,000. The linked account principle is used by many savings accounts as a way of avoiding fraud and money laundering (it's their problem not our's). That's the price we pay for no credit checks.

Looking to the future, Fidor UK is set to revolutionise the alternative financial (prepaid) market and I think that prospect is an exciting one.

oliviarose

what is it you need the account for?
have you tried different comparison sites? see if that helps?

Mee

Consider: http://www.tescobank.com/current-accounts/
There is no minimum paying, fee nor DDs etc. so may be a contender.

32Bitter

Did not want to make a new thread as this one is my current situation.

I would like to switch my current account for the TSB one with its current incentive. I have just been declined and suspect its because I am unemployed.

My second choice was Tesco and its 3% but they have paused applications for now. I am just wondering if I would get knocked back for that too because I am unemployed?

mwarby

If your current account is a nationwide flexbasic, worth bearing in mind according to terms they can close it if you get an account elsewhere (whether they do/will maybe another matter) - I think this is justified as account isn't profitable, more to fulfill a social need

mwarby

On a wider note, there's been switch offers for sometime, and probably won't go overnight. Might be best to take advantage when you have a job and application score will be better

grumbler

You are replying to the post that is more than a year old, but ignore the fresh one that resurrected the thread.

32Bitter

mwarby wrote: »

On a wider note, there's been switch offers for sometime, and probably won't go overnight. Might be best to take advantage when you have a job and application score will be better

Thanks I think I will need to have another look when I am employed. I thought the whole credit check thing was to check if you are in debt etc... I have never needed a loan and only buy on a debit card.