Donor account

Busy_Mee1

Hi I wonder if anyone can give me some advice about donor accounts. I want to open a FD for the 6% regular saver and I would also like the switching bonus. I was thinking of opening an account to switch as I want to keep my existing accounts. Can anyone give me any advice about suitable accounts, ideally those that are quick to open. Also would I have to keep the donor account for any length of time or run any money through the account to make it look as if it has been active? Grateful for any advice anyone can give.

[Deleted User]

It's quickest and easiest to open a donor account with a bank with whom you already hold an account(s). You can hold as many current account as you want, except where the t and c's of a particular account restrict the number of accounts of that type which you can have (normally accounts paying credit interest). When setting up your donor account, ask for nil overdraft. Stick a few pounds in the account, no need to hold the account for more than a day or two before initiating a switch (the switch takes a minimum of 7 days from initiation to completion) or to run any money through the donor account. The new Bank isn't interested in how long you have held the old account for, or how much money you've run through it, as long as your credit score and customer profile meet their requirements. One caveat: if you're aiming for a particular switching bonus, check very carefully the terms of the switch offer, for example the current M and S Bank switch offer requires the donor account to come over to it with two already set up direct debits. So you'd need to set up two DD's on the donor account before initiating the switch.

Busy_Mee1

Thank you that is great ��

[Deleted User]

Busy_Mee1 wrote: »

Thank you that is great ��

I should have added that, when applying for the account to which you're switching the donor account, it's best to specify nil overdraft during the opening process. I've found that most online opening processes have as the default position a small OD facility. Make sure that you change this to "no overdraft required". Although I have no evidence to back this up, I believe that this is more likely to result in a quicker acceptance of your application. Obviously, you shouldn't be entering the switching game if you have a need to borrow on overdraft.

john1002

It's also worth noting that all current account applications will result in a credit search so if you have been tarting a bit then you may find another account means a potential decline for other borrowing in the future until the searches lessen the impact. Be interested if anyone knows of any bank that does not credit check 2nd accounts?

John