How to get direct debits "for free"?

the_learner

Hi, I currently have no direct debits since I am a tenant and my landlord takes care of all the bills.
I wanted to switch my account from MetroBank to TSB or other offering a switching bonus but the problem I have is the lack of direct debits to transfer to the new account.
Is there any trick I can use to set up at least 2 direct debits without having utility bills or without making donations to charity?

Jo_Blogs

One option would be to open a Tesco Internet Saver and a Tesco Instant access savings account, and then set-up a DD from both to pay yourself

http://www.tescobank.com/

Make sure the DD's are set-up and running before you switch, just to make sure everything is working

Hope this helps

the_learner

Thanks a lot. Do you mind explaining a bit more? Can I also use this trick to get direct debits from a TSB account?

Jo_Blogs

Yes you can :-) Once you have opened the two Tesco accounts you can set-up a DD directly in each of the two accounts to pay yourself. You will have to wait for about 7-10 days for each DD to show within another bank account. So in this case, it would be TSB. Although, you will know the date of when each DD should go out of the another account because it will show somewhere under 'manage payments' in each of the Tesco accounts.

Hope that helps

the_learner

Ok this is exactly what I needed. I am just a bit worried for my credit score. Would that be impacted by opening TSB plus 2 Tesco in such short time? I might need a mortgage in 6/9 months.
Just for my curiosity, if you subscribe to buy some item regularly from Amazon (let's say I buy monthly a product). Would that also count as direct debit?

Jo_Blogs

Personally, if you are going for a mortage in 6/9 months times, I would not make a switch now I would do it later. Simply because with your old bank you have a banking history of transactions which in my opinion is precious and should be kept, particularly if it's good .

Having said that, regardless of a possible mortgage at a furture date, I would open a second account (a donor account) with my original bank and use that second account for the switch. That way you will always keep the orginal history on your first account .

Savings accounts like Tesco's shouldn't be reported on your credit file, it's just bank accounts that are, so your credit score score shouldn't be impacted too much if you decide to open a second account with your original bank to use as a donor account for switching.

I'm not sure about your Amazon product, but if you have a DD that comes out monthly, then that would be a DD you could use.

I'm sure others will have some great input and advice, so make sure you come back to the thread to check

Hope this helps

isasmurf

TSB require the DDs to be to different companies, so 2 DDs to Tesco won't qualify for the £5 monthly cashback.. You would need to have a 2nd DD from somewhere else

Ben8282

How about getting a SIM only phone contract?
How about getting a credit card and setting up a direct debit to repay it?
Surely you must pay something yourself?
There are other alternatives than opening up Tesco bank accounts!
Also, if you don't pay anything you must have a very thin credit file. Are you sure TSB will accept you for a current account?

DCFC79

Dont worry about your score as only you can see it.

agrinnall

I would suggest that you ask your LL to change your tenancy agreement so that you are responsible for the bills, that way you not only get more DD possibilities you are also in control of who your suppliers are and what their costs are, at the moment I can pretty much guarantee you are paying more than you need to.

teamgb

Set up a PayPal account with a DD to pay yourself. Go into the PP account each month to pull money from your Bank and then pay it back.