Giving in on a bank account

WhiteyCantley

Why won't one single bank/building society give me an account......
After a horrible divorce in 2011 I voluntarily filed for bankruptcy and was fully discharged in 2012. I am no further on in my efforts to get a current account. I have a cashplus account which is very good at £4.95 a month and does most things I need, however the fact it is a prepaid account and has a mastercard which is a credit card causes limitations. I'm also charged for any payments in over £1000 a month. This can mount up if I have a good run ( I'm a self employed tradesman ).

My credit score is 389 and I'm keen to improve it. I'm not comfortable with having large amounts of cash sat in my safe not improving my credit score. I have completely turned my bankruptcy into a positive event regarding everything else and financially I am stronger than ever. I have zero debt and accumulated a nice nest egg. Why am I refused high street accounts ?? I have investigated all I can and cannot find a single reason other than the bankruptcy for being refused. It's more a curiosity question than anything else because I've adapted very well to being without a high street account.

Thanks in advance for any constructive comments

eskbanker

You should be able to get a basic bank account, as they're largely aimed at people in your situation, so ask for one specifically by name if you haven't already, as per https://www.moneysavingexpert.com/banking/basic-bank-accounts, where Barclays, Co-Op and Virgin are listed as being the easiest ones to open.

Despite what the MSE article about small business banking says, you should also keep your business banking away from your personal banking so you should look for two separate accounts, a personal one (Ts & Cs of which will typically prohibit business use) and a business one.

john1002

Have you done a SAR to CIFAS to check there are no fraud markers, have you checked all three credit agencies to see what!!!8217;s reported both bankruptcy, any CCJs and defaults. Once you know what!!!8217;s reported then you can start building, how many searches in last 6 months as you say you have tried lots of banks but by having little or no credit due to bankruptcy and potential lots of searches then this will be impacting applications.

You should be able to get a basic bank account do a search on here and let us know which you!!!8217;ve tried and to ensure there the basic ones, but normally if you fail a normal account they should offer s basic.

Also are you on electoral role.

As you can see lots more info needed.

Did you take up cashplus credit builder option?

John

System

I'd also recommend checking your credit files and CIFAS.

Barclays, Nationwide and Virgin are all good providers of basic accounts.

The Prepaid Pockit card might also be an option as it doesn't charge for UK card transactions.

You could also check the money comparison sites as they often have deals with these type of providers.

Anthorn

If you live within striking distance of a Virgin Money Store try for a Virgin Money Essential Current Account. Make an appointment at a Virgin Money Store and take with you 2 pieces of ID and 3 years address history.
https://uk.virginmoney.com/virgin/current-account/essential-current-account.jsp

The Coventry Building Society Money Manager Savings Account has most of the features of a current account including Direct Debits but no debit card. Instead you get a VISA cash card to withdraw cash from ATMs.
https://www.coventrybuildingsociety.co.uk/consumer/product/savings/everyday_money/moneymanager.html

I wonder how many recent full credit searches you have on your credit history because these too can lead to rejection of an application. Get your credit history from all three CRAs and have a look.

WhiteyCantley

Thanks for all the feedback, it's been over the course of the last two years I have applied via what most of the banks say are soft searches and can only see 5 searches during this period according to clearscore.com. The only marker on my credit file is the bankruptcy. I've tried the recommended ones like Barclays, Co-op, Nationwide and Virgin but get a fail. I've walked round my home town which is Doncaster and enquired directly with just about all of the banks/building society's to open an account but get nowhere.
Before anyone asks, yes I am telling the full story, nothing hidden. I went bust due to divorce, recieved my discharge in full one year later. Never been off the electoral register, done everything by the book.
I was asked by HMRC to show proof of refusal last year as they're were unhappy my affairs were mainly cash basis. Like I said to them, I have to work with what I've got or pack up, they agreed that wasn't in anyone's interest and suggested I write to my MP which I did and got no where. I'm just baffled it's almost like I've got a mark against me that is hidden for some reason.

xylophone

https://www.metrobankonline.co.uk/bank-accounts/products/current-account/cash-account/

https://www.metrobankonline.co.uk/bank-accounts/

I wonder could you start on the most basic, run it satisfactorily and then transfer to standard?

WhiteyCantley

Thanks xylophone I'll try them and see what happens.

John1002 I've downloaded a sar and will send it off asap, thanks for your direction. I'm in my second year of creditbuilder with cashplus. I've never been off the electoral register.

WhiteyCantley

Recieved my CIFAS report back , clean as a whistle.

John-K_3

The bankruptcy alone could well be the reason. Banks do not like getting into business with people who in the past have not paid off their debts.

We!!!8217;re there any banks to whom you owed money, so who lost out in your bankruptcy?

takman

WhiteyCantley wrote: »

Why won't one single bank/building society give me an account......
After a horrible divorce in 2011 I voluntarily filed for bankruptcy and was fully discharged in 2012. I am no further on in my efforts to get a current account. I have a cashplus account which is very good at £4.95 a month and does most things I need, however the fact it is a prepaid account and has a mastercard which is a credit card causes limitations. I'm also charged for any payments in over £1000 a month. This can mount up if I have a good run ( I'm a self employed tradesman ).

Just because it's a Mastercard DOES NOT mean it's a credit card. Any "issues" you have will probably be caused by the fact it's a prepaid account and nothing to do with it being a Mastercard. A visa prepaid card wouldn't be any different.

WhiteyCantley wrote: »

My credit score is 389 and I'm keen to improve it. I'm not comfortable with having large amounts of cash sat in my safe not improving my credit score. I have completely turned my bankruptcy into a positive event regarding everything else and financially I am stronger than ever. I have zero debt and accumulated a nice nest egg. Why am I refused high street accounts ?? I have investigated all I can and cannot find a single reason other than the bankruptcy for being refused. It's more a curiosity question than anything else because I've adapted very well to being without a high street account.

Thanks in advance for any constructive comments

If you do some reading on here you will see your credit score is basically meaningless. There are three main Credit Reference agencies in the UK who will all provide their own version of a credit score using a different scale and none of them are seen or used by any lender.

Sign up to Noddle, Clearscore and The MSE Credit Club on here to see all your information from the three main credot reference agsencies for free.