BBL application - Partnership

Funqi

I realise that I should have used a business account, and I was using one until we split the partnership and went sole traders, although the only purpose for it now would be a place to recieve payments, which I would only move straight to my personal account. I don't do any business banking as such, since I don't have any suppliers or staff to pay. I just do the work or a gig, then I get paid for it, but I know doesn't make any difference to the bank.

My credit score is actually good, so I don't know what the criteria is for getting this feeder account, they don't say why it was declined.

Jeremy535897

Funqi said:

I realise that I should have used a business account, and I was using one until we split the partnership and went sole traders, although the only purpose for it now would be a place to recieve payments, which I would only move straight to my personal account. I don't do any business banking as such, since I don't have any suppliers or staff to pay. I just do the work or a gig, then I get paid for it, but I know doesn't make any difference to the bank.

My credit score is actually good, so I don't know what the criteria is for getting this feeder account, they don't say why it was declined.

Where you don't have a business bank account (and from your earlier posts the business account you had was used by your brother for his application), a lot of banks will only open a feeder account if you were in business (as the entity that you currently trade through) before 6 April 2019. That could be the issue.

Funqi

Thanks, yes I thought maybe that could be the case, but I just got this email from HSBC. Their decision was based on credit score.

Thank you for your recent application to open a BOUNCE BACK LOAN FEEDER account for ********.
Your application has been assessed and unfortunately, on this occasion, we’re unable to agree your request.
If you need more information on the way our assessment process operates, please view our ‘Guide to Credit Scoring’ at the following web address: business.hsbc.uk/assessing-your-application.
If you’re unhappy with our decision or would like to discuss in further detail, you can use the following link to contact us and raise a Lending Appeal: business.hsbc.uk/contact-us.
Once again, we’re sorry we can’t help you at this time.
Yours sincerely
Business Banking Account Opening Support Team

Grumpy_chap

But "credit score" is a very generic term that could mean everything, anything or nothing.  Maybe for the BBLS, the "credit score" includes HSBC assessment of eligibility for the BBLS?

Jeremy535897

Grumpy_chap said:

But "credit score" is a very generic term that could mean everything, anything or nothing.  Maybe for the BBLS, the "credit score" includes HSBC assessment of eligibility for the BBLS?

"Credit score" will be according to HSBC's own systems, and not the same as the one you can get for free from an agency. The issue here is that HSBC and other banks don't do credit checks for BBLs, but if you don't have a business bank account with the bank you want the BBL from, you need to open a feeder account, and that feeder account is subject to the usual credit checks.

Funqi

Ah maybe, I don't know. Ayway, I give up now.