Authorised signatory credit check business bank account

rachelb1977

Does anyone know whether adding another authorised signatory to a business bank account will be rejected if they have a poor credit rating before we complete paperwork?

D3xt3r5L4b

How do they know they have a poor credit rating?

rachelb1977

They have said that they have defaulted on loan repayments and have late payments, so presuming.

D3xt3r5L4b

So is that really someone you want as an authorised signatory?

rachelb1977

of course a very valid point, however, they will be co-signatory. Just don't want to cause any further embarrassment to them as they have been up front about the situation

jonesMUFCforever

Exactly what will they be authorised to sign and what type of business are you?
Authorised signatories on some mandates can say arrange overdrafts or loans or credit cards - or do you just want them to sign cheques and authorise online payments?

rachelb1977

Sign cheques, authorise online payments and maybe company credit card. It’s for a sports club 

jonesMUFCforever

It's 50-50 whether they would do a credit check.
They would need to provide ID and home address confirmation.

Thenonameleague

rachelb1977 said:

Does anyone know whether adding another authorised signatory to a business bank account will be rejected if they have a poor credit rating before we complete paperwork?

Credit ratings aren't taken into account for finance, the rating/scores aren't seen,  lenders see the history.

Maybe its a question for the bank.

Barry_Bear

Are you applying for a new account or is your business already established and already has the business bank account, and you are now just wanting to add another authorised signatory for that existing account? It isn't clear from your opening post and may make a difference.

Thrugelmir

If there's a multi layered approval/authorisation process and joint signatory of payments.  Then it's a matter of trust.