On government ID requirements of challenger banks

vikkiew

Many challenger banks require government identification such as passport or driving license to open an account. New tech app banks like Monzo and Starling all demand this. Some go even further and also want you to take photos or videos of yourself on your phone. High street banks don't demand any of this as standard. For small minority of people they might ask to come in to branch with ID but at most may ask for some bills for proof of address. Majority of cases identity and address is simply verified against the NI number and electoral register. Do challenger banks not have access to these records? Or are they asking for additional security because they want to be or want to appear to be more secure? Or is there some regulation that forces them? Or is it because they operate in multiple international markets and want to keep same rules? Some foreign banks which are not even app only such as Investec demand passport or diriving license just to open a savings account. I'm aware I can choose to not open accounts with these if I don't want to share such information so no need for smart comments please. I am curious and want to understand why what or who is the reason behind the different requirements compared to established banks.

Brie

I've no experience with the tech app banks but believe that requesting a passport or driving license is just easier and more secure than simply a copy of a bill.  The bill would only link a name to an address whereas ID which has a photo links the name to the person. 

I could say I'm Bob Smith living at 13 The High Street and might even be able to provide fake bills to prove it.  But a passport or a DVLA photo card are harder to fake.

p00hsticks

vikkiew said:

Many challenger banks require government identification such as passport or driving license to open an account.

<snip>.

High street banks don't demand any of this as standard. For small minority of people they might ask to come in to branch with ID but at most may ask for some bills for proof of address.

I don't believe your basic premise is true.

Nat West, for example, says;

We'll probably ask for;

• Photo ID, such as: Drivers licence, Passport or EU ID card
• A short video or selfie to compare with your photo ID 
• We might also need to see a proof of address, such as: a Drivers Licence, Utility bill, Bank statement or Tax document

https://personal.natwest.com/personal/current-accounts/what-do-you-need-to-open-a-current-account.html

And HSBC;

To complete your application, you’ll need to provide a proof of identity and proof of address. Here’s a list of some commonly accepted documents. Keep in mind, each bank may have its own specific requirements.

Proof of identity:

• passport

• driver’s licence

• EU identity card

Proof of address:

• utility bill

• telephone bill

• council tax bill

• mortgage statement

• rent agreement

https://www.hsbc.co.uk/current-accounts/what-do-you-need-to-open-a-current-account/

wiseonesomeofthetime

Deleted_User said:

What about people who do not have a passport or driving licence? Why should they be prevented from opening an account?

Was just thinking the same thing.

Not everyone wants to drive or travel abroad.

y3sitsm3

Deleted_User said:

wiseonesomeofthetime said:

Deleted_User said:

What about people who do not have a passport or driving licence? Why should they be prevented from opening an account?

Was just thinking the same thing.

Not everyone wants to drive or travel abroad.

Indeed. Are the authorities not aware of the fact that many people are unable to to obtain a driving licence at all? For example, many people with disabilities or certain health conditions will never be allowed a licence together with those who develop health problems in later life. Why should a passport be mandatory for opening a bank account?

This so called mandatory identification rule is unacceptable and should be scrapped.

There is no mandatory identity rule, certainly not one where photo ID is required.

However, if you don't use photo ID, you'll just have to open an account in a branch, where the list of acceptable forms of ID is broader.  It's the online application systems that need photo ID.

Natwest for example list the following (in branch)

UK Passport, Biometric Residence Permit, Foreign Passport & Visa

EU and EEA National Identity Card

Benefits entitlement letter issued within last 12 months

HMRC Tax notifications & correspondence

Travel documents issued by the UK Government

UK Driving Licence

EU/EEA Driving Licence

Northern Ireland voters card

Armed forces/Military ID card

Daliah

wiseonesomeofthetime said:

Deleted_User said:

What about people who do not have a passport or driving licence? Why should they be prevented from opening an account?

Was just thinking the same thing.

Not everyone wants to drive or travel abroad.

Almost all banks have alternatives on their list of acceptable ID. These lists are published on the websites of the banks.

Even if you never leave the country, a photo ID is useful for a lot more than applying for a bank account. If you want to sign up, for example, for a Personal Tax Account, you need a photo ID. People who are renting are often asked for a passport as landlords now carry a certain responsibility to check a person's right to residency. There are often other alternatives but these can add significant time to an application process.

To help yourself, getting at least a provisional driving licence is a good idea.

y3sitsm3

Deleted_User said:

y3sitsm3 said:

Deleted_User said:

wiseonesomeofthetime said:

Deleted_User said:

What about people who do not have a passport or driving licence? Why should they be prevented from opening an account?

Was just thinking the same thing.

Not everyone wants to drive or travel abroad.

Indeed. Are the authorities not aware of the fact that many people are unable to to obtain a driving licence at all? For example, many people with disabilities or certain health conditions will never be allowed a licence together with those who develop health problems in later life. Why should a passport be mandatory for opening a bank account?

This so called mandatory identification rule is unacceptable and should be scrapped.

There is no mandatory identity rule, certainly not one where photo ID is required.

However, if you don't use photo ID, you'll just have to open an account in a branch, where the list of acceptable forms of ID is broader.  It's the online application systems that need photo ID.

I've got quite a few branches in my garden but I've failed to open a bank account by clambering up them. My banking is done 100% online without climbing up trees. Photographers like Timpson can take a customer photo and provide an online code. Will that be acceptable as ID?

Of course not, it doesn't prove who you are, does it?

kuratowski

I remember once (many years ago) standing in an airport queue, where a would-be passenger was trying to check-in using just their library card.  Sadly, not all photo cards are equal...

One wonders whether the new photo ID cards that are supposed to be introduced for voting purposes will, in due course, be accepted as proof of identity by private organisations such as banks and airlines.

y3sitsm3

Deleted_User said:

y3sitsm3 said:

Deleted_User said:

y3sitsm3 said:

Deleted_User said:

wiseonesomeofthetime said:

Deleted_User said:

What about people who do not have a passport or driving licence? Why should they be prevented from opening an account?

Was just thinking the same thing.

Not everyone wants to drive or travel abroad.

Indeed. Are the authorities not aware of the fact that many people are unable to to obtain a driving licence at all? For example, many people with disabilities or certain health conditions will never be allowed a licence together with those who develop health problems in later life. Why should a passport be mandatory for opening a bank account?

This so called mandatory identification rule is unacceptable and should be scrapped.

There is no mandatory identity rule, certainly not one where photo ID is required.

However, if you don't use photo ID, you'll just have to open an account in a branch, where the list of acceptable forms of ID is broader.  It's the online application systems that need photo ID.

I've got quite a few branches in my garden but I've failed to open a bank account by clambering up them. My banking is done 100% online without climbing up trees. Photographers like Timpson can take a customer photo and provide an online code. Will that be acceptable as ID?

Of course not, it doesn't prove who you are, does it?

For decades I have operated dozens of accounts with government agencies, financial institutions etc and they are all 100% happy with who I am. Any financial institution can check the Voters Register, my National Insurance details, HMRC, NHS, my academic qualifications, my registered professional memberships etc without needing passport or driving licence. If it's so totally vital for people to supply photo ID, then the government should first issue everyone in this country with a National Identity Card

I already gave you a list with three forms of non-photographic ID that Natwest accepts, which you appear to have conveniently ignored so you can continue with another meritless rant about banks.

y3sitsm3

Deleted_User said:

y3sitsm3 said:

Deleted_User said:

y3sitsm3 said:

Deleted_User said:

y3sitsm3 said:

Deleted_User said:

wiseonesomeofthetime said:

Deleted_User said:

What about people who do not have a passport or driving licence? Why should they be prevented from opening an account?

Was just thinking the same thing.

Not everyone wants to drive or travel abroad.

Indeed. Are the authorities not aware of the fact that many people are unable to to obtain a driving licence at all? For example, many people with disabilities or certain health conditions will never be allowed a licence together with those who develop health problems in later life. Why should a passport be mandatory for opening a bank account?

This so called mandatory identification rule is unacceptable and should be scrapped.

There is no mandatory identity rule, certainly not one where photo ID is required.

However, if you don't use photo ID, you'll just have to open an account in a branch, where the list of acceptable forms of ID is broader.  It's the online application systems that need photo ID.

I've got quite a few branches in my garden but I've failed to open a bank account by clambering up them. My banking is done 100% online without climbing up trees. Photographers like Timpson can take a customer photo and provide an online code. Will that be acceptable as ID?

Of course not, it doesn't prove who you are, does it?

For decades I have operated dozens of accounts with government agencies, financial institutions etc and they are all 100% happy with who I am. Any financial institution can check the Voters Register, my National Insurance details, HMRC, NHS, my academic qualifications, my registered professional memberships etc without needing passport or driving licence. If it's so totally vital for people to supply photo ID, then the government should first issue everyone in this country with a National Identity Card

I already gave you a list with three forms of non-photographic ID that Natwest accepts, which you appear to have conveniently ignored so you can continue with another meritless rant about banks.

You've gave me the impression those ID's required climbing up a tree and I operate only 100% online.

I understand that English may not be your first language but if you climbed up a tree you'd be on a branch, not in a branch.

Since you're still trying to take potshots at my grammar rather than addressing the reality that banks do accept non-photo ID though I can only assume you've been thoroughly shown up.  Oops.

[Deleted User]

IanManc said:

vikkiew said:

Many challenger banks require government identification such as passport or driving license to open an account. New tech app banks like Monzo and Starling all demand this. Some go even further and also want you to take photos or videos of yourself on your phone. High street banks don't demand any of this as standard. For small minority of people they might ask to come in to branch with ID but at most may ask for some bills for proof of address. Majority of cases identity and address is simply verified against the NI number and electoral register. Do challenger banks not have access to these records? Or are they asking for additional security because they want to be or want to appear to be more secure? Or is there some regulation that forces them? Or is it because they operate in multiple international markets and want to keep same rules? Some foreign banks which are not even app only such as Investec demand passport or diriving license just to open a savings account. I'm aware I can choose to not open accounts with these if I don't want to share such information so no need for smart comments please. I am curious and want to understand why what or who is the reason behind the different requirements compared to established banks.

Metro Bank - a High Street bank - requires a photo to open a current account.

Metro have this internal requirement as they'll use the photo to help identify you in branch - it's not strictly speaking to open the account but rather to operate it.