Terrible credit: New bank account, joint account, and bank account for partner.

McBedford

Hello,
I am in a civil partnership and we have been getting on fine with Monzo, however, I want to build up a relationship with a 'real' bank - a main bank - and so we want to move from Monzo, where we have an account each AND a joint account, to a bank that'll accept us to have new accounts, as well as a joint account. HSBC does credit checks on the joint account and whilst I'm already with them I'm on the BASIC account and I don't think I'll pass the credit check. What are my options here and what bank would people suggest? I keep being told to move to Revolute but again that just keeps me on these phone banks and not with an established bank.

**I don't mean to talk down Revolut and Monzo, I hope people understand where i'm coming from.
**I want to have a proper bank account and build up a good history with them.

McBedford

OH and a big thing I mentioned in the title but didn't address on, I have an incredibly bad credit score - I currently have a DMP - and my partner isn't much better...

MorningcoffeeIV

You might be inclined to keep things separate for now, with your poor credit histories.  The credit scores aren't real, but the data is, and you neither of you will benefit from being associated with another high risk customer.

Obviously if you're already connected via another joint product, it won't make any difference.

PRAISETHESUN

McBedford said:

Hello,
I am in a civil partnership and we have been getting on fine with Monzo, however, I want to build up a relationship with a 'real' bank - a main bank - and so we want to move from Monzo, where we have an account each AND a joint account, to a bank that'll accept us to have new accounts, as well as a joint account. HSBC does credit checks on the joint account and whilst I'm already with them I'm on the BASIC account and I don't think I'll pass the credit check. What are my options here and what bank would people suggest? I keep being told to move to Revolute but again that just keeps me on these phone banks and not with an established bank.

**I don't mean to talk down Revolut and Monzo, I hope people understand where i'm coming from.
**I want to have a proper bank account and build up a good history with them.

Just to clarify a few things here:

Monzo is a fully regulated bank, protected by FSCS - same as any "real" high street bank.
Revolut is NOT a bank. It is an e-money institution. Your money would potentially be at risk if you used them. They also have a reputation for poor customer support - search the forums and you'll find plenty of horror stories. I would highly recommend against them.

Also to note that your "credit score" isn't as issue, as lenders don't use it in their lending decisions. Instead they use the data on your credit files, which is likely to be poor given your circumstances.

Most of the high street banks will do a hard credit search when you apply - which may or may not be an issue depending on their (unpublished) acceptance criteria. Only real way to find out is to make an application, but you should then be offered a basic account if you don't meet the acceptance criteria for a standard current account. There's nothing wrong with basic accounts and if managed well can eventually be upgraded to something with a few more features.

[Deleted User]

MorningcoffeeIV said:

You might be inclined to keep things separate for now, with your poor credit histories.  The credit scores aren't real, but the data is, and you neither of you will benefit from being associated with another high risk customer.

Obviously if you're already connected via another joint product, it won't make any difference.

As I read it, that boat has sailed.

Probably best staying put then open a new account once the DMP is finished but difficult to say with an unknown situation with your partner. A slight benefit (with a full service bank) is that they may offer you other products as your credit situation improves and they have some internal behavioural scores. 

McBedford

MorningcoffeeIV said:

You might be inclined to keep things separate for now, with your poor credit histories.  The credit scores aren't real, but the data is, and you neither of you will benefit from being associated with another high risk customer.

Obviously if you're already connected via another joint product, it won't make any difference.

I already have a joint account with him on Monzo. But  I figured our credit scores would go up together now.

McBedford

PRAISETHESUN said:

McBedford said:

Hello,
I am in a civil partnership and we have been getting on fine with Monzo, however, I want to build up a relationship with a 'real' bank - a main bank - and so we want to move from Monzo, where we have an account each AND a joint account, to a bank that'll accept us to have new accounts, as well as a joint account. HSBC does credit checks on the joint account and whilst I'm already with them I'm on the BASIC account and I don't think I'll pass the credit check. What are my options here and what bank would people suggest? I keep being told to move to Revolute but again that just keeps me on these phone banks and not with an established bank.

**I don't mean to talk down Revolut and Monzo, I hope people understand where i'm coming from.
**I want to have a proper bank account and build up a good history with them.

Just to clarify a few things here:

Monzo is a fully regulated bank, protected by FSCS - same as any "real" high street bank.
Revolut is NOT a bank. It is an e-money institution. Your money would potentially be at risk if you used them. They also have a reputation for poor customer support - search the forums and you'll find plenty of horror stories. I would highly recommend against them.

Also to note that your "credit score" isn't as issue, as lenders don't use it in their lending decisions. Instead they use the data on your credit files, which is likely to be poor given your circumstances.

Most of the high street banks will do a hard credit search when you apply - which may or may not be an issue depending on their (unpublished) acceptance criteria. Only real way to find out is to make an application, but you should then be offered a basic account if you don't meet the acceptance criteria for a standard current account. There's nothing wrong with basic accounts and if managed well can eventually be upgraded to something with a few more features.

Thank you for this reply. I do like Monzo, and I think I’ll keep my account with them regardless of what happens. As you said, if we’re rejected they’ll probably offer us a basic account. Does this also apply to if we are to make a joint application?

Rob5342

I don't understand what you think is wrong with Monzo, they are as much a bank as any of the old fashioned banks are. It's always a good idea to have accounts with a new different banks but Monzo are FSCS protected so there is no long term risk having money there.

GeoffTF

Rob5342 said:

I don't understand what you think is wrong with Monzo, they are as much a bank as any of the old fashioned banks are. It's always a good idea to have accounts with a new different banks but Monzo are FSCS protected so there is no long term risk having money there.

Up to £85K.

SiliconChip

McBedford said:

MorningcoffeeIV said:

You might be inclined to keep things separate for now, with your poor credit histories.  The credit scores aren't real, but the data is, and you neither of you will benefit from being associated with another high risk customer.

Obviously if you're already connected via another joint product, it won't make any difference.

I already have a joint account with him on Monzo. But  I figured our credit scores would go up together now.

There are no credit scores, credit history is what matters.

rustytortoise17

I've not used monza personally but a good friend has for a while now and has nothing but good to say about it.