Business ACcounts

janetteosborne

Hi

This is a question for any people running small businesses really. I have a small business and I have a current account with HSBC. We have to pay bank charges to pay in money and to take out money. I had a heated discussion with them over this and as we are so small said it wasn't fair to have to pay 70pence to write a cheque. Anyway they offered us a high interest account, we transfer money into this account and they would pay us high interest and this would alleviate the charges a little. I really do think that small businesses who earn less than 10 - 15 thousand a year should be exempt from charges. We have to pay nearly £25.00 per month for charges and it is getting ridiculous. We have tried to change banks to Abbey but they were useless, couldn't get through to them and the paperwork was hassle all the way. Does anyone, Martin Lewis please help - have any suggestions to over come this stupid situation? Any banks who would deal with small businesses and not charge us such hefty charges.

Cheers

JOsborne

jonesMUFCforever

A personal account holder cannot claim bank charges against tax, a business account can.

Would you as a small business work for free if the bank asked you?

They are a business - you are a business. There is nothing for free.

sss555s

I'm sure A&L do a similar business account to the Abbey one Janette.

I switched from RBS to Abbey a couple of years ago as RBS was just getting too expensive.

I remember Abbey being a pain in the a*** when i was trying to open the account but i've not had to speak to them since so all's been good, touch wood

Snooze

jonesMUFCforever wrote: »

A personal account holder cannot claim bank charges against tax, a business account can.

Would you as a small business work for free if the bank asked you?

They are a business - you are a business. There is nothing for free.

Hilarious. :rolleyes:

And of the course the banks make no money whatsoever from our £££££ sitting in their accounts .....

Rob

English_Bob

My advice (for what its worth) is switch to Lloyds TSB.
I run 2 small businesses, and bank with TSB. They have always given me good service.
If you switch to them now (to an internet banking account), they will give you 6 months free banking.
During this time i would ask all of your suppliers/people you pay for their bank account numbers. Then pay them using the TSB internet banking.
It does not cost you anything and they get paid quicker. I wrote to my suppliers stating this, and they ALL replied within 3 weeks with their account numbers!
Now i don't write cheques at all, so the only costs i have to pay are paying money in to the account. But it has saved me quite a lot.

Hope this helps.

Bob

janetteosborne

jonesMUFCforever wrote: »

A personal account holder cannot claim bank charges against tax, a business account can.

Would you as a small business work for free if the bank asked you?

They are a business - you are a business. There is nothing for free.

Thanks for that.

I don't really think you see the point.:money: The money in the bank is mine not theirs!!!! Why should I have to pay to take my own money out?

janetteosborne

Hi Rob

Thanks for that. I will give it some thought. It does sound like quite a good idea if I don't have to write any cheques.

The whole system is complete madness though. They are paying me to have a high interest account to try and offset the charges. Totally ridiculous.

:eek:

English_Bob

Yeah ... i agree
We run a business that has a high turnover and high costs (and high stress!!)
We therefore use our accounts alot. But apart from paying money in, the bank don't really DO anything for me. When we worked it out, we pay more out in bank charges than we would get in interest if we had a high interest personal current account with the same bank!!

jonesMUFCforever

janetteosborne wrote: »

Thanks for that.

I don't really think you see the point.:money: The money in the bank is mine not theirs!!!! Why should I have to pay to take my own money out?

They are offering a service to you whereby they keep your money safe, let you have regular statements, cheque books and credit books and cards for free.
You have a telephone number whereby you can contact the bank with any queries or help such as overdrafts or loans etc.
The branch network and all costs that is involved in running it have to be paid for.

If you prefer to just hoard your money under the bed so be it.

By the way you did not answer whether you would be prepared to work for someone for free?

ldavies_3

You could always switch to Hsbc s Business Direct account.. fees and chaarges only kick in after certain amount of transactions and is free up to that point. i think is up to 100 cheques??

Nothing on the account changes just a switch of account type.

hope this helps

janetteosborne

Hi

Thanks IDavies for your help. I am going to the bank tomorrow and I will discuss it with them.

MUFCforever - well what a stupid answer. Of course not but why should I have to pay in my own hard earned cash and take it out.

Ridiculous.

JOsborne