Opening a basic bank account...

[cherrypink]

I am thinking of an IVA and I've already been told by a few people I should go and open a basic bank account. But I was wondering - do I need to tell the new bank company about my predicament? Will they think its odd that I would just want basic cash account or can I just say thats my preference?

I am thinking of go to Lloyds TSB as I have no ties to them.

Thankyou!

[Kazzy E]

Hi Cherrypink. I opened my basic account with NatWest and I didn't say a thing at my interview and they didn't ask either. I was with Lloyds but they are one of my creditors so I had to change. As my credit rating was obviously shot, they only offered me a solo card with a cheque account, but it is fine, as all my payments are in cash or direct debit to my utilities now and I am in control of my finances much more. Hope that helps, good luck. Kazzy

[Moneystinks]

Hi a lot of people on this forum have a cashminder account with the co op which comes with a debit card. I have one and a Abbey account. Both are good.

[cherrypink]

Thankyou for your messages! I think the banks I can go to are - Abbey, Co op, Lloyds and Nationwide. If anyone has a preference let me know!
(I did notice that Lloyds basic account won't let you withdraw from normal cash machines, it has to be a Lloyds or post office one which might not be very handy)...

[Skippy]

I've got a Co-op Cashminder account and I can't fault it.

[Moneystinks]

Co op is okay and people manage.....

I like the Abbey as I can use any cash machine and also I have a debit card.......

It is my main account with the co op as back up!

[cherrypink]

Hi Money Stinks

I was looking on the abbey site and it says:

Abbey basic current account
Consider it if...

* Your earnings are low or you have a poor credit history
* You want a simple account to pay your benefits into
* You don?t want a debit card, overdraft and cheque book

Don't consider it if...

* You want to be able to use the Abbey branch counters
* You want a debit card or cheque book
* You want an overdraft facility

Is your account the same as this? Just wondering why it says theres no debit card with it :/

[Moneystinks]

Ah sorry misled you slightly

A brief boring story....

We had always paid our creditors never missed payments etc - like many on here, we use credit to pay credit......We rang the co op toget an account in readiness for IVA. The deferred the decision for us to have an account, I panicked and went to my local Abbey and they set the account up and gave us account number whilst sat there....great our new basic account - so we thought. Got a letter a few days later teling us our overdraft was £1000 and our cash cards would be out to us soon....WHAT! I cancelled the overdraft and then sorted dd's etc. A couple of weeks went by everything fine and I asked to see if we could have a debit card. They said yes as we had a marker saying it was ok. We asked the personal banker to activate it and she told us she was surprised we had only a cash card as it was a normal current account. We aren't complaining.
The Abbey have been really helpful butso have the co op.

[Moneystinks]

Just to add we were quite clear we only wanted a basic account - not sure what happened.........

If our rating is bad already then Co op is the way to go but don't panic if they referred it We just hd a pack sent out 10 days ofter they deferred it. XX

[cherrypink]

Ahhh I see, no probs Its better to know now anyhow. I may go to Lloyds anyway because I think they give you a solo or electron card (my boyfriend has a basic account ith HSBC and he has to withdraw cash all the time, very annoying).

Thanks so much for your advice everyone!

[Skippy]

As far as I know a Lloyds basic account only comes with a cash card that can be used at a Lloyds cashpoint - I had one and it was a pain! Things might have changed in the last year though.

[Moneystinks]

co op is electron and you can withdraw fromany cash machine and post office. I have also put money in via postoffice.

[Skippy]

I've paid in at the Post Office as well and it clears onto the account really quickly, even cheques.

[cherrypink]

Ahh ok, so everyone is pointing towards Co-op! I will make the effort to go to them instead tomorrow. Another question - can they give you your new sort and account number immediately I need to tell my employers my new account info or else my current bank will take every penny of my wages

[Moneystinks]

Have you already told your bank about IVA??

We hadn't and I had to go in on pay dy empty the account and go stright over to the abbey and deposit in there. Scary.....