Basic bank accounts are easy to use accounts that have the basic features of a current account but you cannot have an overdraft or cheque book.
If you haven’t got a bank account then you’re going to be missing out.
We’d really recommend getting a basic bank account to pay your rent and here are some top reasons why:
Why open a bank account? +
- Under Universal Credit your money will be paid directly to you – so you’ll need to have an account for it to be paid into
- You can access your money 24/7
- Wages, pension and benefit payments can be paid directly into the account
- You have the money available to you on the day it arrives in your account
- You will receive discounts on utility bills if you pay by Direct Debit
- You will receive free automated transactions (e.g. Direct Debits and standing orders)
- You will have a cash card for use at cash machines
- Many banks will give access to phone or internet banking so you don’t have to go in to the branches if you don’t want to
How do I open a basic bank account?+
If you want to open a basic bank account at a bank or building society you should check with your local branch what you need as proof of identiry and address. This could be documents like a passport, driving licence, Council Tax bill or a recent electric, gas or water bill. (See our where can I open a basic bank account section for more details.)
When you speak to the bank – make sure you make it really clear that you want a basic bank account so don’t be pressured into opening another account, which is unsuitable and may lead to future problems such as overdrafts.
How to choose a bank account +
Credit Unions +
They are authorised by the Prudential Regulation Authority, and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, so your money is safe.
- Last Updated: Friday, 18 September 2020 15:37