If you have some financial problems and have got an adverse credit rating and are looking to open a current account then you will be pleased to read that there are several reputable financial institutions that provide guaranteed bank accounts for people with bad credit with one of the major benefits being that they do not carry out a credit reference search unlike the major high street banks and building societies.
So, what do you get with guaranteed bank accounts? Well, you get many of the banking facilities available from the major high street banks and building societies. For instance, you could get a prepaid Mastercard debit card enabling you to purchase things online, over the phone or in shops and you can use the card to obtain cash out of hole in the wall machines. You can have your wages, salary, benefits or pension paid into your guaranteed bank account and set up standing orders and direct debits to pay regular household bills such as the rent, council tax and car insurance premium.
You are unlikely to get a cheque book or an overdraft facility. There is often a set-up charge as well as a monthly administration charge with a guaranteed bank account.
With this type of account you often have access to an Account Manager and your funds will go into an account to pay your regular bills with any surplus being transferred to the prepaid Mastercard for you to spend.
You can even apply to open a guaranteed bank account online and it should only take a few minutes to do so bearing in mind the company do not undertake a credit reference enquiry. So, as you can see, it is possible to open a current account with bad credit.