Frequently Asked Questions

We hope that this section will provide the answers to some of your questions if you are looking into bad credit bank accounts due to having a poor credit rating as that can sometimes make it more difficult to obtain suitable banking facilities from high street banks and building societies.

Can I open a bank account with bad credit?

Almost certainly, you should be able to open some form of bank account even if you have a poor credit history.

What sort of accounts for people with a bad credit history are available?

The type of account available will depend upon your credit rating but there are a number of options that could include a basic bank account, guaranteed bank accounts and, in some cases, even a standard bank account.

These accounts may either come with a debit card, cash card or a prepaid debit card enabling you to buy things online, over the phone or in shops and get cash out through hole in the wall machines. You can have your salary, wages or benefits paid in and set up direct debits and standing orders to pay regular bills.

Who provides bank accounts for people with poor credit?

Some are available from the likes of major high street banks and building societies and some are provided by other reputable financial institutions that you can find online. Some Credit Unions also provide basic bank accounts.

Is a credit reference search carried out?

High street banks and building societies tend to carry out a credit reference search but the financial institutions that we provide access to via this website do not usually do so. This makes the process so much more straightforward and is one of the reasons why they are often referred to as guaranteed bank accounts.

Can you open an account online?

Yes, for instance, you can apply to open a Cash Plus Account online as well as other guaranteed bank accounts provided by other specialist financial institutions even if you have a poor credit rating.

Does it cost anything to apply to open and operate a bad credit bank account with a debit card?

Some financial institutions make a charge to both apply to open and operate such an account. Some only make a monthly charge for operating the account. However, some financial institutions such as a number of banks and building societies do not make any charges as long as the account is maintained satisfactorily so it is worth shopping around to find the most suitable account to meet your requirements.
Are such bank accounts available to bankrupts?

Yes, it is possible to open guaranteed bank accounts for discharged bankrupts and undischarged bankrupts. The application process is just the same as for someone that has not had to go through UK bankruptcy.

How do I apply for an account?

People can apply online for guaranteed bank accounts, bad credit issues should not present any difficulties. Having decided which company you wish to open such an account with it should only take a few minutes as very little information is required.

How can you reduce the possibility of being defrauded?

There are a number of things to look out for in the event of a criminal trying to fraudulently access the monies in your bad credit current account.

Are bad credit loans available?

Yes, there are some lenders that will provide loans for people with bad credit although this will depend upon a number of factors such as your current financial situation i.e. can you afford the repayments and your credit rating. You can expect to pay a higher rate of interest than if there was nothing untoward with your credit history.

Are bad credit credit cards available?

Yes. There are a number of providers of credit cards for people that have a poor credit history. The interest rate charged tends to be higher because of the perceived increased risk such a customer poses. You can find out more about credit cards for bad credit rated individuals.