rejected for a bank account ?

J

jackreacher

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hi all,
just wondering if anyone knows if i can be rejected for a bank account account because of poor credit rating. i can understand not getting a loan/mortgage or credit card because of poor credit but just wondering if the same criteria apply for a humble current account. keep in mind i have successfully opened a savings account with said bank already??

answers on a postcard to the usual address
 
jackreacher said:
hi all,
just wondering if anyone knows if i can be rejected for a bank account account because of poor credit rating. i can understand not getting a loan/mortgage or credit card because of poor credit but just wondering if the same criteria apply for a humble current account. keep in mind i have successfully opened a savings account with said bank already??

answers on a postcard to the usual address
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No reason why they can't 'reject' you. Did you ask for an overdraft, or does the account automatically have one?
 
Presumably it's possible - especially if you mean a current account with credit facilities (e.g. overdraft etc.) facilities potentially available. There is no onus on banks to provide services to customers in all cases. If, for whatever reason, they decide that they don't want to offer a particular product to a particular customer then that's their prerogative.
 
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no wasnt asking for overdraft just wanted to switch bank account from ptsb to ulsterbank. i think the account has some kind of (buffer limit) ulster bank term for Overdraft but that wasnt the main reason for switching.

sorry clubman you replied also before i had posted back to rmelly
 
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Did you have (m)any bounced payments on your previous account? If so then UB might have seen this as a warning sign of an unreliable customer. Ultimately there is little that you can do here other than accept their right to refuse to offer you current account banking services. You might want to try some other banks and see how you fare. Why do you want/need to switch from PTSB in the first place?
 
reason to switch is i use microsoft money alot and you can download transactions straight on to the software. didnt have many bounced payments tbh 2 in last 3 months so not sure what they will class as many though.
 
jackreacher said:
reason to switch is i use microsoft money alot and you can download transactions straight on to the software.
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Is that the main or only reason for switching? Seems unusual...
didnt have many bounced payments tbh 2 in last 3 months so not sure what they will class as many though.
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Perhaps that was enough. You could ask them why you were refused but I'm not sure that they will or are obliged to tell you. Have you tried elsewhere?
 
i havent been refused yet im mid appilication, i just wanted to check the lay of the land. regarding microdsoft money im in the middle of a bit of a financial crisis at the mo and its a great cash flow forecaster budgeting tool so it would make life fairly easy to just download my months transaction straight onto the software and work from there
this is my third switch of my life and i expect that i will switch from UB 3 or 4 years down the road again
 
jackreacher said:
hi all,
just wondering if anyone knows if i can be rejected for a bank account account because of poor credit rating. i can understand not getting a loan/mortgage or credit card because of poor credit but just wondering if the same criteria apply for a humble current account. keep in mind i have successfully opened a savings account with said bank already??

answers on a postcard to the usual address
Click to expand...

Why dont you try National Irish Bank? They allow you to download twelve months transactions into .xls or .csv. I think you can upload the files to MS Money.

Also, their rates are very good. I know you may not want an o/d but their rates are 9% on some accounts. Their gold MasterCard rate matches that of your current account.
 
jackreacher said:
didnt have many bounced payments tbh 2 in last 3 months so not sure what they will class as many though.
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Many, in this context, is probably any number greater than zero - and the time period should probably read years rather than months
 
coincidentally, exactly the same thing happened to me recently. I wanted to change from ptsb to ulster bank and got rejected by the latter. apparently, a bank cannot do a credit search on you unless you give them your signature allowing this. however, when you open your ub account, you sign a part on the form allowing them to do so. I have done a little bit of research on other banks, they don't all do a credit search but most of them now require the usual identification plus statements from your previous bank for 3 months or if you are self employed, a set of audited accounts for past 2 years. and yes, this is just to open a plain old current account , with no overdraft requirement,that any joe soap could have done not so long ago. needless to say, too much red tape for me and i have opted to stay with ptsb, though i am not too happy about it.
 
you would think that in the current climate banks wouldnt be turning up there noses at prospective customers but there you go.
i havent heard back from ulster bank about the application so far but im less positive now. wait and see i suppose
 
Current accounts usually have fees. I could understand a bank refusing a customer if, based on credit history, they dont think they would be good for the fees.
 
katemape said:
coincidentally, exactly the same thing happened to me recently.
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OP's question was theoretical - he hasn't been turned down.

you would think that in the current climate banks wouldnt be turning up there noses at prospective customers but there you go.
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It there isn't much in the account then it's not really beneficial to them to have the customer.
 
the account i was trying to sign up for is the fee free banking so if that was their intended reasoning for rejection it doesnt hold water.
i havent heard back from the bank either way so it will be interesting to hear their criteria.
fin reg got back to me since op and said to ask for written reasons if account was rejected/refused. they also said to forward details to them if i want and they would refer it to the banking ombudsman.
wait and see i suppose
 
The FSO will not deal with the issue until you have received a final response letter from the institution in question in relation to your complaint to them.
 
I think when the FA said written responses they meant a final response.

I also note that some Financial institutions will try to skirt the issue when you mention a final response letter.
 
Even a child or teenager can open a bank account so the only thing I can reasonably see being refused is an application for credit. Surely a simply deposit account with no overdraft couldnt be refused to somebody who satisfies all the identification requirements ?
 
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