# rejected for a bank account ?



## jackreacher (1 Oct 2008)

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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## rmelly (1 Oct 2008)

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


 
No reason why they can't 'reject' you. Did you ask for an overdraft, or does the account automatically have one?


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## ClubMan (1 Oct 2008)

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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## jackreacher (1 Oct 2008)

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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## ClubMan (1 Oct 2008)

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?


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## jackreacher (1 Oct 2008)

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.


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## ClubMan (1 Oct 2008)

jackreacher said:


> reason to switch is i use microsoft money alot and you can download transactions straight on to the software.


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.


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?


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## jackreacher (1 Oct 2008)

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


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## kimmage (2 Oct 2008)

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


 
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.


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## jackreacher (2 Oct 2008)

good idea will check it out over the course of the day, never thought about them actually


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## Gulliver (2 Oct 2008)

jackreacher said:


> didnt have many bounced payments tbh 2 in last 3 months so not sure what they will class as many though.


 
Many, in this context, is probably any number greater than zero - and the time period should probably read years rather than months


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## katemape (3 Oct 2008)

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.


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## jackreacher (3 Oct 2008)

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


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## csirl (6 Oct 2008)

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.


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## rmelly (6 Oct 2008)

katemape said:


> coincidentally, exactly the same thing happened to me recently.


 
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.


 
It there isn't much in the account then it's not really beneficial to them to have the customer.


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## ClubMan (6 Oct 2008)

csirl said:


> Current accounts usually have fees.


Not necessarily true. Most or all banks offer transaction fee free banking to most or all customers these days.


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## jackreacher (6 Oct 2008)

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


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## ClubMan (6 Oct 2008)

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.


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## bond-007 (6 Oct 2008)

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.


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## hatfield (6 Oct 2008)

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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## ClubMan (6 Oct 2008)

hatfield said:


> Surely a simply deposit account with no overdraft couldnt be refused to somebody who satisfies all the identification requirements ?


Of course it can. Banks are not obliged to offer services to all comers.


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## hatfield (6 Oct 2008)

ClubMan said:


> Of course it can. Banks are not obliged to offer services to all comers.



Bank employees are trained to and obliged to serve customers in fulfillmwent of their employee duties. If there is a personal issue with one bank employee then there is a complaints procedure otherwise walk into another branch and deal with some other employee. Why would they refuse to service some ordinary person ? 
How could they justify it when even mass murderers have bank accounts? I can picture a huge picture of ClubMan behind every bank teller window ' we do not accept money from this man'


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## rmelly (6 Oct 2008)

hatfield said:


> Bank employees are trained to and obliged to serve customers in fulfillmwent of their employee duties.


 
Someone without an account is not a customer.


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## ClubMan (6 Oct 2008)

hatfield said:


> How could they justify it when even mass murderers have bank accounts? I can picture a huge picture of ClubMan behind every bank teller window ' we do not accept money from this man'


What the hell are you on about?


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## hatfield (6 Oct 2008)

rmelly said:


> Someone without an account is not a customer.



I know you were trying to be smart there. Of course you are completely wrong. There are plenty of things you can do as a customer without having an account


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## rmelly (6 Oct 2008)

hatfield said:


> I know you were trying to be smart there. Of course you are completely wrong. There are plenty of things you can do as a customer without having an account


 
And I know you're attempting to be pedantic there. Can you point me to the legislation that says a bank must serve anyone that turns up at it's door?


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## hatfield (6 Oct 2008)

rmelly said:


> And I know you're attempting to be pedantic there. Can you point me to the legislation that says a bank must serve anyone that turns up at it's door?



You presume too much mr rmelly


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## rmelly (6 Oct 2008)

hatfield said:


> You presume too much mr rmelly


 
you mean in presuming you knew what you were talking about? Sorry, won't make that mistake again.


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## hatfield (6 Oct 2008)

rmelly said:


> you mean in presuming you knew what you were talking about? Sorry, won't make that mistake again.



Well you are clearly wrong on a number of points. So if you presume I dont' know what I am talking about then I can only point to your track record of false presumptions.


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## rmelly (6 Oct 2008)

hatfield said:


> Well you are clearly wrong on a number of points. So if you presume I dont' know what I am talking about then I can only point to your track record of false presumptions.


 
thanks - you've just confirmed my suspicions.


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## hatfield (6 Oct 2008)

rmelly said:


> thanks - you've just confirmed my suspicions.



Happy to have helped you gain a greater self knowledge


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## csirl (7 Oct 2008)

Maybe they are taking the view that, because the OP has previous financial problems, that they are not worth the effort. It costs banks time and money to deal with all customers. Not worthwhile bothering with a customer who you wont make money from.


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## rmelly (7 Oct 2008)

Below is an extract from AIB Current Account T & C's. If AIB have this, no reason any other bank can't.



> 2.1 Before you can use your Account you must provide
> us with information and documentation to satisfy
> the ‘establishing identity’ requirements under the
> Criminal Justice Act, 1994. We will advise you of
> ...


 
URL: [broken link removed]​


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## jackreacher (8 Oct 2008)

got the rejection letter through the door today. big surprise
" i regret on this occasion that we are unable to help you as your circumstances do not meet the criteria of our assessment process. As responsible lenders we use a process called credit scoring in assessing applications for credit." 
it goes on for 2 more paragraphs then explaining why they use credit scoring and informing me if i wasnt happy to reapply if my circumstances change.
i would say fair enough if i was asking for loan mortgage credit card etc but as i was only asking for a fee free bank account my question is where is the credit that they speak of?? 
im going to get on to the bank in the morning and make my point to them and see if i get any sensible answer. 
i can feel the falling down mentatility settling in all ready


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