Can I get a new bank account with bad credit?

vicky7833

Hi all,

I lost my job in December and since then it has been a struggle keeping up with repayments which has caused my debt to be referred to a debt collection agency.

I have finally got a job again and will start to get back on my feet but now I have no bank account to manage my bills from.

I applied for a bank account through Ulster Bank, I never had one with them before.

Is it more than likely going to be declined?
If anyone has any advice I would be so grateful.

Thank you,

Vicky

28064212

I can't imagine they'd decline a simple bank account. However, you almost certainly won't be able to get an overdraft facility or a credit card

Pablo1802

28064212 wrote: »

I can't imagine they'd decline a simple bank account. However, you almost certainly won't be able to get an overdraft facility or a credit card

It might happen, especially with Ulster Bank cause they do a credit check on every current account application.
You may not be able to get any account with Ulster Bank and you can forget about an overdraft or a credit card with any bank.

Anyone

Pablo1802 wrote: »

It might happen, especially with Ulster Bank cause they do a credit check on every current account application.
You may not be able to get any account with Ulster Bank and you can forget about an overdraft or a credit card with any bank.

That's illegal unless you are seeking credit and sign an icb data request form.

Pablo1802

Anyone wrote: »

That's illegal unless you are seeking credit and sign an icb data request form.

I am not sure it's legal or illegal, but the fact is that Ulster Bank is not obligated to open a current account for everyone.

"Credit Reference Agencies
We may obtain information about you from credit refernce agencies and grouprecords to check your credit status and identity.
The agencies will record our enquiries which may be seen by other companies who make their own credit enquiries. We may use credit scoring."

It's on every Ulster Bank current account application.
If you don't sign your application it won't be accepted.

vicky7833

I have been doing some research on the basic account I applied for (No overdraft/cheque facility) and as far as I know, they do an "Identification Check" which means they check your name with credit reference agencies but don't do an actual credit score check.

I still have no exact proof until I am either accepted or declined but I will let ye know.

Thank you all for your information and if you know more feel free to let me know

chris85

vicky7833 wrote: »

I have been doing some research on the basic account I applied for (No overdraft/cheque facility) and as far as I know, they do an "Identification Check" which means they check your name with credit reference agencies but don't do an actual credit score check.

I still have no exact proof until I am either accepted or declined but I will let ye know.

Thank you all for your information and if you know more feel free to let me know

Many of the banks do credit checks now a days. The reason being is that they dont view current accounts as earners for them (this attitude may be shifting as they are hiking up the fees on current accounts as they need money) so if the credit score is poor they cant offer credit facilities such as overdrafts/loans/CC's so they wont make as much money on the customer

wmpdd3

I was refused a bank account with Ulster Bank in the last 12 month. No issues with BOI or PTSB.

donutheadhomer

Pablo1802 wrote: »

It might happen, especially with Ulster Bank cause they do a credit check on every current account application.
You may not be able to get any account with Ulster Bank and you can forget about an overdraft or a credit card with any bank.

they reserve teh right to do the credit check - but in practise don't carry it out

WildRosie

I got a Step account with Ulster Bank earlier this year. Visa debit card, no cheque book or overdraft. BOI had closed my account due to financial problems. The UB account does everything I need and I really thought I wouldn't get an account anywhere and would have to use my credit union account. They didn't credit check me for that account (cos they would have laughed me out the door if they had).

wmpdd3

That's interesting, boi and ptsb gave me an account without issue but it was a no from Ulster.

WildRosie

wmpdd3 wrote: »

That's interesting, boi and ptsb gave me an account without issue but it was a no from Ulster.

The step account isn't strictly speaking a current account I think. UB instantly declined me for a student account as I failed the credit check. I think the step account is part of some access to banking scheme they have as that's where I came across it. Was surprised they gave me a visa debit card without a credit check though (surprised and very, very happy).

vicky7833

Forgot to update you all but got approved the basic account with Ulster Bank, debit card and online banking.
Happy days! Can now start fresh.
No overdraft facility or cheque but this is ideal

Thanks for your replies!