Basic bank accounts
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What is a basic bank account?
Basic bank accounts are aimed at giving everyone access to banking facilities. They are a basic, no frills account and are available from all major banks.
If you don’t currently have a bank account or, if you are not able to get a standard current account, you should look into basic bank accounts as an option.
How can a basic bank account help me?
Having a bank account can help you to manage your money - you can get your money paid into the account and pay your bills out of it:
- A basic bank account is ideal if you are worried about overspending, as they don’t allow you to go overdrawn.
- You can only spend the money you have in the account. You won’t get a cheque book but you will generally get a cash card.
- Cash withdrawals can usually be made at cash machines and at the post office
- You can get your wages, benefits, state pension or tax credits paid directly into the account.
- You can pay in cheques for free and arrange for bills to be paid by direct debit or standing order (which can often save you money on your bills).
- It is your responsibility to make sure there are enough funds in the account to cover these.
How do I open a basic bank account?
Follow the step-by-step guide below if you are unsure how to go about opening a basic bank account:
1. Decide which basic bank account would be best for you. Use the table and speak to the bank to help you decide
2. Drop in or make an appointment at the bank or building society and ask to open a basic bank account, giving its name (for more details see the table in the document attached below).
3. Be ready to prove you identity. If you have difficulty proving your identity, ask to see a more senior member of staff.
4. Once an application has been approved, it should take no more than 10 days for the account to become operational.
5. If you want your wages, state benefits or tax credits paid directly into your account talk to your wages office or pension or benefit office dealing with your claim.
6. To set up a direct debit or standing order to pay household bills, ask the company for a direct debit or standing order form. Direct debit forms are returned to the company that you want to pay, but you give a standing order form to your bank.
Proof of identity to open a bank account
You will need to provide proof of your identity when opening a bank account. They may ask you for documents such as:
- Passport
- Driving licence
If you don't have these they may accept:
- A letter confirming a right to state benefits (e.g. Council Tax, Housing Benefit or pension)
- A letter from a care home manager or warden from a refuge
- A letter from a workplace or educational institution
Please note: There may be some restrictions on opening some bank accounts, such as a record of fraud of undischarged bankruptcy. Check out the table in the document attached below for more information.
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