Can I get a bank account during or after bankruptcy?
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While it might be a bit of trouble finding a basic bank account during or after bankruptcy, it is possible with a little time and hunting.
Here is a guide to basic bank accounts that gives you names and contact information.
What you are looking for is an account which DOES NOT have an overdraft facility. This overdraft facility would be considered as an extension of credit.
Most people now have their wages, benefits, and tax credits paid straight into a bank account. This gives them many advantages, and if you don’t have a bank account, you could be losing out. For example, do you pay cash for things like gas or insurance? If so, you could be paying more than you need to. You may already know about current accounts, and have decided they’re not for you at this time. But a basic bank account may suit you better. With a basic bank account: - You can have your wages, benefits, State pension and tax credits paid directly into your account. To arrange this just contact your wages office or the pensions or benefit office dealing with your claim.
- It costs you nothing to pay cheques into a basic bank account, although you will have to wait a few days at least for the money to be available in your account.
- You can take your money out at cash machines by using a cash card – check with your bank if there are any cash machine restrictions or charges.
- With some accounts you can also withdraw money from branches of your bank or building society, or the Post Office®. - If you have a debit card – you can also withdraw cash from some shops, using cashback.
- You can pay your bills by direct debit. Some banks will also allow you to pay your bills by standing order. - You do not get a cheque book.
- You can’t overdraw a basic bank account, so they suit people who worry about getting overdrawn and want a tighter hold on their money.
