Hi Cif,
When we entered our Sequestration, we had 2 current accounts (one with Santander, and one with M & S) and we also had a savings account with Santander (very low balance). Santander froze both our Current Account & Savings account about 2 weeks after our Sequestration was accepted, so we ended up having to close the account, but we were allowed to open a basic account with them, and they unfroze the savings account once we'd been in contact with them with a letter from our Trustee. Our Sequestration finalised in November 2020, but we're still making contributions to our Trustee and will do so for 4 years.
M & S are closing their current accounts, so we're going to have to look for another bank we can use, or put everything into the Santander account, but that account does not allow recurring payments, so now Sequestration is finalised, we might try to upgrade to their ordinary current account, but we've had no issues with using 2 bank accounts (Partners wages are paid into one account & benefit payments are paid into the other, with D/D split between both accounts). We use the savings account to lay aside monthly expenditure, so that it's in a separate account (out of sight).

I hope this helps

Hi,

Google Plum and thank me later . It basically links to ur bank account and allows you to set up monthly savings to transferred across and it’s really simple and quick to set up on ur phone.

Morning

There is nothing preventing you from running two basic accounts. There are a whole list of new internet banks that you should consider as well as Credit Union accounts.

P

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Originally posted by Paul McDougall
[br]Morning

There is nothing preventing you from running two basic accounts. There are a whole list of new internet banks that you should consider as well as Credit Union accounts.

P

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Hi Paul,

Unfortunately the terms and conditions of at least 3 of the banks suggests otherwise. It seems to be something to do with the PARS Regulations from 2015 when the top banks were forced to offer basic accounts to folk in financial difficulty. I had a look at the PARS regulations myself and they confirm it's legal for them to close your basic account if you open another. Unfortunately this also seems to apply if you open a pre pay card. Frustrating.

quote:

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Originally posted by Dazzla359
[br]Hi,

Google Plum and thank me later . It basically links to ur bank account and allows you to set up monthly savings to transferred across and it’s really simple and quick to set up on ur phone.

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Thanks Dazzla, I will take a wee look at that.

Hi CIF. That's interesting, and not something I was aware of. I suspect that in reality it won't be a problem, however it would be good to hear if any others have had these issues.

I can't help wondering how they would find out if you had a second one? Obviously if you were directly transferring money between them it would flag it but not if you were manually doing it. Not a biggie if it's not workable, was just trying to save having the cash lying around the house.

I can't remember anyone writing about this being an issue in reality CIF.

There's lots of good reasons why people might want to have more than one account. For example, business versus personal, a bills account, an account to set aside some cash for irregular spending like car servicing or repairs etc.

Like you say, if there's no credit provided by the bank it's hard to think how they'd know that you have a second account.

My guess is that this restriction is put in the terms and conditions because these accounts aren't very profitable for the banks to operate, and presumably even less so if people have more than one of them.