Bank accounts and debt
It is important that you have all your income paid into a bank or building society account that is not linked to any of your debts.
Your bank or building society can take money from your account if you have a debt with the same banking group. So to make sure this doesn’t happen it is important that you have all your income paid into a bank or building society account that is not linked to any of your debts. The Lending Standards Board website lists the main banking groups.
If you need to open a new account, you should ask for a basic account. This is an account without a credit facility (for example an overdraft). Your wages or benefits can be paid into this. You will still be able to withdraw money from a cash point and set up standing orders and direct debits.
If you apply for a basic bank account, your credit history should not affect your application. You can find more information about basic bank accounts on the Money Advice Service website.
