Do you need a parachute account?

[:Boy:]

My credit is poor, and I have just applied for a Citibank account just in case I need it. I did not apply for the overdraft though, just in case I was refused.

 

I shall wait with baited breath for the paperwork, and also to see if it comes with a Visa Debit card (very handy!)

[Pub_Dog]

In attempting to set up a parachute account with the Coventry Building Society for my daughter who is currently contending excessive overdraft charges from her current bank (Lloyds) the she has been rejected on the basis of her credit reference.

I can only assume this is down to Lloyds information passing back to the credit reference company (Equifax plc) due to her overdraft. As a consequence this affects her ability to switch accounts.

I am going to request the information that the credit reference company holds on my daughters behalf, but this will take time, is there anything she can do in the interim?

 

postnote - having read this link there appear to be other options (citibank etc). I'll encourage her to try there.

[Seahorse]

Just tried to open a parachute account with the Co-op - just a basic account: electron no overdraft chequebook etc... I got the Spanish inquisition: they wanted a complete income / expenditure ruck of data. 'Why?' - 'its just standard' - I walked away.

 

NOOoooobody expects the Spanish inquisition. Our chief weapon is surprise... and fear

 

Seahorse

[Teach57]

I currently have an overdraft for £2100 which I use every month. I need a parachute account in case my account gets closed by the my present bank (Barclays). Does anyone know if the banks named above allow you to transfer your overdraft? Or could anyone tell me where to gt this information from?

 

Thanks. x

[JonCris]

It depends on you credit rating. If it's ok most banks will offer you a facility but they will expect (if they know about it) you to settle any existing OD

 

My advice is open a basic current account & then calculate your claim to see how much you will have available to repay the overdraft. As when you do start your claim Barclays will almost certainly call in your overdraft & close the account

[Teach57]

when you do start your claim Barclays will almost certainly call in your overdraft & close the account

 

Thanks for the reply JonChris.

 

I take from your last comment that Barclays close your account as a matter of principal after a claim has been made? Would be typical Barclays style!

 

I have applied to view my credit online and it is best with CallCredit 764 (four stars), Experian 730 (three stars) and worst with Equifax 649. Felt terrible when I viewed the file as now all my direct debits have been set up I haven't missed a single payment for at least two years! Still you live and learn!

 

Do you have any idea what the 'average person's ' score would consist of?

 

Suppose having an account closed would also have an impact on your credit rating too?

[JonCris]

1st

no it isn't a matter of 'principal' the banks don't have any. It's called throwing their toys out of the pram.

2nd

They all seemed quite good even Equifax

3rd

Closing the account should not appear on your file.......why should it........but the account ending allows you to use your DPA right's & demand they stop processing your data. That usually pees them off

[Teach57]

1st

no it isn't a matter of 'principal' the banks don't have any. It's called throwing their toys out of the pram.

 

 

HAHA!!!

 

Thanks for the advice! I am totally at a loss with all this info - I need time to get my head round it but by then all the banks will have gone bankrupt and I wont have claimed a thing!

 

Good job there's a forum like this where you can ask loads of thick questions and people will be kind and answer! I shall be donating to the group if I win my bank charges back!

[Seahorse]

I have applied to view my credit online and it is best with CallCredit 764 (four stars), Experian 730 (three stars) and worst with Equifax 649.

 

Did you see your credit report or your score online with Experian? At creditexpert.co.uk?

 

I paid my £4.99, can log on no probs, but keep getting a report temporarily unavailable message whever I try to check. I have emailed them (a week ago) but got a wait 8 days and we'll get back to you reply.

 

Seahorse

[blackrain]

Barclays didn't close my account.

Set up parachute with Halifax no problems but got turned down by NatWest.

[Teach57]

Did you see your credit report or your score online with Experian? At creditexpert.co.uk?

 

I paid my £4.99, can log on no probs, but keep getting a report temporarily unavailable message whever I try to check. I have emailed them (a week ago) but got a wait 8 days and we'll get back to you reply.

 

Seahorse

 

 

Hi Seahorse,

 

I got my credit report from www.creditmyfile.com I paid for £16 to view all three of my credit records. They send you an letter through the post to verify address and it took around about two days to receive the passcode. I can now access all three as and when I require.

 

You can get credit reports free from Experian and Equifax (there is a loophole so you wont get charged) if you use this link it explains all: Check and improve your Credit Score | MoneySavingExpert: Consumer Revenge, Credit Cards, Shopping, Bank Charges, Cheap Flights and more

 

also this site will tell you about which companies use the different credit scoring agencies.

 

 

Check and improve your Credit Score | MoneySavingExpert: Consumer Revenge, Credit Cards, Shopping, Bank Charges, Cheap Flights and more

 

But to read the whole thing from the beggining start by reading this section:

 

Your Credit Rating: How It Works | MoneySavingExpert: Consumer Revenge, Credit Cards, Shopping, Bank Charges, Cheap Flights and more

 

 

I hope that this has been helpful to you . Good luck!

[Teach57]

Why have my link's not worked? If you PM me I will send you them.

[Teach57]

Barclays didn't close my account.

Set up parachute with Halifax no problems but got turned down by NatWest.

 

Thanks for the reply.

 

Does your account have a visa / mastercard etc? Cheque book?

[blackrain]

It's got a debit card and online banking but no cheque book. Just a basic account but it works for me.

[Seahorse]

Why have my link's not worked? If you PM me I will send you them.

 

No, it's OK. Your links work fine. Thanks for that. I will sort all that out properly when I get back to the UK.

 

Seahorse

[:Boy:]

Would you believe it, got my Visa Debit card in the post today from Citibank, my god I have not had one of these since 1998 when I got in the sh*t with my finances!

 

Never thought I would see one of these again in my name.

 

Thought I would just update, sorry to hijack the thread.

 

Best regards

 

David

[petrafyde]

Just a quick thank you for this thread as the accounts I applied for after reading it (citibank, nationwide & co-op) have all come through with no trouble!

[TINK660]

Just a quickie, what constitutes bad enough credit to not be able to open a normal account. I am considering opening a parachute business account to enable me to pursue current bank without worrying about the consequences of them closing.

[Seahorse]

Business accounts might be a bit tough. My own bank (that i've been with for nearly 14 years!) told me I couldn't open one, because I'd gone over my overdraft limit in the past 6 months, despite it being THEIR charges that took me there.

[mfpa]

Currently trying to open a Royal Bank of Scotland "Key Account". I applied online and had to answer a few irrelevant questions about income, etc.

 

The form they sent through the post to sign had references to credit scoring and suchlike, even though no credit/lending is being applied for. I sent that back along with my driving licence and December's gas bill. Now they have returned my licence and gas bill along with a letter saying "the documentation provided is not acceptable for identification purposes".

 

They now require either

"a personal cheque drawn on another UK bank in your name, made payable to you for the minimum of £1.00"

or

"an original HM Revenue and Customs tax notification(P45 and P60 not acceptable). Must have been issued within the last 12 months and be valid for the current or next financial year"

 

I rang to check that a PAYE Coding Notice (it is) and asked what was wrong with the driving licence and gas bill. They say the gas bill is fine but they can only accept a driving licence for a face-to-face application in a branch. I asked why - they said that if my licence had been one with a photo the person in the branch would be able to verify it looked like me!

[JonCris]

mfpa If your licence is a photo licence then call their bluff.........suggest that you will go to their nearest branch to have your licence confirmed!

 

The ICO & the FSA are now saying banks should NOT encourage customers to send original documents through the post.........& should accept verified copies

[bluetack]

I don't mean to dampen anyone's spirits but I incurred ccj's and defaults on joint accounts when my husband was made bankrupt. He has been discharged for two years now but none of the banks listed at the beginning of this thread will open basic accounts for either of us.

Just thought I'd let you know that its very frustrating when these banks advertise accounts for people with adverse credit, then refuse to open even a basic account.

[Seahorse]

If you hang on till I can dig it out, I'm sure there is something somewhere that will help in the threads. Which banks have you tried so far?

[bluetack]

Thanks seahorse,

I have tried:

Natwest

Lloyds tsb

Rbs

Barclays

Co-op

and a few others that I can't remember.

All say the same thing, credit checks prevent them from opening account.

[bluetack]

Sorry seahorse, I forgot to mention I have a Nationwide Flex account.

I have had this for about 15 years but only ever used it for the odd bit of savings.

When hubby went bust we used this account for all our personal banking.

The problem is this is the account I want to claim charges back from (about 3,000) but it seems,by reading other threads, that they will close account.