Bank Accounts provide a safe and convenient way to manage and access your money. Everyone of working age will require a bank account in their name to claim Universal Credit from July 2018.
If you are looking for a no frills bank account that does not charge you can open a ‘basic bank account’. A basic bank account allows you to receive money and pay bills. With a basic bank account you can:
- Have you wages, benefits, state pension or tax credits paid directly into your account.
- Pay in cheques for free.
- Take money out of cash machines in the UK with a cash card (this is usually free but some banks and cash machines may charge for a single withdrawal).
- Take money out at the Post Office.
- Pay your bills (including your rent) by direct debit.
- Some banks let you have a debit card to pay for your shopping in store, online or over the telephone.
- Some will also allow you to set up standing orders.
To open a basic bank account you will need to choose a bank account that suits your needs. Most banks will now allow you to open a basic bank account online or over the telephone as well in the branch.
For more information on what basic bank accounts are currently available and what you will need to do to open a bank account see this useful infomation from the Money Advice Service.