Opening a Bank Account – How the Process Works

September 25th, 2008 by admin | Filed under Money Management, Saving, UK Bank Accounts.

Do you need to open a new bank account? There are many reasons why a second, third, or even fourth account can be appealing; it can help with budgeting or managing different funds. Additional bank accounts are also often obtained when you have two sets of needs, each of which are best provided by two different banks.

When opening a new bank account you will likely experience a very daunting process of forms and application requirements. This can be time consuming and frustrating if you do not know what to expect and come unprepared. This article will provide you with some general information about the application process and a few strategies on how to make it run as smooth as possible.

Identification

The first thing to ensure, when going to apply for a new bank account, is that you bring all of the necessary identification and paperwork with you. Missing just one item from a bank’s required list will stop the process cold, so it is best to call ahead and ask exactly what they need. You can expect this list to include photo identification, proof of address, and possibly information about any other accounts that you have.

You may also be required to prove that you are registered to vote at your current address, that you do not have any outstanding debts, and that you have a regular monthly income. If any of these conditions are difficult for you to prove, then you may not be able to take advantage of the banks full account services, but you should not be discouraged. Speak to a representative at the bank and let them know what your situation is, as well as the type of banking product that you are looking for. They may be able to offer you a basic account that will store your money, but will not offer cheque guarantee or debt facilities.

Joint Accounts

If you are opening a joint account with your spouse or any other partner, then both of you will have to be present at the time of application. Additionally, both of you will have to provide complete identification and documentation, just as if you were opening accounts on your own.

Online Accounts

Online accounts have similar application processes, although they are often quicker at approving your status. There are a variety of ways that online accounts verify your identification. Although some do require copies of your documents, others will accept a proof by proxy, such as your registration with another bank or a government institution.