Where could i open the most simplest bank acount if im in debt and have a bad credit history?
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824MikeGG1 postedThe problem is that the simplest accounts require you to be in credit all the time without interest and that means that you would be paying more interest where you are in debt.
You need to concentrate on reduction in spending and paying off the debts with the highest interest rates, while still paying off any fixed term loans. As any debts get paid off, there should be more available to pay off others.
Interest is the real killer but if you pay off more with a higher rate and less with a lower rate then that will save you money which can pay off more. You must pay any minimum amounts though to avoid default charges.
Good luck
Mike
Posted on 28 November 2010 |
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4CCCS posted
Hi problemcake
You could try opening a basic bank account.
Banks offer different types of basic account, but most come with a cash card and the use of direct debits.You are not able to borrow additional money other than what you have put in and do not get an overdraft. The bank will not check your credit rating for this type of account.
As long as you meet the bank or building societies conditions, you should generally be able to open one.
I have attached a link to a booklet which gives you a list of basic bank accounts you could consider.
http://www.moneymadeclear.org.uk/pdfs/bank_accounts.pdf
Hope this helps
Regards
Sue
Posted on 30 November 2010 | Love 0 loves
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0Problemcake posted
Thankyou for advise Mike and Sue.
Posted on 01 December 2010 | Love 0 loves
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0lavendar64 posted
Sorry I have only seen this thread.
Problemcake, you could also join a Credit Union as an alternative to conventional banking! A Credit Union will issue you with a cheque book and card and you will also have the option to save with them on a regular basis. This will help to give you a buffer of a small loan in the future should you require it with a small interest rate to pay it back. You can only borrow a certain amount dependent on your savings level and you will not be encouraged to get into a greater debt than you are already in.
My mother is Treasurer of one of the biggest Credit Unions in this country and is passionate about helping people to help themselves and be independent on their own two feet. The one thing you have to remember with a Credit Union is that you are a member with a common bond. You either work or live in the area covered by the Credit Union that is closest to you.
Do find out about your nearest one, you may find it ideal for your situation.
Best wishes, Debi
Posted on 24 February 2011 | Love 0 loves
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