How do I open a bank account, including if I have been refused?

Being refused a bank account is far more common than people assume, and it usually has nothing to do with income. Most refusals come from an identity or address mismatch, a thin credit file, or an unresolved marker from years earlier. All three are addressable, and there is a specific product — the basic bank account — designed for exactly this situation.

What you'll need

• Photo identification
• Proof of address
• National Insurance number if you have one

Step by step

1. Decide what kind of account you need.A standard current account with an overdraft facility, a basic bank account with no overdraft, or a fee-paying packaged account. The first two are free to run.
2. Gather identification.Passport or driving licence usually satisfies identity. A recent utility bill, council tax or rates bill, tenancy agreement or benefit letter usually satisfies address. Banks list exactly what they accept.
3. Check the electoral roll first.Being registered to vote at your current address is the single most effective thing you can do to pass an identity check, and registration is free on GOV.UK.
4. Check your credit file before applying.Errors, old addresses and someone else's data linked to yours all cause refusals. You can see your file free through the credit reference agencies.
5. Apply — usually online in twenty minutes.Most banks now verify documents by photograph in an app. Some still require a branch visit, particularly where documents are unusual.
6. Ask for the reason if you are refused.Banks do not have to give a detailed reason, but they must tell you if the decision was based on a credit reference agency and which one. That is your route to the underlying data.
7. Apply for a basic bank account.Major banks are required to offer them. They have no overdraft and no credit check of the usual kind, but they take direct debits, standing orders and a debit card.
8. Correct anything wrong in your file.Dispute errors directly with the credit reference agency and with the lender that reported the entry. Add a notice of correction where circumstances need explaining.
9. Set the account up properly once open.Register for online and app access, set low-balance alerts, and add your salary or benefit payments before moving direct debits.
10. Use the switch service if you are moving from another bank.The Current Account Switch Service moves payments and closes the old account within its stated timescale, and it carries a guarantee.

Tips

• Register on the electoral roll first and wait for it to appear. It resolves more identity check failures than anything else.
• Basic bank accounts exist by regulatory requirement. If a branch says they do not offer one, ask again and refer to the account by name.
• If you have no fixed address, some banks accept a letter from a hostel, care home, or a support organisation. Ask Citizens Advice which local banks are used to this.

Common mistakes

• Applying repeatedly after refusals — Multiple applications in a short period leave marks on your credit file and make the next application harder. Find the cause first.
• Accepting a packaged account with a monthly fee by default — The bundled insurance is often duplicated elsewhere, and a free current account does the same job for nothing.

If it doesn't work

Questions people ask