Yes you can open a sole trader business bank account with bad credit, however, you will need to look outside of the high street banks to do so.
The biggest issue with applying for a sole trader business bank account with any of the high street banks is they will all perform a credit check.
So if you have any form of bad credit your application will almost certainly get declined.
That will include those who have missed paymetns on their credit file, as well as CCJs, defaults and of course Bankruptcy and Insolvancy.
It is also wise to remember not to multi-apply, as every time you do they will perfrom a credit chack and leave a footprint of that on your file.
That in turn could make your report look worse than it migth already be.
So if you need to open a sole trader business bank account with bad credit, what are your options?
The best options are those that will offer a business account without the need of a credit check.
These new types of FCA regulated banking providers will all offer all the key features of a normal bank, like online & mobile banking, Direct Debits and a card.
The only thing they normally don’t offer is a branch network or the ability to pay cheques or large amounts of cash into the account.
There will not be any credit facilities, so no overdraft options, meaning you can only spend what is a cleared balance in the account.
There are a number of these new types of options available, all of which offer slightly different facilities and options.
As such it worth ensruign you choose the best sole trader business bank account that works best for your business and not just the one that looks the cheapest.
The various options could include, multi currency accounts, pay-in cheques, International transfers, inclusive accounting facilities, additional accounts, limited account balances, multi-user options, some branch access to name but a few.
Do you need help to decide what sole trader business bank account will work best for you?
Speak to us on 020 3286 3929 or Apply Online Here