What is a current account?
The most common type of bank account in the UK is a current account. This lets users withdraw cash, set up direct debits and standing orders, without having to give notice. Money can also be paid in (deposited).
If you don’t have a bank account already, get one! It’s considered to be the most important financial product you’ll ever have and it’s the best way to keep your money safe.
Once you’ve got a bank account, you can get started on the road to financial security and start budgeting your spending. Our budget planner can help you out.
How much does a current account cost?
Current accounts are mostly free unless you opt for a packaged bank account where you pay a monthly fee for additional benefits. However, you may be charged for using your bank account overdraft. Before opening your account, make sure you’re clear on what costs you could incur for your bank account usage.
What is the best current account for me?
Depending on your needs, you should think about what is most important when managing your money.
Comparison sites are a natural place to start when you’re trying to find the right current account. Check out the Choose Wisely bank accounts compare table to have a look at your options.
Can I get a joint current account?
Joint bank accounts are available for you to share with partners or housemates and are offered by most banks and building societies. Both you and the additional account holder(s) can make transactions, view and make withdrawals or deposits and hold a bank card to the account.
Generally, as long as you and your potential joint account holder pass the bank’s credit checks and requirements, you’ll be able to open up an account together, hopefully improving the transparency of your joint finances.
Can I get a current account with bad credit?
If your credit history is unfavourable, then it might deter banks from offering you a current account. Overdrafts are almost like a small, no-notice loan from your bank - it is not your money! However, if you’ve got bad credit, you’ve still got options when it comes to keeping your money safe.Basic bank accounts are a good place to start if you feel like you’ve already exhausted all your options. Even if you’ve been declared bankrupt or you’re facing debt issues, you could still be accepted for an account. Compare basic bank accounts here.
Can I get an overdraft with a current account?
Often, current account providers will offer you the opportunity to apply for a planned overdraft. This means you could have zero or reduced fees up to a certain amount each month. After you’ve hit that amount, you could see a dramatic increase in the cost of fees so be cautious.
Your cash needs to be kept safe and using a current account is a great way to do that. A current account could help you manage and stay in control of your money. But as always, know where you stand, compare your options and Choose Wisely.