Opening a bank account

You are advised to open a bank account before you come to university.

Shop Around
Services
Interest Rates
Savings
Banks and Building Societies Websites

Shop around
• Make sure you select an account that offers the services you need
• Don't be taken in by give-aways - it's no good getting a free mobile phone if the account isn't suitable for you.

What services might you need?
• Cash card - to access money from automated cash machines.
• Debit card - no need to carry large amounts of cash or write cheques.
• Cheque book and guarantee card - may be necessary to pay bills and useful if you are running low on cash as cheques take a few days to clear.
• Combined card - a cheque guarantee, cash and debit card in one.

Interest rates
• Interest rates on overdraft facilities vary from one bank to another - its best to look around for the best option.
• Current Accounts - generally offer smaller rates of interest on the amount in your account, again these rates vary so shop around.
• Savings Accounts pay higher rates of interest than current accounts but may not offer the same services. There may be limits on how much you can withdraw without notice. Some limit the number of occasions you can withdraw money within a certain period. This may be an advantage if you think you will be tempted to spend money you haven't budgeted for.

Open two accounts
It may be a good idea to open two accounts:
• savings account - where most of your money remains and gathers interest
• current account - which is easily accessible.

Banks & Building Societies websites
When your current account starts to run low you can transfer money from your savings account. This method may help you keep track of your financial position as you will have to monitor how much you have and which account it is in. This method could help you to budget to spend up to a fixed amount each week. You will also need to remember that some weeks may be more expensive than others.

  Find out about opening a bank/building account from: 
Abbey
Alliance & Leicester 
Barclays Bank 
Cheltenham and Gloucester Building Society  
Co-Op Bank  
Halifax Building Society  
HSBC Bank  
LloydsTSB  
NatWest
Royal Bank of Scotland