Fee-free basic bank accounts

A basic bank account works like any bank or current account, so you can:

• receive payments, like wages, benefits and pension 
  
• pay for things or take out cash with a debit card
  
• transfer money to pay bills or other people, including regular payments like Direct Debits and standing orders
  
• manage your account using mobile and online banking – and often over the phone, in branches and at the Post Office.
  

It just won’t offer a cheque book or overdraft, so you won’t be able to spend more than you have. 

Basic bank accounts are free to set up and use.

There aren’t usually any fees for a basic bank account. However, you might be charged if you:

• use your debit card overseas or in a foreign currency – there’s often an exchange fee and sometimes a spending and cash machine charge 
• ask for copies of statements
• need to make a special type of payment, like same-day CHAPS payments.

You might also have to pay a fee if you try to pay a bill but don’t have enough money in your account – although it’ll be the company you’re paying that will charge you.

Basic bank accounts are normally available if you don’t qualify for a bank’s standard current account. For example, you might have:

• a bad credit history
  
• an Individual Voluntary Agreement (IVA)
  
• a Debt Management Plan (DMP) 
  
• a Debt Relief Order (DRO)
  
• been declared bankrupt.

You’ll need to be at least 16 to open an account, or over 18 for some banks. You can open a basic bank account with someone you trust if you both qualify. See joint bank accounts for more information.

If you’re under 18, a children’s bank account might be better as it often turns into a full current account. For reviews, see MoneySavingExpert’s best children’s bank accountsOpens in a new window

Our compare bank accounts tool has a ‘fee-free basic’ filter so you can compare many different options.

You'll often need to apply for one of the bank’s other accounts first, such as their standard current account. You can usually do this online, by phone or in a branch.

If you’re not eligible, you should be told if you can get a basic bank account instead.  

Most banks will ask for a driving licence or passport to prove your identity – or a photo of these if you’re applying online, often along with a selfie.  

If you don’t have these, check if they’ll accept other documents. This is normally listed on their websites.

This could include a letter confirming who you are and where you live from:

• the Department for Work and Pensions
  
• HMRC
  
• JobCentre+
  
• your local council
  
• your GP
  
• a minister of religion
  
• your social landlord
  
• an armed services officer
  
• a warden of sheltered accommodation, hostel or refuge
  
• your care home manager
  
• your employer, college or training provider.
  

Or letters about your:

• benefits or State Pension 
  
• Blue Badge.
  

You might have other documents to prove your ID and address if you’re: 

• an international student 
  
• a migrant worker 
  
• a refugee 
• an asylum seeker 
  
• a prisoner 
  
• on probation.

It’s also worth registering to voteOpens in a new window as some banks use this as part of their checks.

If you don’t have the right documents, you could consider a prepaid card account  instead, where ID isn’t usually required.

If your application is declined, ask why. You should be told the reason unless your bank suspects you of fraud or money laundering.

For example, you could be refused if:

• you don’t agree to a credit check – you don’t have to pass one to be offered a basic bank account, but they use it to check your identity
• you don’t pass the ID check 
• they think you’ll use the account unlawfully or fraudulently  
• you’re threatening, abusive or violent towards staff.

If you think there’s been a mistake or you don’t agree with the decision, you can make a complaint. The other option is to apply to another bank. 

If you’re still struggling to open an account, there are other options to consider:  

• Credit union current account – run by not-for-profit organisations, but you might pay a monthly fee to get one.

• Prepaid card account – lets you spend and withdraw cash but you can’t usually set up payments.

A well-managed bank account often makes your life easier. Your bank might also decide to upgrade you to a current account with more features.  

Here are some top tips:

• Set up Direct Debits so you don’t miss bill payments, and standing orders for things like rent 
  
• Check your balance often – make sure you have enough money available for spending and payments (they might be stopped if you don’t) 
  
• Check transactions and report any you don’t recognise quickly – you’ll usually get a refund if it’s fraud 
  
• If you think you’ll miss a payment, ask the provider you’re paying for help – they will listen and provide ways to support you. See Talking to your creditor for help.

Your bank might decide to close your account if you regularly fail to meet their terms and conditions. This could include:

• opening another UK bank account
  
• not using the account in over two years or moving abroad  
  
• using the account fraudulently
  
• being threatening, abusive or violent towards staff.
  

If this happens, your bank will give you at least two months’ notice. You can use this time to appeal if you don’t agree. See our how to complain guide for step-by-step help.

If you have a problem with your bank or account, follow these steps.

1. Ask your bank’s customer services to put things right. 
2. If you can’t agree on a resolution, make a formal complaint – they have 15 days to investigate and give a final response if the complaint is related to payments. If it’s about anything else, they have eight weeks. If the bank accepts that they’ve done something wrong, they’ll set out what they’re going to do to make things right. 
3. If you’re still not happy, or don’t hear back in time, you have six months to take your complaint to the free Financial Ombudsman ServiceOpens in a new window. You’ll get an independent decision on whether your bank’s response was fair or if they need to do more.

For more information, see our full how to complain guide.  

You can order a free printed version of this guide, plus many others. All are available in English and Welsh.