Advice on choosing a bank account

You must have a bank account to be able to apply and receive Universal Credit. You can find advice about the types of bank accounts available.

If you have a poor credit history or low income you may find it difficult to open a current or standard account. In this case you can open a fee free or basic account. All of the major nine banks in the UK are legally obliged to offer you this service.

Unlike standard accounts they do not have as many benefits and you cannot go overdrawn with a fee free account. You can have your wages or benefits paid into them though as well as withdraw money from ATMs, pay regular bills by Direct Debit and use a debit card to pay for things online and in shops. Further information on fee free accounts.

Alternatively, you may want to consider setting up an account with a Credit Union.

Credit Unions are a fast growing alternative to banks and building societies. They are not-for-profit and provide a range of products including current accounts, savings accounts and loans.