Banking Problem & Being a Sole Trader

[Chris425]

I've been a sole trader retailing craft kits online for 9 months and have banked with RBS for the same length of time. I process my payments through PayPal and withdraw to my personal current account. When I opened the account I was told they wouldn't give me a debit card till I could show money was going through the account.

I wasn't making much to start with but in December my sales started to take off and I made £1,200 (small but it's a start) which I transferred to my RBS account in several instalments. I applied for their Maestro debit card and they said NO because I didn't have a regular wage from a JOB going through it.

Now I'm running low on stock and need a debit card VERY BADLY as I can only purchase the materials I use online (I got my OH to put purchases through his visa card before but now he's got rid of it).
They won't even give me a cheque book.

Can anyone please advise what to do or recommend a bank that give a debit card as a matter of course with a personal current account.

I also wonder if being a woman has counted against me, has anyone else suffered this kind of discrimination against the self employed?

Sorry about the long post and thanks to anyone who can help me.

[Jayne]

Hi,

I'm a woman sole trader. I have a business account with Lloyds tsb and I have a card and cheque book, plus 18 months free banking :D

Jayne

[Pebble Communications]

I don't understand why you want to do it through your personal account either?

Two options:
Get a personal account that offers something like a solo card. These are similar to debit cards but only access money you have in your account and there is no possibility of going overdrawn. They even give these to school kids so there is no earnings requirement.
Get a business account. Sole traders can have them you know. Mine is with Abbey, lifetime free banking and debit card.

[Pebble Communications]

Oh yes I also have business cheque book.

[F5 Webdesign]

I use RBS for both my personal and business bank accounts, and have never had any problems with them. They've been very helpful in setting up the finacial side of my business.

I can't understand why they won't allow you to have a debit card or a cheque book because you can only use them to spend your own money, so why should it matter if you have a regular income? I thought those features were standard with most bank accounts.

Where about are you located?

[clairemackaness]

When I started my recruitment business 18 months ago (now closed LOL) I went to Barclays and they gave me a cheque book and debit card no questions asked.

Personal account wise Abbey National are great and give you everything up front too.

[bwglaw]

Chris425 - do you actually know your credit history? Some banks use their own credit scoring system, like HSBC as well as contacting a credit reference agency. HSBC did a check when I asked for a Switch card, as well as their own scoring.

If a bank account has not performed well they will refuse, i.e dishonoured payments, unauthorised overdraft etc. This reflects in the banks own scoring. HSBC require you to have a 'behaviour score' of 40 before getting a Switch card

[VeryMark]

The best business bank for personal service is Whiteaway Laidlaw, a small bank but part of a big group (GUS) and you can pay in and withdraw through Royal Bank of Scotland or NatWest.

Whiteaway Laidlaw have no call centres and you always speak to your own personal manager.

[autolycus]

Get a business account. Sole traders can have them you know. Mine is with Abbey, lifetime free banking and debit card.

At least if you get a business a/c (at whatever bank) they can't complain about lack of salary from a job going into it!

Abbey account is good so long as you don't need a business banker in branch. Comes with a Visa debit card as standard and free banking for life.

Failing that, I would suggest a stroll down the high street and a chat with the business banking rep at each of the big banks. Explain the problem and see who seems most interested in / able to help.

[Claire B]

I now get free business banking with the coop, via the Federation of Small Businesses.

A debit card came with that automatically. I haven't tried to request an overdraft yet, but I imagine they will be quite helpful when the time comes!