Business Bank Account

[chelle0904]

Good Morning,
I need the help from you business brains on here today!

I currently work for a small, unsecured loan company. We are totally self funded and have provided this service for many years in our local community.

Everything was fine until last year when our bank decided they no longer wanted our money and gave us the 60 days notice to close the account.
they were however not very happy when we requested the funds in cash....but we did not have a bank account to transfer into...doh!!!

Since then, the situation has become a nightmare and we have been unable to find a bank who will take us! As i mentioned previously, we are self funded and require no borrowing, therefore reducing this all so popular 'risk element' and yet it is always the same answer....'computer says no!'

It is so bloomin frustrating....please please please...HELP ME

 

[groovyjon]

What was the reason the bank gave for closing your account?

 

[Christine Hough]

Is there any transaction which the bank may have (rightly or wrongly) thought money laundering? If so they may have marked your card so to speak.

I have heard this happen before and I am not sure what you would do as you have now left your previous bank. (I assume the 60 days is up?) But knowing the problem is a start.

 

[chelle0904]

thank you for your replies....
groovy, the bank gave us no reason for the closure, however, when pushed, they did say it was a 'directive from above'.....
christine: the account was run really smoothly and no transactions could have been mistaken for money laundering (i know where you were coming from on that score, and would agree with any bank closing an account with questionable dealings)...there was no reason to close and the account had been there for a number of years.
its just so bloomin frustrating how the banking gods can dictate that a small well known and respected company may have to close just because they deem us to me the poor relation to their universe!
bitter? me?

 

[alice_p]

that is a frustrating situation to be in, why have other banks decided that they cannot help you? what reasons have they given? Seems strange to think a bank would just 'drop' you like that, considering you're a long running business with no obvious money issues. There are definitely companies/banks that should help you, just need to clarify why those banks won't help you, to determine your search. If that makes sense! Hope your issue can be resolved!

 

[arcon5]

Push come to shove... Cashplus ?

 

[Moneyman]

I take it you have all the certification for a lending business.
if so try not to be too specific with the banks when it comes to saying what you do. if you claim to be a credit advisory service or a debt management service rather than a lender it might put you in another category.

you probably have the right kind of staff to help with changing their minds. "Well mr banker lovely bank you have here. wouldn't it be unfortunate if something awful was going to happen to it."

 

[LMDServicesUK]

Hi Chelle004

When you say local community,

Do you operate as a Credit Union / operate in the Third sector at all, as you mention you are a local community based business ?

If you do I can suggest a contact at Unity Trust Bank (they specialise in Third Sector / Charitable sector) who MIGHT be able to help you..

Please PM me if you would like more details

Kind regards

Mark
LMD Services

 

[aronpaul_martins]

Hi there,

The situation is really difficult. Try online banks something like paypal or something not sure if that will work but you can give it a try as I think Paypal can be good source.

 

[arcon5]

PayPal aren't a bank

 

[David A]

I guess the OP does Home Credit (Provident being the biggest player - but they won't have problems with banking, as the banks will be taking them to lunch pretty regularly!).

I too have heard of this, and the bank's stance will not be due to any problems with how the OP is operating his account. The nearest one contact got for an explanation was that HQ regarded Home Credit as equally toxic as payday loans, and they did not want to be associated with a sector with such negative publicity (What a bloody cheek, I thought, after some of the near criminal and unethical practices of all the main stream banks in recent years. Their publicity could not be any worse!!).

To me, a business cannot operate without banking facilities, and for all the mainstream banks to be taking this attitude is atrocious - but very difficult to stop. If the OP belongs to a trade association, I would suggest that he makes contact and see what they can do.

All I can suggest is to try one of the newcomers like Metrobank, or a European/Foreign bank. One chap I know moved to Handelsbanken - but you need a turnover of £1M+ for them to take you on.