[alpha]

Hi Guys,

Lloyds TSB have just put up their bank charges again for business users. I have just searched the web and it seems that Alliance and Leicester are offering free business banking anyone using them. And is it true. Thanks.

[spotless2000]

Hi

I've just started using them.

Bonus Builder Current Account  - First 2 years all free!

Then you change to their FREE Business Current Account - Unlimited Cheques free, deposit cash up to £1000 per month FREE then 20p per £100 after that.

Seems a pretty good deal.

Also you can use post offices for transactions.

http://www.alliance-leicestercommercialbank.co.uk/content/SU000001.asp

[windows_chepstow]

What's the advantage of having a business account over just using your personal account?

Apart from looking a bit more professional after you've already won your quote; I can't see the attraction.

Is there a criteria when it becomes worth it?  For example if you reach the VAT Registration stage (which we're no-where close too) is it worth it then?

What's wrong with using your personal account?

From a self-assessment point of view, they don't require your bank statements, just your figures, which would - very probably - be more than what you pay into your bank.

[Moderator David@stives]

can you pay your cheques in at the post office with an alliance and leicester account

Dave

[dave0123]

am with these good bank.. yes u can post your cheques into the post office and they give u a recipt which also helps if they get lost in the post

i thought after the free 2years banking and u go for that standed current account u have to put in at least a 100 per month

[spotless2000]

Tosh

I think you hit the nail on the head - Professional!

If a customer writes out a cheque to a company name, they know its going to the company.  If its written out to an individual - is it going to the employee or the company?  It's not fool proof, but a friends passed experience with an employee he though he could trust made my mind up!

dave0123

I think its £1000 per month that you have to put into the standard current account after 2 years not £100.  A slight negative point but I don't think it will cause me a problem.

[windows_chepstow]

Tosh

I think you hit the nail on the head - Professional!

Ah, a business account is only usefull after you've already won an account.

I've never heard of anyone gaining an account on the basis of having a business bank account; nor have I ever heard of anyone losing an account because they haven't.

So their validity is minor in my opinion.

[busydaffodil]

Am with you on this one Tosh. 

From the off, for the purpose of IR & Bank, I trade as "Mrs Harris Trading as Joe Bloggs sweepers"(an example only).

Cheques can then be written out to MRS HARRIS and paid into a normal account in that name.   Whats the point of paying all those charges when you can do the same for free.   If your a sole trader, it doesnt make sense.  Obviously for a bigger set up, it would be necessary.

[simbo]

i am with Ltsb at the moment, question is prob daft , but can i just change to a different bank when they start charging me.
cheers simb0

[farkam]

Hi

I've just started using them.

Bonus Builder Current Account  - First 2 years all free!

Then you change to their FREE Business Current Account - Unlimited Cheques free, deposit cash up to £1000 per month FREE then 20p per £100 after that.

Seems a pretty good deal.

Also you can use post offices for transactions.

http://www.alliance-leicestercommercialbank.co.uk/content/SU000001.asp

Can anyone who is not registered (not a company or sole trader) apply to that account? What documents do they normally ask? Can someone just put a business name(which is not registered yet) in application form and apply? is it right?
many thanks

[spotless2000]

From memory you have to be a sole trader, partnership or Ltd company.  From a Ltd Company point of view, they wanted to see documents from Companies House to prove the company existed.  Also the documents to prove your i.d. e.g driving licence etc. need to be submitted.

[stephen d]

i bank with alliance& leicster and it is free but their internet banking is rubbish and they charged me £ 7.50 when someone bounced a cheque on me the other week which i am still fighting over.

[sunshine windows]

I'm with Tosh on this one. One man band operations needn't fork out all those expenses. I just set up an extra current account with Nationwide under my name and all cheques are going through free of charge. There may becaome a time when they cotton on and start charging me but until then it's free banking all the way.

Sunshine

[darrenlee]

hi

you should always seperate buisness from personnel accounts
makes doing your book keeping simple, and inland revenue prefer it, just dont bank £1000 in buisness account 1 month
and £1500 in personnel in same month. ?

also lets you build a credit file on your buisness makes life a little easier if you buy property or need loans, ect for the buisness.

the big plus your keeping buisness away from personnel,
makes it a lot easier for you to budget, you no your overheads for the buisness
and you know your overheads for yourself.
set yourself a wage to be transfered each month, this way you know where you stand and what is yours to spend,

ive done it both ways
you guess what i do know

darren

[Paul Coleman]

Hi Guys,

Lloyds TSB have just put up their bank charges again for business users. I have just searched the web and it seems that Alliance and Leicester are offering free business banking anyone using them. And is it true. Thanks.

I'm not saying it's the best but it's the one I happen to use.  At Abbey, I get free business banking "forever" so long as I do not deposit more than 100 cheques in a calendar month.  The cash limit is £3,000 I think.  You must use the cashpoint to make these deposits though.

[datec66]

@ Tosh

I agree with you mate on this 1.  However, 1 slight glitch I hope you can help me on.  You said you were changing your customers onto a standing order payment last month. This would be superb for me & probably most people. But, with a personal account, how do you reconcile your accounts? I've tested my accounts with the 1st line of address as a reference. When it credits my other banks account, it shows my name, no reference at all. A business account would probably show you the reference, I'm not sure though.  So, does any bank show you the reference used???  I know smile.co.uk doesn't, just trying the Halifax now.

If anyone can find a personal account that does, please share with me.

Thanks alot

Carl

[Paul Coleman]

@ Tosh

I agree with you mate on this 1.  However, 1 slight glitch I hope you can help me on.  You said you were changing your customers onto a standing order payment last month. This would be superb for me & probably most people. But, with a personal account, how do you reconcile your accounts? I've tested my accounts with the 1st line of address as a reference. When it credits my other banks account, it shows my name, no reference at all. A business account would probably show you the reference, I'm not sure though.  So, does any bank show you the reference used???  I know smile.co.uk doesn't, just trying the Halifax now.

If anyone can find a personal account that does, please share with me.

Thanks alot

Carl

I'm with Abbey.  I tried this as an experiment several years ago.  It did not show me the reference either.  I'm told that the reference does actually appear on the monthly paper statement but I would need to know it much sooner than that most of the time.  It didn't seem to matter whether it was a business or a personal account either.  I made the payment £0.01 (well, I did say it was an experiment) in both directions, all set up in the other account with reference etc but the receiving account would not reveal the reference number.  I even phomned them up to discuss it but, when you phone these call centres and want to discuss something that is so non-standard, the seem to think you've come from Mars - especially if many of the call centre staff don't have English as a first language.

[windows_chepstow]

I only have around 20 standing order customers and with my bank; the Halifax; no matter what I write in the reference, it always appears as the customer's surname and initials.

You could also charge them a penny-or-two-or-three cheaper so you can distinguish whose payment you've received.

I do like the standing order thing though.

One of my customers who works long hours; I haven't seen for around eight months.  I just clean his windows and leave a 'paid chit' each month.

I check all my payments with Halifax's internet banking.

[datec66]

That's a good idea with a penny or 2 price change. I currenty work for smile.co.uk part time at weekends & winda clean during the week (well, only a few days, gotta have some family time etc).  I can look at a report which always shows the reference used, so I bet all banks do. Only thing is, most call centre staff don't know what they're doing, newbies etc. If I left, which I want to, I'd be stuck then. You can't keep asking them to check for you, (it takes ages to look by the day).

So, I think knowing their names or the price change is the way to go. I have internet banking with smile & the halifax and you're right tosh, it does always show their name, but no reference.  Have you noticed though, direct debits always show the reference on the statement. It's a pain the banks don't do this for standing orders

Thanks for that mate. I'll try to set up as many as possible over the next few weeks, either getting their names or change the price.  Names preferably though, I'd lose too much with around 150 houses

[Paul Coleman]

That's a good idea with a penny or 2 price change. I currenty work for smile.co.uk part time at weekends & winda clean during the week (well, only a few days, gotta have some family time etc).  I can look at a report which always shows the reference used, so I bet all banks do. Only thing is, most call centre staff don't know what they're doing, newbies etc. If I left, which I want to, I'd be stuck then. You can't keep asking them to check for you, (it takes ages to look by the day).

So, I think knowing their names or the price change is the way to go. I have internet banking with smile & the halifax and you're right tosh, it does always show their name, but no reference.  Have you noticed though, direct debits always show the reference on the statement. It's a pain the banks don't do this for standing orders

Thanks for that mate. I'll try to set up as many as possible over the next few weeks, either getting their names or change the price.  Names preferably though, I'd lose too much with around 150 houses

I have a number of customers with duplicate names (including initial).  That could prove awkward.  However, I suppose that I could make sure that where a name is duplicated, the amount isn't.  Another difficulty potentially is that the payment could come from either partner's bank account.  This may be traceable if they are married (same surname) but more tricky if the surnames are different.
On balance, the likelihood of an untraceable payment is unlikely - especially if you plan it well.  Also, the takeup of paying this way is unlikely to be overly high anyway.  If I were to do this, I would not opt for a regular standing order as it could force me to work when I might need a rest (e.g. I had my first half day back today following a virus).  I would prefer a straight bill payment facility to be activated by the customer each time they wish to pay.

[datec66]

Thanks for that mate. This could be a problem.  I was thinking of posting a refund through their door if I didn't clean for whatever reason last time round.

Well, a good old bill payment will have to be it then (As I still work for a bank, this is a standing order payment, but only gets paid when you say so).  I think alot of customers might use this only if they miss me collecting (hopefully anyway ). 

I'd just love to sort this out.  With more and more people using the internet at home and internet banking, it's a piece of cake to pay anyone for them.  So, I'm hoping to cash in on this.  Also, nearly everyone uses ebay, so I thought of paypal, reference can be used then, but the fees put me off. It's not as easy as I thought collecting the dosh!!

[datec66]

I don't believe it. I've just checked my smile.co.uk account and the reference is showing. I did a bill payment from my halifax account, checked when money went in yesterday, it didn't show. Checked today, now that the systems have updated overnight and it's gone off 'forecast', the reference is showing. It's giving my name and my address, eg customers account name and the reference they used, shown to me online 1 day later.  This solves it for me then using a personal account. Doing my advertising tickets & leaflets now for my customers lol!!!!

[gaza]

ANYONE ON HERE USING PAY PAL FOR PAYMENT?

  GAZA

[Ben Walker]

can you pay your cheques in at the post office with an alliance and leicester account

Dave

What about cash too??

[Mick (UHPS)]

I have an A&L business acount. Yes you can...you stick em' in an envelope with a cheque deposit slip, take them to any PO and they just stamp on yer stub...ooer misses. Cash is easy too, you hand it over and they swipe it straight in to your account via your card.

[WavieDavie]

I'm not saying it's the best but it's the one I happen to use.  At Abbey, I get free business banking "forever" so long as I do not deposit more than 100 cheques in a calendar month.  The cash limit is £3,000 I think.  You must use the cashpoint to make these deposits though.

You can get prepaid envelopes from Abbey to post off cheques, but you must write your a/c No and sort code on the back of them all - I got a rubber stamp for that.

And the free banking includes no charge for bounced cheques - i found that out a few weks ago - but bunged on an Admin Charge of my own to the customer for the hassle.

[Ian_Giles]

I detest business bank accounts for small sole traders
A couple of the building society/banks seem to be doing good deals at the moment, but the big banks eventually rip you off after the grace period.
Charged per cheque you pay in.
Charged per cheque or debit card payment you  make.
Charged a monthly management fee.
Charged for the cash you pay in.
Charged for every standing order you have.
charged for direct debits

Sod that for a game of soldiers

After many years I closed my business account down, I now use my 'free' personal account, with it's 'free' overdraft facility.
I have no problems separating business from personal where my tax return is concerned.

I have no time for Banks, they're just a necessary evil so far as I'm concerned.
They make obscene profits and screw us little people for every penny they can, and we get less for our money every year too.
Call centres in India.
Unable to contact your branch directly.
Closing of so many small branches

Bring back Bonnie and Clyde

Oh and of course there is also the annual review too, where they will try and tell you how they have to increase the management fee's they currently charge you to cover the running costs of your account.....
Then they try and sell you a pension, get you to re-mortgage with them, insure your house, your life, your car and some health cover thown in too.
Got an overdraft?
Credit card debts?
maybe a couple of other loans, store cards and so on?

Piece of cake
They'll try to get you to take out one all encompassing loan and you then have just the one payment to make.
Then they'll rip your arm off and beat you with the wet end until you agree to take out the loan insurance.
Of course, they don't tell you they are on a lucrative percentage for getting you to take out the bloody insurance will they

I hate banks!

But I'm so mild mannered about it you'd never know


Ian

[Morph]

So, you won't be using Alliance & Leicester free business banking then Ian?

Actually, I use free business banking.  My gripe is that I can't park anywhere near the place.  It's right in the middle of the shopping precinct.  So I do all my cheques by freepost, which don't clear for 5 working days usually, obviously can't bank cash by post, and if I want to draw any cash out unless I use their machine there's a fee.  So I wish I hadn't bothered.  But same as Ian, I got so sick of the charges being tickled up all the time.

Wasn't it good when you made an appointment to see your bank manager and he not only existed, but he knew what he was talking about and he was older than your youngest child!

[Mick (UHPS)]

I detest business bank accounts for small sole traders
A couple of the building society/banks seem to be doing good deals at the moment, but the big banks eventually rip you off after the grace period.
Charged per cheque you pay in.
Charged per cheque or debit card payment you  make.
Charged a monthly management fee.
Charged for the cash you pay in.
Charged for every standing order you have.
charged for direct debits


Ian

I dont think that A&L charge for any of these and I dont think there is a 'grace period' as such, thats why I went with them. You can use any post office now, it was just 2 selected, so thats handy. I had a cheque returned when I was using my personal account and the bast*$&'s charged me for the privilege, A&L dont. When I was looking there were many that were charging as you have stated though.

Have a look at the link

http://www.alliance-leicestercommercialbank.co.uk/content/SB010002.asp

Mick

[Ian_Giles]

As I said, some of the building society type banks are doing good deals, it's the big 4 that really hiss me off.
Currently I get a really good deal on the particular account that I have, so I'm lucky in that I don't need to shop around to see whats out there.
In fact the deal I have is better by far than any of the offers that my own bank (Lloydstsb) can offer to current customers.
The deal I had/have no longer exists, and they can't take it off me either

I fell out with a credit card company a few years back, so I left it 5p in credit and they sent me statements for a few years after
A petty way of getting a little of my own back on them, but cos I was 5p in credit I weas costing them money and not me...I liked that angle

Ian

[alpha]

Well that seems to have got some thinking going on. The reason I mentioned is that one of the major high street banks is wanting to take more of an interest in personal bank accounts that are being used as a business or sole trader account. On the small print of your personal account it does tell you that it should not be used for anything but your personal use. I.E not for clearing funds from work. A plumber in our locality recently found this out to his cost. Please just be aware.