New type of bank account

[mauritius]

Hi guys,
I havent been on here for a while, I was kinda having a good relationship with citi for a while, when oops I forgot about a cheque for £10 I wrote a week previous. Bang, £25 charge for my account ending up £2 overdrawn....what a bunch of retards! The reason Im writing here, is to see if anyone has come across a new kind of account called 'think banking'? for an administration fee of £12.50 per month, someone will personally ensure all your bills are payed and the remaining is released for you to use, therefore no charges (apart from the fee). Im sorry I havent explained it very well, but the website is thinkbanking.co.uk if anyone has had any dealings with them? or what is everyone elses thoughts on this?
Im really getting annoyed with banks now, I think Ill end up with my salary paid directly to under my mattress!

[smashedbobo]

Hi looked at the website. RBoS will be holding the account. Not sure how it would work. Ok your salary goes into the account, they pay all your bills first then put the rest to a card account for you to use. So no more charges. What about the monthly fee they will charge for making sure you dont get any charges. I dont think so. Not for me. They have had more than enough from me already. And my mattress is rather comfy now. It gets softer every week. And guess what, for now that is where i will be leaving it.

[mauritius]

I know what you mean, but im just so fed up of banks being unfair that Im starting to think £12.50 is reasonable for this kind of service, if it ensures I wont be getting any charges. Your right though, theyve had enough out of us already.

[CAGisforME]

£12.50 to do what exactly?

Basically, they will "hold" all the money necessary for your DDs and STOs etc to be paid and "release" the rest to you. How kind!

And what about any cheques you've written etc?

Who gets the interest on the "held" money whilst they are waiting for the DD originators to request it etc? I'll give you two guesses!!

Whilst I am sure that on the face of it this seems a good idea, personally I wouldn't pay ANYONE £12.50 for something I can do myself.

The simplest way is sure to have your salary paid in to your bank account, work out what your debits add up to and transfer the rest in to another account to use as your monthly "spends" if you can't trust yourself not to use the bills money!

Sorry, this is just my personal opinion, but I think it's unnecessary expense.

[CAGisforME]

Also just spotted this:

There is a one-off set up cost of £25 which is taken from the first credit to be paid into your account.

and this

You can choose to have a second card for additional account holders for £5.00 per month.

Personally I think this is a rip off!

Rbos get to keep the bills money for as long as necessary and earn interest on it, and you, whose money it is, get to have a Maestro card to withdraw funds and pay for things in shops/online.

What happens when you need to send money somewhere? What happens if one of your creditors/househol expenditure companies ask for more money (ie your subscription goes up etc) ?

Too expensive, not enough benefits and, in my opinion, cynically preying on those who are least able to afford it.

[mauritius]

Good points thanks for pointing them out. I tend to look at things like this with severly rose tinted glasses. I like your suggestion of opening another account somewhere to transfer the rest of the money after bills are accounted for.

[CAGisforME]

No problem Mauritius!

My "less than rose tinted specs" come from years working in the banking industry!

The suggestion would work in the same way as the account you mentioned, except YOU are in control ! (and not getting charged for the priviledge, as long as you are sensible!)

[sillygirl1]

This account has been around for a long time and was originally an account I had, don't believe them that they will take your money first, they will take "their" money first. There is also a nasty little £10 fee they charge if you haven't got money in the account on the 29th of the month (or they used to have on this account - I can provide evidence) and therefore overdraw you so they can charge further fees the following month.

The account also is used by several companies who set up IVA's so be very very careful, it could damage your credit rating having this account - I will have a look through my paperwork to see who set it up originally (I think it was Gregory Pennington...) and what their terms were then.

[CAGisforME]

Thanks sillgirl1 !

Not only is it great to have advice from someone who has used this account, but it also makes me feel less cynical! (or at least justified to feel so!)

[sillygirl1]

Glad to have been of some help - it was back in 2003/4 when I had this account - had I known then what I know now I would have taken a different route.

Experience is a wonderful teacher at times... but a hard taskmaster.

[mauritius]

Sillygirl1, can you confirm its the same company, if thats the case im staying well awaY! thanks for advice guys.

[sillygirl1]

Definately RBOS and obtained account via Gregory Pennington. I was in a lot of debt at the time and they were supposed to stop all action against me, ended up with a CCJ and attachment of earnings.... had I known then what I know now I wouldn't have taken that path. It was pretty much an IVA but without the legal status that comes with an IVA.

[sillygirl1]

Just googled the company and here is the link to the account, "Managed Account", and as I say I had this in 2003/4 and I got stuffed.....

The think banking bank account - Gregory Pennington

[CAGisforME]

Think Money is run by RBoS

However a quick google tells you that "Think Money" itself is owned by Gregory Pennington, as is Friendly Mortgages and Loans, Freeman Jones Debt Solutions, Wilson Andrews (Debt advice in Scotland)

I also found this:

Account opening and monthly management fee payable. Personal bank accounts only. Proof of identity will be required.
The think banking account is a managed bank account run by think banking and held with the Royal Bank of Scotland.

think banking, Pennington House, Carolina Way, South Langworthy Road, Salford Quays, M50 2ZY
Company registration number: 05530040. Registered in England and Wales.
The think banking card is issued by Newcastle Building Society pursuant to licence by MasterCard International Incorporated or its affiliates.
Newcastle Building Society is authorised and regulated by the Financial Services Authority and is entered in the Financial Services Authority Register
under Registration No. 156058


Cynical?

Moi?

[smashedbobo]

Never let it be said. x

[mauritius]

Case closed for me guys, Im staying well away, I just started using microsoft money manager so I think Ill take my chances with that. Thank you so much for the help, I woulda just waded straight in, started using this account and really got myself in the sh*t. Think It might be handy to keep this post active, incase we find any more developments with these guys!

[CAGisforME]

I'm glad we were able to allow you some reflection time!

Often, as is said time and time again, if it looks too good to be true, it is.

My recommendation stands Mauritius, get your salary paid into an account, work out what you have to leave behind every month to cover the bills (with a little "movement") and transfer the rest to another account. That way you know your bills are covered and when your "moved" money runs out, you'll have to wait until payday!

[mauritius]

Yes, Im looking into another account as we speak to move 'my money' into! I may end up just drawing it out and keeping it locked away indoors!

[1970]

While I agree with all the comments here, it may be useful if you need a maestro card and you are prepared to pay the monthly fee.

I have access to a fair amount of cash every month (albeit at the wrong time) but due to a business failure some years ago I cannot get a cheque g'tee card or decent debit card apart from Electron which is not accepted in some places (ie over the phone).

So on the face of it, I would have to look at the possible benefits of such a facility for the sake of £150 a year. Especially when it costs me £10/£20 a time when I send a BAC's or CHAP's payment to make a purchase or large payment direct from my basic Halifax account.

Just a thought.

1970

[rockinrodders]

Thats strange Ive got a Halifax Visa Electron card and I can't remember the last time it wasn't accepted. I use it in all shops, online and on the phone.

Usually if they say they dont accept electron, then key it in as a normal Visa card and it goes through.

I would say that less than 10% of places dont take it