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Last updated:
19/10/2018

Bank accounts and debt

  1. Overview
  2. Priority and non-priority debts
  3. Bank accounts and debt
  4. Drawing up a budget sheet
  5. Negotiating reduced payments to your debts
  6. Free Debt Management Plans
  7. Administration Order
  8. Debt Relief Order
  9. Individual Voluntary Arrangement
  10. Bankruptcy
  11. Write Offs
  12. Will I be 'blacklisted'?
  13. What can creditors do if I don't pay?
  14. Should I tell creditors about my mental health?
  15. Getting help from a specialist adviser
  16. Next steps
It is important that you have all your income paid into a bank or building society account that is not linked to any of your debts.

Bank accounts when you have mental health problems

Your bank or building society can take money from your account if you have a debt with the same banking group. So to make sure this doesn’t happen it is important that you have all your income paid into a bank or building society account that is not linked to any of your debts. The Lending Standards Board website lists the main banking groups. 

If you need to open a new account, you should ask for a basic account. This is an account without a credit facility (for example an overdraft). Your wages or benefits can be paid into this. You will still be able to withdraw money from a cash point and set up standing orders and direct debits. 

If you apply for a basic bank account, your credit history should not affect your application. You can find more information about basic bank accounts on the Money Advice Service website.  

 

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Within this subject

  1. Overview
  2. Priority and non-priority debts
  3. Bank accounts and debt
  4. Drawing up a budget sheet
  5. Negotiating reduced payments to your debts
  6. Free Debt Management Plans
  7. Administration Order
  8. Debt Relief Order
  9. Individual Voluntary Arrangement
  10. Bankruptcy
  11. Write Offs
  12. Will I be 'blacklisted'?
  13. What can creditors do if I don't pay?
  14. Should I tell creditors about my mental health?
  15. Getting help from a specialist adviser
  16. Next steps
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