Hi all,

Do you have any clues if I a new European PhD student, with full funding guaranteed for three years and all the documents confirming identity, student status, funding, etc., but with no UK credit history, might have a chance of opening either a student account or a free current account in any British bank? What I need is a debit card and an access to a savings account, and I don't want to pay a maintenance fee for extras I won't use...

At HSBC, NatWest and Barclays they offered me either a basic account (with a cash card) or an account with a maintenance fee. At Abbey and The Royal Bank of Scotland they promised to open me a Student Account, but when I came for the appointments with all the documents they requested, these were turning out to be just the promises... Finally, I opened a free basic account (with a cash card) at HSBC - I needed my stipend to be deposited somewhere. However, they wouldn't even open me a savings account that would go with it...

I am finding opening a bank account here immensely frustrating - it has taken me so much time already...

Have you tried the Co-op?

I had the exact same problem. Ended up having the same HSBC account as you. After having made a big fuss and waving a Barclays card in front of them (I opened one of those stupid basic accounts with them as well), HSBC upgraded me to a fee free bank account with maestro (so I can use the card on the continent). This was after three months. Have cancelled Barclays though as it was useless on the continent. I had the feeling the only thing they had to do was show their good will and enter me as professional into their system instead of student. That made a big difference as to what type account they "can offer us".
Make a fuss and good luck.

i found that i couldn't get a student account, even though i am a student and i am a british citizen - because i didn't live in the UK for the past x years. so i was classed as overseas student, and they don't get student accounts.
however, NatWest gave me a "Step" account without any trouble at all - i must say though that i went to my uni's local branch, where there are a lot of international students.
"Step" is a current account and comes with a Solo Card - that's a debit card but not as good as Maestro, less places you can use it at. It also automatically came with a savings account "1st reserve". Online banking is very limited. No fees.
Meanwhile I've changed my savings account to a "e-saving" which gives you more interest. Again, no difficulties.

Hi Shani,

the only account I could open in the beginning was also a "Step" Account with NatWest. Later I found out that these accounts have negative impact on your credit history, i.e. it is hard to get a mortgage or loan if you have a Step account as these are ususally reserved for people who are not creditworthy or have loads of debts.

Ridiculous, if you ask me. On entering the country, being labelled as such is not very pleasant. Regardless of all the difficulties to even open such a Step account. But NatWest now finally agreed to change my account to a normal Savings account. Other banks like Lloyds TSB have declined my enquiries recently, the reason was my ownership of a Step account. So I closed down my Step account to be finally a normal person again...

oh.
thanks jouri, that's good to know.

i must say, coming to the UK from the "country of banks", i find how banks treat customers here, um, less than satisfactory. which is why i keep the bulk of my money on my swiss account. even though i can't go to a branch, i get better service, and even though i'm constantly using money "abroad", it costs me less...

Never had that problem!

I was asked to produce evidence that I was registered with a UK University (special letter from registration office, so it took a while) and got my account ok at HSBC, presenting only the said letter, a passport and proof of residence. I got a debit card and a fair overdraft allowance without even asking, and no maintenance fee! I found it odd as they did not even ask about my income, parental back-up or my own savings abroad... but then it happened

I would suggest to shout at them a little... I don't remember doing this but it has worked out for me, and pretty well too, with banks here and abroad.

HSBC has a savers' account online which is good, and I don't think you need approval from anyone to open one of those as long as you are already an existing HSBC customer.

Good luck!

I am finding setting up a UK bank account to be one of the most humiliating and frustrating procedures that I've ever gone through. I've always thought that the banks are interested in getting new customers - even these, who are not likely to have billion-dollar turnover very soon. This is how it worked for me in five different countries on three continents...

My shouting at HSBC did not change much - but I have never been very good at shouting. And I have just came back from NatWest, where I attempted to open a Step account. Yesterday they gave me the forms and told me to came back the next day with my passport, and today they told me that the letter from the University is not addressed directly to them, so I should come back when I get a new one...

Grrrrrrrrrrrrrrrrrrrr.......