Basic Bank Accounts: The EMA Extension

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Basic Bank AccountsThe EMA Extension

• Paul Ross

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Basic Bank AccountsBackground

• Available since April 2003 in Post Office
  accessible form
• Over 1.52 million in operation
• Key tool towards financial inclusion

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Basic Bank Accountswhat are they?

• A no credit account
• Allows benefits to be paid direct
• Standing Orders Direct Debits
• ATM access
• Bank and Post Office access

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Basic Bank AccountsAvailability

• 17 different banks
• Most can be opened either
• In branch
• Over the internet
• By post
• By telephone

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Basic Bank Accountsopening an account

• ID V
• Money Laundering regulations
• Guidance for banks
• Guidance for customers
• The BBA web-site
• Financial Services Authority

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Basic Bank Accounts opening an account

• ID V
• Passport
• Letter from responsible person
• Teacher/further education registrar
• Social worker
• Doctor etc
• Utility bill/driving licence/benefits book
• Talk to the bank!

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Basic Bank AccountsIssues for young people

• ID V
• Qualifying Age
• 13 banks 16 years old
• 4 banks 18 years old
• Speak to Bank about alternatives with BACS
  function e.g.
• Savings accounts
• Young persons account

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Basic Bank AccountsPoints to remember

• Doesnt allow debts to build up
• Stepping stone to increased financial confidence
• Ask the bank to help you

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Basic Bank Accountsfurther information

• Financial Services Authority
• No Bank Account? Leaflet
• www.fsa.gov.uk/consumer
• BBA
• www.bba.org.uk
• The Banking Code

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Basic Bank AccountsThe EMA Extension

• Paul Ross
• Director, Retail Banking
• British Bankers Association
• Paul.ross_at_bba.org.uk