Which is the best bank account for your charity?
Many banks and building societies offer special current accounts for voluntary organisations and charities, and most give free banking if the account is in credit.
Conditions and benefits vary, and can change over time, but we have highlighted the main features of current accounts from institutions that have strong links to the third sector, or who have a significant ‘high street’ presence in Scotland in our bank account comparison table below.
day banking services
Works specifically with organisations and groups which create real social, environmental and cultural value.
Triodos Charity Current Account
Key features: Charges vary for day-to-day banking services; interest on credit balances of £5,000 or more; dedicated customer focused service and current account transfer service. No credit or debit card available on any current accounts. Access to NatWest or RBS.
Works with organisations that aim to have a positive impact on society through economic, community or social change.
£500 minimum opening deposit
Key features: There is one deposit and two current accounts available, fees from £6 per month. Option to set up single, dual and triple authority of payments.
(for non-profit making organisations with a turnover below £50,000)
Key features: additional services such as Direct Debit and bulk payments to pay suppliers or wages and salaries may incur charges; support from business management team.
Believes in ethical banking and profits are used to further the work of The Salvation Army.
Charities, Club & Society Current Account (for charities with turnover less than £500,000)
NB: Access to Lloyds, Natwest, HSBC or RBS
Key features: Clubs, trusts or societies that are not charities offered the initial first 6 months with free banking if in credit followed by a review. Current accounts with a cheque book, paying in book, corporate VISA debit card (subject to application), electronic payment facilities, overdrafts (subject to status and application) and business lending, relationship managers.
(for clubs, charities, societies or other not-for-profit organisations with a turnover of less than £100k)
Key features: Free banking, subject to status, to not for profit organisations as long as your annual turnover doesn't go over £100,000.
Business Choice Charities Account
(only available to registered charities)
Key features: No transactional fees levied if account turnover under £1m. Interest calculated daily and applied monthly; choice of statements issued monthly or more frequently on request; credit interest linked to the base rate; unlimited withdrawals and deposits; relationship manager.
Treasurer's Current Account
(for non-profit organisations with an annual turnover of up to £250,000)
Key features: Up to three signatories, any one signatory can approve any financial transaction, there is no option available for more than one signatory to be required to authorise financial transactions. Free text message and email alerts, charges for non-standard transactions such as change giving, CHAPS payments; a daily transaction limit for ATM withdrawals; no interest paid on credit balances, no arranged overdraft facility.
All information featured above collated by the Scottish Council for Voluntary Organisations. Information correct as of May 2017.
This table originally featured in the TFN Charity Finance special edition (issue 831, 15 May 2015.) For funding and finance related news, features and analysis visit http://thirdforcenews.org.uk/funding-and-finance