Looking to open a current account online?
If you’re looking to open a current account online it’s a good idea to make sure you understand the differences between what is a current account, what is a bank account and what is a savings account – not to mention if you need a business account or not.
The basic principle that determines what is a current account is whether you use it to manage your money on a day to day basis – if you do, then it is the account you use for your ‘current’ money, hence a ‘current account’.
In contrast to this, if you set money aside for the long term and do not expect to touch it, except maybe to add to it, then that money is ‘saved’ and that is what a ‘savings account’ is for.
Over recent years the boundary between these two main types of account has blurred – you often won’t receive any interest on current accounts or savings accounts, and it’s now quite common for people to use a second current account as a store for some spare money, rather than locking it away in an account that offers interest but punishes you for making a withdrawal.
What are the best UK current accounts?
The best UK current accounts are the ones that give you everything you need to manage your money on a daily basis.
Many people automatically assume that current accounts are bank accounts, but that’s not necessarily the case, and even in the UK in the past many current accounts have actually been provided by building societies, not by banks.
Now there is also the option to open a current account online with a provider like Arro, who again are not a bank, but are fully regulated by the Financial Conduct Authority to provide electronic money services.
An Arro Personal Account is a fully featured current account that offers many of the capabilities you get from a bank current account – Faster Payments, Direct Debits (not currently available, but it’s coming soon!), an online dashboard, cash machine withdrawals, contactless payments and online purchases, to name just a few.
How do I open a current account online?
You can open an Arro Personal Account in three minutes, with just your name, date of birth, UK postal address and a few other contact details – we do not offer an overdraft or credit card, so there’s no need for us to check your credit rating.
Just fill in our simple signup form for an instant decision, and as long as you meet our Fair Fit criteria, we guarantee to accept all eligible applicants with absolutely no background credit check required.
Once your account is opened, you receive a sort code and account number, access to the Arro online money management dashboard and the details of a MasterCard® debit card, so you can start transferring funds into the account, receiving wages or salary into it, and spending from your positive account balance.
Remember we do not offer overdrafts, so it’s important to make sure you have enough money in your account balance to cover everything that goes out.
How do I manage my money?
Like all the best UK current accounts, the Arro Personal Account gives you several different ways to manage your money.
Firstly there’s the powerful Arro money management dashboard, which you can access online from any internet connection using the secure login that is created when you open a current account online with Arro.
This shows you your account balance and recent transactions – and it’s easy to filter to see regular outgoings, online purchases, one-off bank transfers and so on, plus any money coming directly into your account from your job, or transfers by friends and family to help support you.
You also get an Arro cash card plus MasterCard® debit card, a single physical card issued in your name and linked with your account, so you can use ATM cash machines for basic account activities and to withdraw money.
We make sure you have access to your money when you need it – subject to sensible security precautions – so you are not restricted by your current account when it comes to effective money management, but are given all of the tools you need to manage your money in the ways that work best for you.