Do I need a bank account?
Yes. It's a requirement that your direct payment is paid into a separate bank account that isn’t used for any other payments. The only exception is if the direct payment is a one-off payment which can be paid into an existing account. A separate direct payment account also makes it easier for you to send us your bank statements showing how the money is being used.
You can open a new account, or maybe you have an existing account that you could use if it's empty and not being used for anything else. You can choose whether to use a high street bank current account or a Just Credit Union direct payment account.
The benefits of each type of account are shown below:
Services | High Street bank | Just Credit Union |
---|---|---|
Provide statements |
Monthly/online | Annually or when requested |
Card/BACS payment facility |
Yes - both | No - only pay invoices |
Share monitoring information with the council |
No | Yes |
Take responsibility for making payments |
No | Yes |
Work with your payroll provider |
No | Yes |
Able to use flexibly |
Yes | Yes |
Take a look at this Video from Just Credit Union explaining their direct payment bank accounts: