Every community group or charity needs a bank account.

Grant funding, donations and fees must be paid into a group bank account and not a ​personal bank account. This ensures you are not confusing the funds of your group with ​any individual accounts or monies.

  • Setting up a bank account for a community group or charity is very similar to setting up ​a personal account, you will need to:
  • Set up an account in the name of the organisation.

Banks will ask you to have at least two signatories who are unrelated who can sign ​each cheque or approve withdrawals.

Before applying for an account, check that:

The account is specifically for community groups, or charities if your group is a charity. ​Banks usually refer to community groups as “Clubs and Societies”. Note that some banks ​only offer accounts to registered charities.

  • Check that the account is not for businesses as banks usually charge for business ​accounts. (NOTE: It can cause confusion that community accounts often come ​under the banner of “business” accounts. Ensure you go to the business section of ​the bank’s website, but choose a Community or charity account. They are also ​sometimes called “Treasurers accounts”)
  • The account offers “free banking”. This means you won’t have to pay any charges ​simply for having the account. (You will probably still have to pay for things like ​going overdrawn, stopping cheques or requesting extra statements.)

You will need to prove that you are a community group or charity by providing:

  • A copy of your constitution
  • Articles of association (If a CIC or Social enterprise)
  • Charity registration number (If registered with the Charity Commission)
  • Each bank may have different requirements and may ask for further proof or ​information.

Ethical Banking

  • You may want to align the groups values to the banking organisation that you ​choose. For example, you can choose a bank with ethical values or one that ​supports the fight against climate change or supports divestment.

See here for more information:

If your group cannot open a bank account for some reason (For example during covid ​there were severe delays for communities opening bank accounts), or you need a system ​to use while you wait for your account to be opened, you may want to consider using a ​fiscal hosting service like the one provided by The Social Change Nest CIC.

The Social Change Nest acts like a bank and holds money on behalf of your group. It is ​designed specifically for community groups who do not have bank accounts, and you ​can use their online platform to manage your incoming and outgoing money.

Examples of bank accounts are as follows (Please note these change often, please ​do connect with your Community People Community Development Team for the latest updates).

Other high street banks with added advantage of a physical bank but many are ​choosing to close their local branches:

Online banking options: