1 Banking made clear Information pack for people with learning disabilities.
2 This handy guide provides information about how you can: open and manage your own bank account keep safe when you are using your bank account access further information, advice and help This Resource Pack was developed by BILD, the British Institute of Learning Disabilities. Our thanks to Somerset Advocacy and Our Way Self Advocacy for their support and help with this Resource Pack. This Resource Pack was written by Ken Holland, British Institute of Learning Disabilities. The pictures are from Photo Symbols 4. Additional pictures and materials were provided by WebEnable (www.webenable.org), Somerset Self Advocacy and Our Way Self Advocacy.
3 Introduction 1. Getting started 2. Opening a bank account 3. Managing your account 4. Paying money in and taking money out 5. Keeping track of your money 6. Where to go for help, advice and support 7. Knowing your rights 8. Top tips 9. Glossary
4 01 Introduction Introduction 02 Introduction This resource pack has important information so you can be in control of your own money. This resource pack comes with a DVD. The DVD shows you examples of how to do things with your money. When you see this symbol, it means that you can watch the DVD to see how to do something. Finally, remember you can ask someone you trust like your family or friends to look at this resource pack with you. There is also a Quick Guide that you can take when you go to the bank and when you are using your account or an ATM. You can work through this resource pack by yourself, but you can also use it with people that you trust, such as someone in your family, support staff or your local advocacy group. The pack has been split into different sections, which means that you can work through the whole pack or just look at the sections that will help you the most. Additional information can be found in the Banking made clear Quick Guide and can be downloaded from This resource pack has different sections. Each section is a different colour. The DVD is also in sections and uses the same colours and numbers to help you watch the right part. This symbol tells you a top tip. This symbol tells you something important.
5 03 1. Getting started 1. Getting started 04 Getting started with banking What is a bank? What can I use a bank account for? When you have a bank account you can use it to do the following things. What is a bank account? If you would like a bank to help you keep your money safe, you can ask them to open an account to hold your money for you. You can put money into save and take money out to spend. The bank will mark your account with your name and an account number so that they know which account belongs to you. Lots of people have a bank account. How to choose the right bank? Banks help people to look after their money. They do this by providing bank accounts to help people keep their money safe and help them to save. They can also provide loans if people need to borrow extra money. The list below will help you choose a bank that is right for you: Ask your family and friends which banks they use and how good they are. Have a look at the banks in your area and see if they are easy to get in to (for example; are there lots of steps?). Ask the banks in your area what information they have in easy read. Ask the bank staff how they would support you if you started using their bank. Find banks near a bus stop or train station, so you can use public transport to get there. You can pay money in to your bank account. You can take money out of your bank account. You can pay money in to other people s bank accounts. Other people can pay money in to your bank account from their bank accounts. You can make payments straight to other people s bank accounts or receive money direct from them in to your account. You can save money in your account. If you want to make a regular payment for something, you can set up a Direct Debit or a Standing Order with your bank. Here are some examples of when you might want to set up a Direct Debit or a Standing Order: To pay your rent or mortgage To pay your bills (gas, electricity, telephone) You can find out about how to use a Direct Debit or Standing Order in the Banking Made Clear Quick Guide
6 05 1. Getting started 1. Getting started 06 What type of bank accounts are there? There are three main types of bank accounts. These are: A Basic Account with this account you get a debit card or cash card (a card that only lets you take cash out of a cash machine), you can pay money and cheques in to your account, get money out using your card and set up direct debits or a standing order. You will not get a cheque book, or have an overdraft and this account will not let you go overdrawn. A Current Account with this account you can do everything that you can do with a basic account, but you can also apply to get an overdraft (this means that you can spend more money than you have in your bank account). But you must be careful, because if you spend more money than you have in your account, the bank may charge you interest for the time you are overdrawn. You will also need to pay back the money you have gone overdrawn by. A Savings Account with this account you can put money away that you don t need and it can earn you a small amount of money, called interest. To find out more about bank accounts please click the Blue Button 1 on the DVD How do I open a bank account? To open a bank account, you will need to visit a local bank. When you want a new bank account, you will need to tell the bank that you would like to Open a new bank account. It will help if you tell the bank about any specific needs you have, for example if you need bank statements in larger print or you have difficulty signing your own name. This is so they can help you properly and be aware of these in the future. Top tip To make sure you are seen quickly and don t have to wait a long time, visit the bank first to make an appointment (this means making a time to visit the bank agreed between you and the bank). You will need to give the bank some official identification to prove who you are. When you go to the bank to make an appointment, ask them what identification and other information you will need to bring to the appointment.
7 07 2. Opening a bank account 2. Opening a bank account 08 Opening a bank account Things to think about when you go to the bank Top tips Ask a friend or someone you trust to go to the bank with you for support. Make sure you have all the information about yourself that you will need, this is called identification. Ask to use a private room, especially if the bank is too noisy and busy. Think about questions you might want to ask the bank staff. Practice signing your name or using a mark that you will remember. Information the bank will need about you You need to prove who you say you are, so you need to show the bank information that confirms your name and address. You will need to show the bank two forms of identification, which will prove who you are and where you live. Examples of identification are: A passport A driving licence A benefit entitlement letter from a benefits agency A letter from the Local Authority, Adult Social Care Department A letter from the manager of the home where you live A blue disabled driver pass Check with your bank what identification you can use, as different banks use different information. Other information that the bank will need from you will include: Your name and address Your date of birth Where you get money from (is it from a job or benefits?) How much money you get each week or each month How much money you need to spend each week or each month (on things like rent, bills and shopping) This is called identification or ID. You need to prove to the bank who you are because the bank wants to make sure that money you put in to your account belongs to you, and your money is safe. DVD To find out more about making an appointment with the bank please click the Dark Blue Button 2 on the DVD
8 09 2. Opening a bank account 3. Managing your account 10 Managing your account The meeting to open your new bank account To open your new bank account, the bank staff will need to ask you some questions and fill out forms with information about you. You will need to sign your name or mark at this visit and you will need to use the same signature or mark every time you use your bank account. This is called your signature. Practice signing your name or mark. What will the bank send me? Debit or cash card (ATM only) The bank will send you a debit or cash card with your name on it. The cash card only lets you take cash out of a machine. You can open a savings account and save your money and earn a small amount of money called interest. At the meeting, the bank staff will also talk to you about: Filling out the forms The rules of the bank What you will get when you open an account, for example a cash card. You must sign the back of this card and put it somewhere safe. You can use your debit card to buy things at shops or from the internet. You can only use your cash card to get cash from a cash machine. Depending on what bank account you will have, the bank may also send you: Paying-in book DVD To find out more about the meeting to open a new bank account please click the Yellow Button 3 on the DVD The bank will send you a paying-in book with your name on it, if you request one. Keep this safe. You can use this book when you want to pay money in to your bank account.
9 11 3. Managing your account 3. Managing your account 12 Cheque book After your meeting to open your new bank account, the bank will send you a letter giving you information about your new bank account. Read the letter. It will have important information in it, like your bank account number and the bank sort code. The sort code is like the bank s house number. Each bank has a different sort code. Depending on what account you get, the bank may send you the following: The bank may send you a cheque book with your name on it. Basic bank accounts do not have a cheque book. Some current accounts may provide a cheque book if you ask for one. Keeping bank information safe Top tips for keeping safe when you use your cheque book and debit or cash card. Always keep your card in a safe place when you go out. This could be in a wallet or purse or your inside pocket of your coat or jacket. Do not put your card or cheque book in the back pocket of your trousers. Put the cheque book somewhere safe. In some cases you can use this book when you want to buy things using a cheque, but not everyone will accept a cheque as payment. Never carry your cheque book or card around in your hand. Only get your cheque book and card out when you need to use them. If you don t think you will need your cheque book or card, don t take them out with you. Never give anyone else your cheque book or card. If you lose your cheque book or card, you must tell the bank straight away. They will help you get a new card and cheque book.
10 13 3. Managing your account 3. Managing your account 14 PIN (secret number) The bank will send you your secret number (called a PIN or Personal Identification Number) If a stranger asks you for your PIN do not give it to them. Instead you must tell your supporter, your family or staff at the bank that this has happened. This is your secret number and no-one else will have it. You will use this number every time you use your debit or cash card. Keeping your PIN (secret number) safe. If you forget your PIN, go to the bank and they will be able to help you get another number. If you find it really difficult to remember your PIN, you can ask to use the card where you only need to sign your name rather than use a PIN. Top tips for keeping your PIN safe. Important notes: Things you might worry about. Your secret number is made up of four numbers. Never tell anyone your PIN. Do not keep your PIN and card together. Always try and remember your PIN. If you have to write it down to remember it, keep this separate from your card. Q. I do not understand all the information from the bank? A. Ask someone you trust to go through the information with you. Q. I do not understand what the bank staff are telling me? A. Take someone with you to the bank, so they can support you. Q. I cannot sign my own name? A. You can ask the bank staff to give you a signature stamp. Q. I won t remember everything the bank tells me? A. Ask the bank staff to make a note of the important things, so you take it with you.
11 15 4. Paying money in and taking money out 4. Paying money in and taking money out 16 Paying money in and taking money out Paying money in to your bank account Keeping safe when you use a cash machine Paying money into your account is also known as depositing money. You can pay in money that you might get as gifts or presents, or money that you would like to save. Money could also be paid directly into your account by other people, for example: The money you earn from your work (this is sometimes called a salary or your wages) The money you get from any benefits you receive (for example, disability living allowance) The money you get from a direct payments (for example, if you recieve other benefits or a state pension) DVD To find out more about paying money in to a bank account please click the Orange Button 4 on the DVD Taking money out of your bank account Taking money out of your account is known as withdrawing money. Here are some examples of money you can take out of your bank account: To pay for bills (these can include your gas or electricity bill). To pay for your rent or a mortgage. To pay for things for your house (for example a new television). To pay for shopping. To get cash out for other spending. DVD To find out more about taking money out of a bank account please click the Red Button 5 on the DVD Top tips for keeping safe when using a cash machine: A cash machine is also called an ATM. It is also sometimes known as a hole in the wall. Try to use a cash machine that is inside the bank. If you need to, take a friend or someone to support you when you use a cash machine. Don t let a stranger help you. Never tell a stranger your PIN (secret number). If you think the person behind you can see you putting in your PIN, stop using the machine and find another one. If you forget how to use the cash machine, press the Cancel key (normally a red key), wait for your card and take it out. Start again when you remember what to do. You can go in to the bank if it is open, or ask your supporter or trusted friend for help.
12 17 5. Keeping track of your money 5. Keeping track of your money 18 Keeping track of your money Knowing how much you have got in your bank account 2 When you have a bank account, the bank will send you bank statements. 1 3 A bank statement shows you what money you have taken out of your bank account and what money has been paid in to your bank account. It is really important that you always know how much money you have in your bank account. This is so you don t spend more money than you have. 4 How do I work out my bank statement? A bank statement is information that the bank sends you. The information will tell you: How much money you have taken out of your account How much money you have paid in to your account How much money you have saved and put in to your account How much money others have paid in to your account, for example wages or benefits How much you have paid to other people or companies using direct debits or standing orders You can have bank statements sent to you every week, every month, every three months, every six months, every year you can choose what is best for you. Tell the bank staff how often you would like your bank statement to be sent to you and they will make this happen for you. What does the bank statement look like and what does all the information mean? 1. Your name and address. 2. Your bank account name, number and sort code. 3. A summary of the total amount paid in to your account and taken out of your account. 4. The details of every transaction that has taken place over the month - all the money you paid in to your bank account and all the money you took out of your bank account. 5. Your final balance this means how much money you have left in your bank account. Top tip: Not all bank statements look the same, but they all have the same important information. Make sure you look at your bank statement so you can keep a check on your money. 5
13 19 5. Keeping track of your money 5. Keeping track of your money 20 Important note: If you spend more money than you have in your bank account, you will be using the bank s money. This is called going overdrawn. When you go overdrawn, the bank will charge you for every day that you are overdrawn. This is because you will be spending their money and not yours. When you spend more money than you have in your bank account you are in debt. This means that you owe the bank money. It is not a good thing to be in debt as you will need to pay more money (called interest) to get out of debt and it can sometimes take a long time. It s not a good thing to go overdrawn, because the bank will charge you for spending their money. This means you will have to pay the bank money because you are using money you haven t got. If you think you might spend more money than you have in your bank account, you must talk to the bank straight away as they will be able to help you. If you want an account that won t let you go overdrawn, choose a basic bank account instead of a current account. DVD To find out more about how to keep track of your money please click the Green Button 6 on the DVD Making sure you have enough money Before you spend your money, it s always a good idea to make sure you know how much you have got in your bank account. Use the cash machine to find out how much money you have you can get a balance of your bank account from the machine. Making a budget Making a budget means that you work out how much money you have each week and how much you need to spend each week. By making a budget, you will be able to know how much money you can spend each week, without spending more than you have. You can find out more about making a budget on pages 23 and 24 and have a go at making your own budget. You could do this with someone you trust or ask the bank staff to help you.
14 21 5. Keeping track of your money 5. Keeping track of your money 22 Top tips for making sure you have enough money To make sure you have enough money each week, there are some things you need to do. If you work and want to earn more money, ask if you can do more hours. Make sure you are getting all the benefits you are supposed to be getting. If you think you should be getting more money, go to the benefits agency or talk to someone you trust about this. Rent DVD s, CD s and books from a library instead of buying them. Talk to someone you trust about how much you spend and think together about things you can stop, reduce or do differently. Get more advice and help from an organisation that helps people with money problems. See the section for a list of organisations that can help you with this. See pages for a list of organisations that can help you. Work out if you can spend less money each week. You could think about how much you spend on food, or going out, or buying things for your home. Can you spend less money on any of these things? Think about using a cheaper shop for your food. If you buy lots of ready-made meals, why not learn how to cook your own food?
15 23 5. Keeping track of your money 5. Keeping track of your money 24 How to make a budget. Making a budget means that you work out how much money you have each week and how much you need to spend each week. Important note: If you don t have enough money each week for all the things you need, it is really important that you talk to someone you trust about this. This could be your family, your supporter, friend or staff at the bank. Step 1 Step 2 Step 3 Write down how much money you get each week from wages, benefits, individual budget or other payments. Make sure you put all the money you get each week in your budget. Write down how much money you spend each week on bills, your rent and your council tax. Write down all the other money you spend each week to live. This will include food, travel, clothes, mobile phone, membership of clubs. Step 4 Add together the amount of money from step 2 and step 3. Step 5 Take this amount of money away from step 1 (the money you have coming in). Step 6 The money you have left is the amount you can use each week for other things. This could include buying things for your home, going out, or buying birthday presents. You can also save some of this money, so you can build up a pot of money for something special, something big or to use if you need extra money in the future. Important note: Do not spend more money than you have in your bank account. If you do, the bank will charge you for this, as you are using their money and not yours. Use this simple template to help you make your own budget. Add up all the money that you have coming in to your bank account each week: Salary, pay or wages from where you work Benefits Other money like Direct Payments Any other money that you get Total money you get each week Add up all the money you spend each week from your bank account: Rent or mortgage Council Tax Gas Electricity Telephone, mobile phone Food Travel Going out Clothes Anything else Total money you spend each week
16 25 5. Keeping track of your money 6. Where to go for help, advice and support 26 Where to go for help, advice and support Take the amount of money you spend each week away from the total amount of money you get each week: Total money you get each week Total money you spend each week Balance - this is the amount you have left in your bank account each week If you have more money coming in each week than you spend, then you have enough money to live on each week. If you spend more money than you have coming in each week, then you need to look at what you are spending your money on. If you receive benefits, or think that you should, make sure you are getting all your benefits. Consider ways of spending less money each week. Talk to someone about your money do not spend more money than you have in your bank account. If you are worried about anything to do with your money, always get help and support as soon as possible. Things that you might need help with could include: Your benefits Your wages Your rent The money you spend each week Any debts you have (this is money you owe other people) If you don t understand how to run your bank account If you lose your cheque book or bank card If your cheque book or bank card is stolen If someone is taking your money If someone is using your card to take your money If someone is bullying you for your money
17 27 6. Where to go for help, advice and support 6. Where to go for help, advice and support 28 Here are some places that can help you and give you information and advice: Citizens Advice Bureaux can help you with many worries and concerns you might have about things like debt, welfare benefits, housing and employment. Your bank should be able to help you and you should see them first. Your bank can help you with different ways for you to save money, and help you budget so you don t overspend and pay charges. The police can help you if you have lost or had your bank card or cheque book stolen. The police will also help you if you are being bullied by someone who is trying to take your money. The Benefits Agency will help you with all your benefits and make sure you are getting the right amount of money. Credit Unions provide many banking services such as savings accounts and loans to their members. They can help you start a savings plan and may be able to lend you money if you show them that you can save over a certain period. Social Services departments can sometimes help you with money problems. They won t be able to give you any money, but they can give you information and advice and support you to go to other organisations.
18 29 7. Knowing your rights 7. Knowing your rights 30 Knowing your rights Mental Capacity Act 2005 Adults with Incapacity Act 2000 People should not be treated differently (discriminated against), because they have a learning disability. This is against the law and is part of the Equality Act This law also says that you should get support if you need it to make your own decisions. The law says that banks must make changes to the way they serve you if you need them to because of your disability e.g. if you have to have your statements in larger print or if you need more help in setting up your account. These changes are called reasonable adjustments. The Mental Capacity Act in England and Wales and the Adults with Incapacity Act in Scotland protects people who cannot make decisions for themselves or lack the mental capacity to do so. Mental capacity means being able to make decisions by yourself. Unless there is evidence that you are not able to make decisions by yourself, bank staff will treat you as if you have full understanding ( have mental capacity ). Bank staff should make sure you have all the information you need to make decisions. They should give you information in ways that you can understand. Bank staff might want to talk to you alone if you come in with a friend, supporter or advocate just to make sure that you understand your account. They will want to make sure that you have the account that you want and that you know how to use it. They might also want to make sure that no-one is bullying you or forcing you to take out money if you don t want to. How would you know if you do not have the capacity to make decisions? Here are some examples that will help you decide if you need help in deciding about capacity: Can you understand the information from the bank? Can you remember the information that is given to you? Can you use this information to manage your bank account? Can you understand what will happen when you make a decision about your bank account? Can you tell other people about your decisions? Getting support for my best interests If you do not understand how to open and run a bank account and need support, then this must be done in your best interests. This includes things like: Taking account of your feelings and wishes. Looking at other support plans you have. Speaking to other people you want to be involved. Listening to the views of other people like your family. Listening to your views. You can give your permission for someone else to be in charge of your bank account with you. This is called Lasting Power of Attorney. The person you choose is called the Attorney.
19 31 8. Top tips 8. Top tips 32 Top tips Top tips Top tips Never tell anyone your PIN (secret number). Never keep your PIN on a piece of paper and carry it with you. Always keep your debit or cash card in a safe place like your inside pocket, or your purse, or your wallet. Never carry it around in your hand. Never give your debit or cash card to anyone else for them to get money out of your bank account. Always try and use a cash machine inside the bank. This is safer than using one in the street. If you think the person behind you can see you putting in your PIN, stop using this machine and find another one. If your debit or cash card is stolen, you must go to the police straight away to tell them what happened. Then go to the bank to tell them that your card has been stolen, so they can make sure no one else can use it and they can send you a new one. If you think someone else knows your PIN, change it to a new one. You can ask the bank staff to show you how to do this at the cash machine. Keep a special file for all your bank information, like your cheque book, paying-in book, bank statements and any letters that the bank sends you. Always check your bank statements to make sure that the money that has been paid in to your bank account and the money that you have spent from your bank account are all correct. If you think something is wrong on your statement, ask someone you trust to check it again with you. If you still think it is not right, go to the bank and ask one of the bank staff to help you.
20 33 8. Top tips 9. Glossary meaning of words 34 Glossary meaning of words Top tips Attorney A person who has been chosen to make decisions for you if you can t make decisions for yourself. Balance How much money you have in your bank account each day. Make a budget, as this will help work out how much money you have got to spend each month and you will make sure you don t spend more money than you have in your bank account. When you use cash-back to get money from your bank account when you are shopping, always cover your hand when you are putting your PIN in the little machine, so other people can t see the numbers you are pressing. DVD Click the Purple Button 7 on the DVD to watch a film of top tips Bank Banks help people to look after their money. They do this by providing bank accounts to help people keep their money safe. They can also provide loans if people need to borrow extra money. Bank Account If you would like a bank to help you keep your money safe, you can ask them to open an account to hold your money for you. You can put money in to save and take money out to spend. The place where you keep your money. What you set up at the bank so money can be paid in and you can take money out. Bank Statement A record sent to you by the bank which shows the total amount of money in your account by showing what money has been paid in to your bank account and what money has been taken out. Best Interests Where decisions are made in the best interest of the person they affect. Cash Card This card will only allow you to take money from a cash machine. Cash Machine Sometime called an ATM or hole in the wall. These are machines where you can get money out from your bank account using your debit or cash card and PIN. You can also use the cash machine to get a balance of your account or a mini statement. Cheque Book A book that allows you to pay money to someone else from your bank account.
21 35 9. Glossary meaning of words 9. Glossary meaning of words 36 Debit The card you will get with your bank account. This allows you take money out of your bank account using a cash machine and buy things at shops and over the internet. Direct Debit Allows a company to take money out of your bank account on a specific date to pay for regular bills. Equality Act 2010 The Equality Act 2010 is the law which bans unfair treatment and helps achieve equal opportunities in the workplace and in wider society. Identification or ID A way of proving to the bank who you are. Lasting Power of Attorney The power you can give someone else to make decisions on your behalf now and in the future if you lose capacity. The person who has the power to make the decisions is called the attorney. Mental Capacity The ability to make decisions for yourself. Mental Capacity Act and Adults with Incapacity Act The Laws for England, Wales and Scotland that protect a person if they lack capacity and need support. Paying In Book A book of paper slips you use to pay money into your bank account. You also make a note in it of how much you paid in and when you did it. Standing Order A written instruction you give the bank to pay the same amount of money each week or month, to the same company or person. The bank will ask you to fill in a form, and will then make all the payments for you. Third Party Mandate Allowing someone else to have access to your bank account, but they can only do things that you have agreed. Other words which you might hear are: Independent Mental Capacity Advocates (IMCAs) IMCAs are usually appointed for people who lack capacity to make a significant decision and who do not have family or friends that can be involved. Joint Account A bank account that you share with someone else. Money Plans A way of assessing a person s capacity to make financial decisions. Office of the Public Guardian The Government office that supports the Public Guardian. There are separate offices for England/Wales and Scotland. Public Guardian A person who has official responsibilities under the Mental Capacity Act. PIN PIN stands for Personal Identification Number and is your secret number that you need to use with your debit or cash card. Public Guardian A person who has official responsibilities under the Mental Capacity Act. Sort Code This is like the bank s house number. Each bank has a different sort code.
22 BMSLD/002 Registered office: 1 Churchill Place, London E14 5HP Registered in England. Registered No: Barclays Bank PLC 2013