Do I need to open a Business Account?

[Bambi]

I'm still hunting for my first BTL property and I'm trying to prepare as much as I can in advance.

Someone on the forum advised that there is no need for me to operate as a ltd company but do I need to open a business account for the tenant to pay the standing order/cheques into? Or am I OK just using a separate account?

What do most landlords do?

Bambi

[Poppy]

The money goes in pocket and then off to Selfridges.

No seriously, I do not use a limited company to run my properties. My tenants set up standing orders to my current account or savings account. Whatever takes my fancy at the time.

[susan 2]

Bambi - No you do not need a business account - you would have to pay bank charges! This you do not need with only one tenant. I have my own standing order forms which the tenant and I fill out and check when they move in. Then I post it- it costs a stamp, but I then know it has gone to their bank. Tenants can sometimes "forget" to send it. I use the Nationwide Flex account which pays interest and then transfer any spare to their E savings account which pays even better interest. Alliance and Leicester also have high interest currant and savings accounts. I always check with Martin Lewis's www.moneysavingexpert.com web site which will give you good advice and the best accounts.