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What to look for

While there is (currently) no high street name which majors in voluntary sector banking, there are some 'deposit takers' which do. Some of the 'second rung' bankers have specialist charity staff actually dealing with banking matters, rather than just marketing.

Many members and even trustees of voluntary organisations make sweeping assumptions on the terms you can get for banking. While the smaller community group or charity may well be able to get 'free' banking, this is by no means automatic. 'Free' may mean you also dont get much interest paid on any spare cash you may have on deposit - if this happens often you may be better off paying (low) charges and getting proper interest rates. Charging structures have got more flexible recently, and may be based on a fixed fee, cost per transaction or sometimes a mixture. It is worth assessing what types of transaction you process most (e.g. volume of small cheque receipts as opposed to large direct credits such as grants) as this can make a large impact on which bank is the best for you.

Branches nowadays often don't talk with 'small business' customers direct, but refer them to regional managers. Don't expect these people, even with their narrower focus, to have any understanding of voluntary sector needs. We frequently have 'oddities' to deal with - some one-off foreign exchange visit or sudden need for loads of cash for an event - and developing a relationship and educating your manager can pay dividends in smoothing out the problems.

Try Money Facts Online.

Deposit takers aren't full banks - no or limited cheque facilities - but can help you maximise the return on spare cash, if you have the time and ability to manage transfers (to ensure your bank cash-flow doesnt get you into trouble).

Current Account providers

• Alliance & Leicester Commercial Bank has a range of Community Accounts, current and deposit (replaces Girobank Clubs & Societies). Operate by mail, phone, internet or via post offices, with a claim of free banking. Phone 0800 587 000.
  
  
• Barclays Bank launched their Charities Team in July 99, but have concentrated on large organisations like NSPCC to start with, and then will expand their remit 'downwards'.
  
  
• Cater Allen Bank Part of Abbey National, provides its own take on a high interest current account for charities, and affinity bank accounts for supporters. 9 Nelson Street, Bradford, BD1 5AN, phone 0800 092 3300.
  
  
• Co-op Bank has the Community directplus account for community organisations, charities, voluntary organisations and social enterprises. Their ethical policy may well be attractive alongside no charges for standard banking facilities plus post, phone and internet access.
  
  
• First Independent Direct 'A High Interest, Direct Access deposit account that contributes monthly donations to your funds, from Standard Life Bank in association with First Independent Direct.'
  
  
• HBOS has a new Community Banking Current Account (Sept 04). A step up from typical clubs and society facilities, it offers a high interest cheque account with a minimum deposit of £10,000. Up to 50 cheques a month are free.
  
  
• NatWest Have a Community Banking service for the smaller voluntary group, which includes practical advice (ask for their information guide) and free banking (turnover must be below £100,000 a year for the latter).
  
  
• Royal Bank of Scotland Treasurers Account for clubs, societies, churches and charities. Contact Tom Lynch, 28 Cavendish Square, London, W1M 0DB, phone 020 7647 8726 or 8713.
  
  
• Triodos Bank Known for their ethical stance, they also have Charity Cheque and Reserve Accounts, and a Social Venture Current Account. Phone 0800 328 2181, email: mail@triodos.co.uk
  
  
• Unity Trust# A specialist bank for voluntary, membership and credit union organisations, as well as the trade unions involved in setting it up, with the help of Co-op Bank. Did have a 'Rent to Buy' scheme enabling charity and voluntary organisations to acquire their premises - may have ended. It also sponsors various charity finance and management courses and events. Nine Brindley Place, 4 Oozells Square, Birmingham, B1 2HB, phone 0800 783 9650 or 0121 6616 4146, email: utb@unitygroup.co.uk

Facilities

Direct Debit and Direct Credit (paying suppliers electronically) facilities are offered by most banks, but organisations need good accounting systems and adequate financial controls to be able to sign up. Check out BACS website for some basic info (the jointly owned automated clearing system house).

Deposit takers

• CAF Charity Services CafCash Account - high interest chequebook account; CAF Gold Account - a high interest deposit account. Also various (Common) Investment Funds - UK Equity Growth Fund, Socially Responsible Fund etc. All only for charities. CAF Bank Ltd, PO Box 289, Kings Hill, West Malling, Kent, ME19 4TA, phone 0870 060 5507, email: cafbank@cafonline.org.
  
  
• CCLA Investment Management# Have a COIF Deposit Account offering instant access but high interest rates, amongst other options for charities. In our experience the service is straightforward and reliable (unlike some we could mention!). CCLA, 80 Cheapside, London, EC2V 6DZ, phone 020 7489 6010.
  
  

Investment services

See any charity sector publication for adverts from a variety of players.

Sarasin & Partners LLP publishes Compendium for Charities, which contains reference material and current information to assist in investment policy decisions and managing stock market problems. For current edition of the Compendium, email: marketing@sarasin.co.uk (May also be downloadable from the web site - look under Charity Services.)