Confused re Relationship with Tide - and BBL impact

#1

When I wrote recently to query why he Tide card for my Limitied Company acocunt came in my name, I was advised it was because my account with Tide was “personal”. But I a confused and wondering if anyone has a clear answer.
Excerpt from Tide Terms and Conditions below:

“We have arranged for your Tide Business Account to be provided to you by ClearBank, being
a bank authorised by the Prudential Regulation Authority and regulated by the Financial
Conduct Authority and the Prudential Regulation Authority (Financial Services Register
number: 754568). You will be required to accept ClearBank’s Bank Account Terms which will
apply to ClearBank’s provision of the Tide Business Account to you.
Tide has arranged for Tide Cards linked to your Tide Business Account to be made available
to you by PPS, a payment services company authorised by the Financial Conduct Authority
(Financial Services Register number: 900010). You will be requir”

There are three accounts for Limitied Companies I set up with Tide. And it seems that those acocunts are provided by ClearBank, which is a Licensed Bank. So why am I told the Tide accounts are “personal”? The accounts are in the name of the Limited Company(s) and Companies House information provided when accounts opened. The money in the accounts belong to the Company, and ultimately to the shareholders, and not me personally. And surely company creditors would have claim to money in the accounts but personal creditors would not. I thought the whole point of a Limited Company and a limited company bank account was to make a clear distinction between the Personal and the Corporate?

I may well be missing something, but if anyone can clarify, in words of one sylable, I woujld be appreciative.

Also, how does this impact on BBL It is the Company applying for a BBL, not anyone personally (unless a sole trader, for example). So is it the Company that is on the list?

Help. I am very confused. And maybe a bit stupid??

#2

Did they not say you were the account holder? Not that it was a ‘personal’ account. Business debit cards don’t have the name of the company on them, they have the person issued with the card on them i.e there could be multiple card holders.

#3

“Unfortunately, at present it is not possible to have your company name listed on your Tide card as you yourself are the account holder and, therefore, your name is on the card.”

The above is from Tide. Maybe a question of “semantics” but surely I am a “signatory on a company account” but legally, the account is in the name of the company, and not me. I remain confused and just looking to get absolute clarity on how it all works

#4

Hi there @Jtreacher

Sorry to keep you waiting on our response here! All the speculation aside, this is really just as simple as a matter of the cards’ current design.

We will be updating this and including the name of the business as well as the card holder on them in the future. This will extend to both the account holder, as well as any additional team cards that are issued for any of your team members.

Regards,
Obi

#5

Obi

Many thanks for the response and understand re the cards and names on them.

That said, can you just clarify re the relationship with Tide and the account holder. My understanding is that I am the “signatory” on the Company Account, but the assets in the account are NOT mine but belong to the company. The account is owned by the Limited Company, and not me personally

Is this the situation? Or am I missing something? As I got the feeling Tide sees me (personally) as the account holder. Anyway, if you could clarify it would be much appreciated

#6

Thank you for getting back to me @Jtreacher

Yes, if you’ve set up an account with us for a limited company, then the assets and the account would be associated with the company. You, as a director of the company and account holder, have direct access to manage the account and its assets.

This is another feature that we intend to expand upon, by allowing multiple directors to have the same full access.

I hope that clarifies!

Regards,
Obi

#7

Obi

Thanks again. Last question (I hope). If I decide to stand down as a signatory, say, and appoint someone else (say a new director) then I just need to have him sign a new “virtual signature card” and you of course do KYC (passport and address) details. So I come off the account and the replacement comes on?

I assume, down the line, you are moving more like a mainstream bank whereas a comapny account could have more than one person at a time having access to the account.

Also, despite all the “muck” that has been thrown at you and the team over BBL, I remain a fan of Tide. Certainly account opening and account operation from me has been flawless. So well done on that.

#8

No problem at all, @Jtreacher

I’m quite happy to clear all of this up!

Right now, due to the process of changing the active account holder being quite lengthy, we tend to opt to simply open a new account for the company under the new director - that requires a bit more action on the previous account holder’s part, but it is usually done within a couple of days.

But yes, in the future, we absolutely do intend to ensure that there can be multiple active people with the ability to manage the account. This would also simplify the process in terms of any changes in directorship, naturally.

Regards,
Obi