Sneakers O'Toole Posted August 29, 2007 Report Share Posted August 29, 2007 I'm just about to go back to University and i have come to the conclusion that this year i am going to need to get an overdraft. Last year i managed by working part time, my savings (all gone, gunna regret that) and hand outs from my very tolerant Dad. So...I've been looking at opening a Nationwide account as they have a low intrest rate of 7.75% compared to HSBC who i'm currentley with who have 18.6%. Now does this simply mean that to borrow £1000 i would have to pay back £1075 before the end of the year? Assuming i blew it all, which i don't intend to. Also are there charges for just being in your overdraft???Any help would be great, i have no idea about this sort of stuff. Quote Link to comment Share on other sites More sharing options...
poopipe Posted August 29, 2007 Report Share Posted August 29, 2007 do you not get interest free overdrafts as a student anymore? jesus ermok, it's fairly simple. Stay within the overdraft limit and you pay whatever interest. probably monthly - check the the paperwork to see.Go over the limit. mr Barclay/lloyd/natwest comes round with his three burly sons and they all bugger you non-stop until the money's payed back. Once the money's paid back theyll probably charge you some more money just for fun and bugger you again if paying that takes you over your overdraft limit. make sense? Quote Link to comment Share on other sites More sharing options...
Sneakers O'Toole Posted August 29, 2007 Author Report Share Posted August 29, 2007 The buggering scenario helped alot! Just checked further into HSBC's rates and they do offer an intrest free overdraft up to £1000, silly me for not reading far enough. Will pop down the local branch and change to a student account as soon as possible.Just wish i hadn't blown my heap of cash on shiney/naughty things. Oh well you live and you learn. Quote Link to comment Share on other sites More sharing options...
Tomm Posted August 30, 2007 Report Share Posted August 30, 2007 The buggering scenario helped alot! Just checked further into HSBC's rates and they do offer an intrest free overdraft up to £1000, silly me for not reading far enough. Will pop down the local branch and change to a student account as soon as possible.Just wish i hadn't blown my heap of cash on shiney/naughty things. Oh well you live and you learn.Yeah, I was gonna say - interest free overdrafts ***. It goes up £250 every year too - Mine is on £1750 now, and will go up to £2000 if I ask nicely. But you might want to see the other topic (made by boon) - apparently when you graduate, your HSBC account switches to normal overdraft interest rates (I.e. 8% or whatever) whereas most student accounts have an interest free grace period for you to pay off the overdraft (usually 18 months or something after you graduate I think?). So it might be worth going to another bank. Also when you open student accounts you can usually get some free junk (I got a 5 year railcard) so have a look at who is offering the best deals Quote Link to comment Share on other sites More sharing options...
Has anyone seen my shoe? Posted August 30, 2007 Report Share Posted August 30, 2007 The topic Tomm was talking about was one made by me and Boon made a post about it! Quote Link to comment Share on other sites More sharing options...
Tom Booth Posted August 30, 2007 Report Share Posted August 30, 2007 I reecently took out a halifax student account, I have an intrest free overdraft for 5 years, so I have a year after uni to pay back the money before I get intrest on it It starts at £500, but as Tomm said, it goes up every year (mine goes up to £1000 in 6 months, aparently) Quote Link to comment Share on other sites More sharing options...
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