Imp Posted January 15, 2011 Report Share Posted January 15, 2011 I have at last been persuaded to close my accounts with Lloyds TSB, after about 15 years. Todat I got my statement, which included a £5.00 overdraft usage fee for using my authorised overdraft. In addition there is £1.26 interest. I have phoned them, and apparently received a letter before Christmas telling me about this fee. I've got my statement, and worked out the equivalent interest rate I am now being charged for my overdraft - 127% !!!!! It's enough to make a loan shark blush! About six months ago, they cheesed me off, enough to check out the competition, and settle on Natwest. I didn't get around to changing, but now I think I will. Quote Link to post Share on other sites
Errol Posted January 15, 2011 Report Share Posted January 15, 2011 Yes, standard charge is now £5 for any month where an authorised overdraft facility is used. Quote Link to post Share on other sites
Venger Posted December 14, 2013 Report Share Posted December 14, 2013 About six months ago, they cheesed me off, enough to check out the competition, and settle on Natwest. I didn't get around to changing, but now I think I will. Same with RBS and Nat West now, except it's £6 "Usage Fee". Introduced back in July this year. I wasn't aware of it, and looking back through some statements I see I've been charged for dipping into my authorised overdraft. Seems reasonable to apply such a usage fee charge to me. Millions of NatWest and Royal Bank of Scotland current account customers are to be hit with new charges of up to £72 a year – on top of the interest they must pay – if they go overdrawn by more than just a tenner.http://www.theguardian.com/money/2013/may/18/rbs-natwest-fees-penalises-borrowers Quote Link to post Share on other sites
Eddie_George Posted December 14, 2013 Report Share Posted December 14, 2013 Are there any banks that don't let you have an overdraft in place, so when you try to take money out, you couldn't? I guess that'd be a silly move for banks as they wouldn't make any money from people's accidents. Quote Link to post Share on other sites
longtomsilver2 Posted December 14, 2013 Report Share Posted December 14, 2013 I recommend First Direct. £250 fee free, interest free comes as standard with their current accounts. I had a £1,500 overdraft facility with them and they charged an APR equivalent to only 9.9% no longer required this so had this revoked. Quote Link to post Share on other sites
gf3 Posted December 14, 2013 Report Share Posted December 14, 2013 I recommend First Direct. £250 fee free, interest free comes as standard with their current accounts. I had a £1,500 overdraft facility with them and they charged an APR equivalent to only 9.9% no longer required this so had this revoked. I was just looking up the details and was going to recommend first direct myself. Looks like you get a fee free overdraft limit of £500 the first £250 is interest free the next £250 is charged at 15.9% Quote Link to post Share on other sites
fluffy666 Posted December 16, 2013 Report Share Posted December 16, 2013 Same with RBS and Nat West now, except it's £6 "Usage Fee". Introduced back in July this year. I wasn't aware of it, and looking back through some statements I see I've been charged for dipping into my authorised overdraft. Seems reasonable to apply such a usage fee charge to me. Hmmm.. Overdrawn - arranged overdraft - by £42 for 1 day due to a direct debit going out early incurring a £6 charge. One calculator makes that 515% APR. I don't see that as reasonable. It can't possibly actually cost them £6, and it's a pretty major change to the T&Cs. Quote Link to post Share on other sites
hemichromis Posted December 16, 2013 Report Share Posted December 16, 2013 Barclays don't charge me a fee but the interest rate is 19.9% Quote Link to post Share on other sites
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