Bank of Scotland Preference Account?

[purplepixi]

Sorry if this is in the wrong place, but I wasn't too sure.

My OH has just applied for a small load £1500 to top up our funds to buy a new car with the Royal Bank Of Scotland.

However, when he was on the phone the girl told him he automatically qualified for a Preference Account, with £1500 credit already on it.

Now for me that was alarm bells. But I really don't understand what this account is.

It's not a credit card, and on the back of the form it states it's an agreed overdraft limit of £1500, but you pay it back like a credit card.

I've looked on the rbs website and can't find any information on it. If it is a proper account then we'd use it as such - paying in money to spend rather than drawing on over draft funds. But if it's just a fancy way of arranging more credit and I can't pay in normal funds, then we won't be signing the form.

If any one has one of these accounts please can you enlighten me - is it a credit account or is it a normal bank account with a high rate overdraft facility?

Thanks

Laura

[Heng Leng]

Is it Bank of Scotland or Royal Bank of Scotland?

Originally Posted by purplepixi

Sorry if this is in the wrong place, but I wasn't too sure.

My OH has just applied for a small load £1500 to top up our funds to buy a new car with the Royal Bank Of Scotland.

However, when he was on the phone the girl told him he automatically qualified for a Preference Account, with £1500 credit already on it.

Now for me that was alarm bells. But I really don't understand what this account is.

It's not a credit card, and on the back of the form it states it's an agreed overdraft limit of £1500, but you pay it back like a credit card.

I've looked on the rbs website and can't find any information on it. If it is a proper account then we'd use it as such - paying in money to spend rather than drawing on over draft funds. But if it's just a fancy way of arranging more credit and I can't pay in normal funds, then we won't be signing the form.

If any one has one of these accounts please can you enlighten me - is it a credit account or is it a normal bank account with a high rate overdraft facility?

Thanks

Laura

[purplepixi]

A-ah - looking at the paperwork it's The Bank of Scotland. Not The Royal Bank of Scotland. I didn't know there was a difference!

[ShelfStacker]

Just did a quick Google, as BOS don't mention it on their site, and it turned up this:

http://www.ciao.co.uk/Bank_of_Scotla...Review_5716106

Summary: run. Run very very fast, in a completely different direction.