We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

What if....

petelangfield
petelangfield Posts: 6 Forumite
in Savings & investments
Hi, just a question that semi-bothers me:
I have a student account and the interest free overdraft is maxed with the money from it in a savings account. Suppose the bank that the student account is with falls into admin, can they charge interest on the money i owe them?

Thanks
Pete

Comments

  • RayWolfe
    RayWolfe Posts: 3,045 Forumite
    1,000 Posts Combo Breaker
    Oh yes. You don't get out of your moral obligations that easily. Don't take your stance on life from banking executives.
  • slopemaster
    slopemaster Posts: 1,584 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    surely not?
    Its an "interest free" overdraft, the Administrator can't just change the terms you signed up for?
  • Lokolo
    Lokolo Posts: 20,861 Forumite
    Part of the Furniture 10,000 Posts
    they can take the OD away and charge you for being over the OD.
    Key, always keep an eye on your accounts.
  • Masomnia
    Masomnia Posts: 19,506 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Check your terms and conditions. I should imagine it will say something to effect of 'Overdraft repayable on demand', which means that yeah, if they fell into difficulty they could take it away and slap charges on you.

    It's dodgy, I was nearly caught out putting my overdraft in with Kaupthing, fortunately I got my money today!
    “I could see that, if not actually disgruntled, he was far from being gruntled.” - P.G. Wodehouse
This discussion has been closed.
★ ★ ★ Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.3K Banking & Borrowing
  • 254.4K Reduce Debt & Boost Income
  • 455.4K Spending & Discounts
  • 247.3K Work, Benefits & Business
  • 604K Mortgages, Homes & Bills
  • 178.4K Life & Family
  • 261.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.
Update Your Picture