Student Overdraft Renewal (or not!)

muzza4501

I am a final year student with an HBOS student overdraft. I have been told that due to not crediting the account they will not renew my overdraft limit. This means that i have less than two weeks to credit the account with over £2000 or I will start to get charges and gather interest.

I offered to credit my account immediately and also pay my student loan into the account every month.

I was told that this may help in the long run but essentially that on the 2nd of December I will not have any overdraft at all and will therefore be over £2000 into an unauthorised overdraft.

Surely it cannot be as black and white as that as I am willing to credit the account on a regular basis. I was told that head office will be dealing with it on the 2nd of december but will not touch it before then. This means that i either find £2000 or will have to pay a charge on that date. I am not trying to increase the limit, just keep it exactly as it is.

Please can someone offer advice!!!!!!!

Lokolo

So you expected to live off your overdraft without any income...? Nice one.

You can ask them to stop charges and start a repayment plan. Although I am not sure how you will do this without any income....

Maybe its time to get a job?

xplora

wow, I could not believe they're doing this because at least it doesn't happen to me until my studies is over and they automatically switched from Student Account to Current Account. They never telling me when my account is changing to Current account and it was changed without any notice. I was charged for about 6-8 pounds interest for that month and pay it off immediately when i noticed in my online banking, but they never decided to withdrawn my overdraft despite my account was never in credit before. Funny that it mentioned as "notified charges"

Probably it is due to credit crunch

jonesMUFCforever

To all students not just the 2 above - before posting on here please advise us how many interest free student accounts you have!

xplora

jonesMUFCforever wrote: »

To all students not just the 2 above - before posting on here please advise us how many interest free student accounts you have!

I'm not a student anymore?

rb10

xplora wrote: »

Probably it is due to credit crunch

I love this phrase, it makes no sense in this context! What does the credit crunch have to do with it??

You stopped being a student - did you really think you could carry on with the student account? Clearly they will switch it to a standard one, where there are interest charges.

xplora

rb10 wrote: »

I love this phrase, it makes no sense in this context! What does the credit crunch have to do with it??

You stopped being a student - did you really think you could carry on with the student account? Clearly they will switch it to a standard one, where there are interest charges.

i meant the OPs not myself. Get some common sense. Who the world doesn't know that Student Current Account is only for Student, doh!

Before i said credit crunch, didn't you see i was explaining that I did not have my overdraft withdrawn by HBOS as my account was never in credit since i applied?

birduk

Shall we go back to the question? Muzza, I had exactly the same experience mid-way through my placement year with Natwest. I decided to get out as soon as possible. I applied for an account with Barclays who then gave me a fat overdraft that I am still living in (they haven't asked for it back yet and it is interest-free so the money is in my savings account instead). I am sure they will ask at some point and I can then give it back or they will convert me to a graduate account one day.....

So my advice would be to go see another bank, they should have no problems giving you an instant overdraft as long as you pay your loan/grant into them on a regular basis- that is the key. They don't care how poor you are as long as they see some consistent activity on your account. Good luck!