Overdraft

WaxiesDargle

Hi

I have an overdraft facility with the Halifax of £5500 and I am currently overdrawn by £3000 :eek:

With the new fixed charges coming in could anyone enlighten me as to what will be the difference in charges for my account. Thanks.

YorkshireBoy

WaxiesDargle wrote: »

...could anyone enlighten me as to what will be the difference in charges for my account. Thanks.

It depends on which account you have at the moment, and therefore how soon you're migrated on to the new account, but here's the Halifax press release...

http://www.hbosplc.com/media/pressreleases/articles/halifax/2008-12-12-Anewapproa.asp?section=halifax

In summary, debit interest and paid/unpaid item charges are being removed and replaced by £1/£2 daily charges based on the size of the debit balance (and a £5 daily charge for exceeding your agreed overdraft).

opinions4u

£3,000 will cost you £2 a day = £60ish a month if you have the new account.

Get it below £2,500 and it will cost you £1 a day = £30ish a month.

Stick with what you've got and you'll probably be paying £40-£50 a month in interest.

My advice? Get it below £2,500 asap.

YorkshireBoy

opinions4u wrote: »

Stick with what you've got and you'll probably be paying £40-£50 a month in interest.

Unless OP has the Moneyback account (and therefore will be the first to be migrated), in which case they'll only be paying around £17 per month now for £3K at 6.9% EAR.

WaxiesDargle

Thanks all...much appreciated

I have an ordinary current account with the Halifax and have been with them for ages