which bank is the lesser of the evils?

starsinmycrown

Hi, now that lloyds and yorkshire et al, have started this outrageous £25 a day penalty overdraft business- which bank in your opinion has the lowest penalty fees? I'm looking to open a new account because i'm not at all happy to bank with somebody who thinks £60 is okay for a day's charge and on principle disagree with making money out of people who are struggling! Which is the lesser of the evils and what does your bank charge?

cifpower

Surely if you budget etc you will not have the charge in the first place?

noah271007

starsinmycrown wrote: »

Hi, now that lloyds and yorkshire et al, have started this outrageous £25 a day penalty overdraft business- which bank in your opinion has the lowest penalty fees? I'm looking to open a new account because i'm not at all happy to bank with somebody who thinks £60 is okay for a day's charge and on principle disagree with making money out of people who are struggling! Which is the lesser of the evils and what does your bank charge?

Lloyds actually will give you a grace period until 15.30pm when your account go over the agreed limit before charges can be applied. I don't think i can recall other banks who have this special arrangement. Why don't you request an overdraft in case this happen?

ShelfStacker_3

cifpower wrote: »

Surely if you budget etc you will not have the charge in the first place?

This is the best solution, coupled with an overdraft facility on the account. Doing this, I haven't been over my limit for well over a year.

noah271007

A&L seems to be the best account for your needs. Have a look at their PREMIER account. you get 0% overdraft for a year, and then afterwards if you are still using it, charge 50p per day up to a maximum of £5 a month.

ShelfStacker_3

noah271007 wrote: »

A&L seems to be the best account for your needs. Have a look at their PREMIER account. you get 0% overdraft for a year, and then afterwards if you are still using it, charge 50p per day up to a maximum of £5 a month.

And if you go over, £5 a day. And you have to deal with Alliance and Leicester, which I can state from personal experience is not enjoyable in the slightest.

YorkshireBoy

ShelfStacker wrote: »

And if you go over, £5 a day.

Plus a £25 payment review fee for the transaction that caused you to go over...and the same again for each and every debit presented whilst you are sitting in your unauthorised overdraft.

There also doesn't appear to be a limit to the number of fees that can be applied...either per day or per month.

Hmmm...still looks like learning to budget is the best way forward.

ShelfStacker_3

YorkshireBoy wrote: »

Hmmm...still looks like learning to budget is the best way forward.

Oh but that's so much effort...

rb10

noah271007 wrote: »

Lloyds actually will give you a grace period until 15.30pm when your account go over the agreed limit before charges can be applied. I don't think i can recall other banks who have this special arrangement. Why don't you request an overdraft in case this happen?

The new Halifax Reward account has similar to this as well - you can go as far overdrawn as you like (or, as they'll let you) during the day, as long as the account is in credit by midnight, you won't be charged.