Natwest Loan - Linked to Current Account?

davec6550

Hi,

A couple of years ago I got a loan at a very good rate (6.9%) from Natwest. One of the reasons that I got such a good rate was that that I hold an Advantage Gold account with them (which is my main current account).

I'm looking at moving my current account for various reasons, but my concern is what will happen to the loan, there is about 3 years left to run on it and I wouldn't be able to get a better rate anywhere else.

Should I leave the account open and downgrade the account do that I don't pay the £12 per month? Or will this cause problems with the loan?

Should I close the current account entirely?

If anyone has come across a situation like this before please let me know, I don't trust the bank to give me a straight answer if I ask them, since they'll obviously want to keep my business.

Many Thanks

Dave

Kavanne

If you have a normal personal loan with the bank then the rate is fixed at the time of application and won't change if you downgrade your adgold.

dumb_blonde

we have the same thing.you wont be able to close the account because of the loan.We couldnt cancel the d debit for the loan and send it from somewhere else but we did manage to downgrade the account.

Dekazer

I was in a similar situation with HSBC. In the end they did let me transfer the Direct Debit to another account - I now pay off the HSBC loan directly from my Co-op current account. There has been no impact on the total remaining to pay. I still have an HSBC current account but only because I haven't quite got round to closing it - it's been completely empty for ages now.

I think they gave in because I originally went in intending to pay off the loan in full and close down all my accounts (loan, Current and credit card) because they had treated me so shoddily. I happpily told them that I had transferred everything to the Co-op for ethical and customer service reasons