Why are Natwest charging so much for my overdraft?

sturgeon

I have an agreed £4,500 OD with Natwest, and am near that limit right now...I was a first time buyer, just bought a property so knew I'd have to dip quite a bit into the overdraft.

Anyway, as far as I've ever seen, Natwest have been charging 29.9% interest on this 'unarranged overdraft'. How is it 'unarranged' if it's agreed with the bank, and secondly after a quick google search, it seems this exortionate % rate is far higher than that of any other advertised OD rates for Natwest and indeed any bank?!

They've already messed me around as I'm a graduate and never gave me the requested interest free overdraft when I was a student, nor when I graduated. I wrote a long letter and they refunded all paid interest and compensation. I mean to write to them again as they since continued charging me interest, but now I think I need to address this OD situation as the 29.9% is just really not helping me out!!

sturgeon

Nope, not at all. I was in the branch only about 8 weeks ago increasing the OD to the £4,500 so it was hardly unagreed!

Kavanne

If it is an arranged overdraft, you can find the applicable rate under 'rates and charges' on their website.

CG19a

The statement comes through the part that lists the charges at the back always states what the charge for unarranged borrowing, however it doesn't mean you are being charged this rate. I think its just there to let you know if you do go over your overdraft.