Halifax overdraft charges...new!

vicki1986_2

Just to add to this, the £35, £28 and monthly deibt/credit interest is stopped on URCA at this point too and only have these new OD charges.
Hica is being scrapped and so best to go in and review your existing account by December.
All OD charges will be the same for Visa debit cards, not electrons.

PROLIANT

Well, I use my £100 overdraft every month for cash flow, I still have the HICA and I am in my overdraft for about 1 week max, if they think I am paying £1 per day they can get stuffed!
Off to another bank.

apt

It makes sense to use those overdrafts which and fee-free and interest-free like the £250 offered by First Direct. But the interest rates on the Halifax HICA are well over 15%. Even under the present charges it does not make sense to fall into overdraft on this account if you can avoid it.

PROLIANT

apt wrote: »

It makes sense to use those overdrafts which and fee-free and interest-free like the £250 offered by First Direct. But the interest rates on the Halifax HICA are well over 15%. Even under the present charges it does not make sense to fall into overdraft on this account if you can avoid it.

I pay 16p per month interest, I am credited 18p per month interest...free overdraft at the moment no?

minerva_windsong

That's not going to apply to the student account is it?

YorkshireBoy

PROLIANT wrote: »

I pay 16p per month interest, I am credited 18p per month interest...free overdraft at the moment no?

No, you're paying for it with the reduction in credit interest that could be earned if you didn't go overdrawn (is the way I'd look at it).

You're in a 'comfort zone', being as you're still in profit at the end of the month, like the old Moneyback account holders were earlier this year. They, too, were up in arms when their accounts were converted to Reward accounts (in Feb '09?).

You haven't so far had the 'push' required to get out of the overdraft. The new charging structure will hopefully deliver that push because, lets face it, £100 this month should be £80 next month, £60 the next and so on shouldn't it?

If you do decide to move, rather than manage the overdraft down, then choose your next provider carefully because I suspect we'll see far more of these accounts (with O/D fees as opposed to O/D interest) appearing over the next months and years.

HBOS4ME

SamH90 wrote: »

If you ring them up they will let you off the first charge but not a chance with any subsequent ones.

!

Perhaps you shouldnt get in the position of being charged in the first place :rotfl::rotfl::rotfl:

LongTermLurker

HBOS4ME wrote: »

Perhaps you shouldnt get in the position of being charged in the first place :rotfl::rotfl::rotfl:

That's a bit naiive (being polite :rolleyes:) - perhaps HBOS, along with other banks, shouldn't have offered some people unsustainable mortgages along the lines of 5+ times their income and 1 quarter again more than they needed to buy their houses? That doesn't apply to everyone who needs to use their overdraft, but it's one example of the banks' involvement in encouraging individual indebtedness. Maybe they shouldn't offer overdrafts in the first place?

I happen to like Halifax and don't need to use my overdraft, but to slag off people who do, just for fun, without offering anything constructive in return is just wrong.

Comyface

SamH90 wrote: »

Watch out for their £35 fee's which you get charged if someone (who shouldn't have done!) takes money that isn't there.

If you ring them up they will let you off the first charge but not a chance with any subsequent ones.

Sorry if this is a little of topic!

The £35/£28 penalty fees are disappearing with the introduction of the new charging structure.

Call me a cynic but these new fees are fees for services provided (overdraft) rather than penalty charges. Does that mean they won't be subject to the 'unfair penalty charges' ruling (when it arrives!)? Is this why HBOS are going down this route I wonder?

PROLIANT

Such a shame the banks have went this way, they should keep the £35 penalty and penalise the idiots that cant manage their money until they learn and put the "able to count" folk back on the 15% APR overdraft rate so as not to get charged a huge fee for the use of a small overdraft.