Help! Graduate overdraft halving v. soon

Clarita

I've got a graduate account with Natwest and as I graduated last June, I've just realised my interest-free overdraft will be halving from £2000 to £1000 very soon (suposed to be after a year from graduation). I'm about £1800 into the overdraft so I'm in a bit of trouble as I don't earn enough to pay off enough in the time.
Does anyone have any ideas of what to do? I could pay off at least up to the £1000 mark but I need at least a couple more months. Any advice greatly apreciated

Eels100

Phone around other high street banks and ask whar overdrafts they could offer. RBS did me a £1500 OD until 2 years after graduation (but that's for a professional degree, don't know if it applies generally). Might be worth a shot. OR phone your branch, explain the predicament and ask if they'll extend for a couple of months. Don't go for the graduate loan though - bad move!

equitydealer

I believe the Premier Current Account with Alliance and Leicester will give you 0% interest free and match your current overdraft.

You'll have to check if they still do this.

HGLTsuperstar

Get a 0% BT credit card to cover the outstanding amount.

Lizbeth

I was in the same position early this year (unfortunately Barclays let me keep my £2,200 graduate overdraft without writing to let me know the 0% had stopped months before! :eek: ) - it was at the same time I discovered MSE, started actually reading bank statements and quickly decided to open an Alliance & Leicester Premier Direct current account!!

Once the account was opened with an overdraft facility of £500, I wrote to them and they matched my previous overdraft (had to send them a copy of bank statement as proof).

They only match it for a year - in which time I will have worked to clear it anyway (and then will be able to benefit from the account's good interest rates)! If you're going to get A&L account to match your overdraft, apply before your current bank halves it!

KTF

My girlfriend is in the same situation (0% overdraft of £1k going to be reduced to £500). She called up Natwest and asked them if they would meet half way @ £750 for 6 months then down to £500 as originally planned.

Their reply was that it was 'non-negotiable' and it would go down to £500 regardless so I opened up an A&L account for her and we are just waiting for the paperwork to arrive so we can sort out the transfer.

Rafter

£800 for 2 months at what about 10% interest?

About £6 per month.

Hardly unfair of Natwest to charge you that given you have had a free overdraft from them for years.

You may be able to switch somewhere else, but maybe the interest bill will be a good incentive for you to pay it down the the £1000 level?

Paying interest on borrowing is a fact of life unfortunately.

R.

melancholly

just a thought - i had a natwest account and they started to charge me interest on my overdraft without any extra warning to the letter you will have received when you graduated. Check the dates on that because I don't think they send you anything now-ish about it (they certainly didn't to me!).