Halifax Bank overdraft charges hike

PaderB

I don't know if it is coincidence but since asking for details of all bank charges I received a letter yesterday advising me that my previous 'no charge' overdraft is going to cost me £1 per day from the 6th December 2009.

At the moment, all account holders get an interest free arranged overdraft up to £300. According to this letter all account holders with the exception of 'Ultimate Reward' account holders will be charged £1 a day for arranged overdrafts up to £2500 and £2 per day for larger. A worst case scenario is that you could be charged £31 per month for a penny overdrawn. Un-arranged overdrafts will attract a £5 a day charge. Whereas other banks such as Natwest are, or appearing to, lowering their charges in ancticipation of the coming ruling (perhaps setting a precedent for charges), the Halifax appear to be increasing other charges to off-set their anticipated losses on overdraft charges.

I have written to my local MP on the matter because these charges will only affect the lower paid and that as Halifax is 70% owned by the taxpayer, something should be done to curb this greed but I am not holding my breath.

PNPSUKNET

it had to come, all those trying to get out of paying you have to thank Im afraid.

Moggles_2

This is not a credit card issue and you may get replies more quickly, if you post again on the *Budgeting and Current Accounts* board

http://forums.moneysavingexpert.com/forumdisplay.html?f=20

MUMMYTO2BOYS

They're phasing it in for all overdrafts, was in the nationals a while back.

Dan:_4

This is not a coincidence. Halifax are upgrading all current account holders to their reward account. On a positive note they will pay you £5 every month if you credit your account by £1000.

PaderB

Hmm, £5 a month cash back is hardly recompense for a £31 per month overdraft fee. Also, the cash back is only for 'reward accounts' not the basic.

PaderB

Moggles.

I do not believe this post to be a credit card issue. I only mentioned the card in passing.

Mince_Pie

Think moggles was just saying you posted it in the "Credit Cards" section so you may get more response if it was posted elsewhere - also there are other threads in the same situation:

http://forums.moneysavingexpert.com/showthread.html?t=2010599

rog_dad

Bye Bye Halifax. This is really going too far .Step 1 you remove the high interest account (not unexpected the rate had dropped severely) step 2 move all accounts to reward account step 3 state this is to help us! no option! no regret! no apology! no help on help line! step 4 pay off national debt by charging us 1000's of percent interest for using an overdraft you offered us arranged and agreed, now you appear to not want. as stated at the beginning Bye Bye! I would like to say I will be back but I do not lie so I wont