Student Accounts and Credit Ratings

Hestar

I know this is my first post but I've been thinking about it for a little while after gaining some inspiration from the other posts on Multiple Student Accounts.

I was just wondering what the deal is with overdrafts on student accounts and credit ratings?

If you are into your 0% overdraft on a student account does it count against you because you're just borrowing money...even though you don't have to pay interest?

A few people have said that some Student Accounts haven't come up on their Credit Reports...what banks specifically have you guys found which don't give you any problems? Or are there some accounts which come up on the Credit Report, but don't show your balance? If they do come up on the Credit Report do you think it will be a major set-back later on in life when trying to get a loan or credit card?

Thanks for all your time, I'm just trying to figure out the bad points of Multiple Students Accounts

Hestar

Ryan.Maloney

Yeah I got multiple student accounts a few years ago, intitally for the free gifts (NatWest - free £50, HSBC - free £50, Barclays - vouchers etc)

I lied through my teeth to 2 banks and said I this was my first ever bank account

But I have heard of horror stories of a student who was caught and they sent the baliffs around

Also they send out letter if one of your current account hasn't been credited for a while.

I believe the banks have wised up to this and soon they will share details? I might be wrong.. just what i've heard.

Hestar

cool, well I'm planning to keep money flowing around them all so hopefully it should be ok.

But what i'm really curious about is if all these overdrafts give you a bad credit rating? Or because I don't have to pay any interest is it all ok?

Cheers,

Hestar

lauz_snores

Don't worry, it doesn't work against you. I'm £1000 into my overdraft (i get £1250) and my credit rating is really good as i recently checked with Experian. AS long as you dont go over your O/D limit your rating shouldn't be affected.

Though i would discourage against getting more than one - i've heard the horror stories Ryan.Maloney mentioned too. Also when u've got all that money there you can borrow for free, 9 times out of 10 u will ... then u've obv got more to pay back.

Hestar

Lol so does that mean with a few overdrafts my credit rating should be doing pretty good

I will think about the multiple accounts thing, I'm kinda just hoping that as long as I keep the activity going within the accounts it should be fine, especially as i can make different payments go into different accounts so there will be money going into them all.