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Clydesdale Bank Overdraft Rate

Hi there, I had a OD from Clydesdale Bank. They offered it to me £5k.
I have significant deposits with them like £100,000 +
I get zippo interest
So when they offered me the OD at 2% over BofE that seemed good to me. (As I try and keep my income below the high tax threshhold its seem good to use the OD)
Now they say its going to go up to not 2.5% not 3% BUT 6%!!!
Due to market forces - yet the deposit rates are NOT GOING UP!!!

Of course I will repay this loan.

The T&C seem to allow them to do this but can they!!???

Comments

  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    6% over BoE rate is a fantastically good rate


    to spend money on interest to avoid tax seems somewhat bizarre but I don't know the full circumstances
  • LeeSouthEast
    LeeSouthEast Posts: 3,822 Forumite
    Part of the Furniture Combo Breaker Debt-free and Proud!
    A very very good rate indeed.
    Starting Debt: ~£20,000 01/01/2009. DFD: 20/11/2009 :j
    Do something amazing. GIVE BLOOD.
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