Current Acc & Savings with same bank

Brian_The_Lion

I've got both a current account & savings account with Santander. I was just thinking the other day about how overdrafts are repayable on demand, as per T&C's.

If I was asked to repay my OD in full and didnt have the full amount would the bank be allowed to take the remaining balance from my savings account or are they treated as totally separate entities?

HouseHuntr

Yes they would if you had a problematic account, fully explained in your T&C's, it's called offsetting.
It's only usually happens with extremely poorly managed accounts.

Brian_The_Lion

thanks HouseHuntr - I was kinda having doubts in my mind about just how safe my savings were. Think it might be time to consider switching! All your eggs in one basket and all that!

scott_lithgows

Brian_The_Lion wrote: »

thanks HouseHuntr - I was kinda having doubts in my mind about just how safe my savings were. Think it might be time to consider switching! All your eggs in one basket and all that!

And a rotten basket too.

agsnu

Although since you're more than likely paying more interest on your overdraft than you are receiving on your savings, surely it makes sense to pay off your overdraft with your savings anyway?