Switching bank acount - are old bank likely to cause trouble?

sunday_girl

Hi

Situation is that we currently have a joint account with the Natwest. This is £2600 overdrawn (to it's max) and we also have a loan with them - current balance just under 11k. Really struggling with the OD as it's the highest APR debt and just feel we are never going to get out of it as the account is the one all our dd's etc go out of and it's like swimming against the tide. Spoke to NW re the overdraft who offered to refinance the loan (ie. consolidate the OD onto the loan). Obviously, being a member here I know that's not a good move and will increase our debt instead of start to reduce it!

So today I've applied and been approved for an A&L current account using their switching service. Once switched I would then plan to pay money over to the overdrawn account to pay the interest and bring down the balance. The loan will be paid monthly as normal. My question is....do you think the Natwest are likely to kick up a fuss and call in the full overdraft if I do this or is it not in their interest if we are still paying our monthly commitments to them? Has anyone experienced anything similar?

Thanks

immoral_angeluk

It's difficult to say. They may ask for full payments or they may accept your monthly payments. If they ask for the lot you'll just need to send of a financial statement showing what you can afford to repay.