Switching - Overdraft Question

OfficerCadet

Hi all,

In the process of switching from Lloyds TSB to A&L.

I have a £2000 overdraft with Lloyds and I'm not sure if A&L will match. Do you think Lloyds might get a bit shirty if they see I'm not having my salary paid into the account? I'd make monthly payments to try and clear it...

I've recently complained to Lloyds about charges under hardship (most charges were back in 2006 - although I still live off my overdraft I rarely go over the limit now) and they have referred me to the Customer Support Unit. I got a letter from them saying they had tried to contact me numerous times (I'd love to know when, since I have had no calls or messages from them on my landline or mobile) and want me to phone up. Has anyone been able to get any help from them in terms of changing the overdraft into a loan or repayment schedules? Should I mention to them that I intend to switch?

Thanks all!

zppp

If you are in your overdraft with Lloyds, and are in financial hardhip, why would you want to apply for an identical overdraft with A+L? This is unlikely to help your situation.

Why don't you contact them and ask to set up some kind of repayment plan - I imagine thats why they have been trying to contact you?

OfficerCadet

I only want one! If A&L match then the Lloyds account will be closed. (And good riddance...)

I'll try to contact them tomorrow to see what they have to say for themselves.

zppp

Yeah, my point was, could you not open an A+L account and make regular repayments to clear your overdraft. It may be cheaper rate-wise and save hassle?

Perhaps you should do that if you are fruitless with the A+L overdraft.

OfficerCadet

Hopefully A&L will match because in that case it's interest free for 12 months. With Lloyds I'm currently paying about £20 per month in interest. Though if the customer support people can do me a loan for a better rate I suppose I should go with that, as long as I can repay early if I'm in a position to do so.

zppp

OfficerCadet wrote: »

Hopefully A&L will match because in that case it's interest free for 12 months. With Lloyds I'm currently paying about £20 per month in interest. Though if the customer support people can do me a loan for a better rate I suppose I should go with that, as long as I can repay early if I'm in a position to do so.

Weigh up your options, looks like A+L are also giving £100 to switch! Now theres an offer!!
Some banks offer an overdraft switching guarantee, I would contact them to ask them if they offer this.

OfficerCadet

In the correspondence I've had from A&L, they've said they can't offer me an overdraft outright but can possibly offer to match what I have with proof of current limit and one month's worth of statements. I'll have to wait and see I suppose.

Yeah, it's a mix of the £100 offer and my disillusionment with Lloyds TSB that's prompted me to move.

zppp

Best of luck, let us know how it goes with Lloyds and A+L

Savvy2Be

Hi, I switched to Abbey (Santander) and they matched my O/D exactly so that I was able to switch directly over. I just informed them before actually doing it that I needed the O/D in order to move banks. They had to refer it to check but it was accepted and transferred straight over.

Savvy2Be

Just noticed your reply re: getting payslips etc..they had to check for mine but did grant it. I guess its because they dont want you having 2 overdrafts, but are happy to switch one for another. If you provide the info they need it shouldnt be a problem.

YorkshireBoy

OfficerCadet wrote: »

In the correspondence I've had from A&L, they've said they can't offer me an overdraft outright but can possibly offer to match what I have with proof of current limit and one month's worth of statements.

Unless your LTSB account has been returned to credit for at least 3-15 days each month (various figures have been posted on this forum by switchers), and verifiable by the statement you send, then your chances of an O/D match with A&L are non-existant...and especially if the statement shows you were over your overdraft limit.

If your credit history/report will stand it, you might want to try for an SBT credit card and shift the debt to 0% (1-4% fees apply) that way instead?