Two Student Overdrafts?

Lisa-Marie88

Hi

I currently have a Student Account with Natwest and I am at the bottom of my 1600 overdraft. I have a pre-student account with HSBC (which is the account I have my loan paid into) I am wondering whether I will be able to upgrade my hsbc pre-student account to a student account with an overdraft even though I have an existing overdraft with Natwest.

I know that banks don't like you to have more than one student account but I heard from a friend that if you already have an account with the bank, they don't usually credit check you, is this true? And does anybody else have mulitple student accounts, if so, which banks are you with?

I know that it's a bad idea to have more than one overdraft as one is going to be hard enough to pay back! But I just want to use it to see me over until I get paid, as at the moment, I'm completely broke! I tried extending my Natwest overdraft to 1800 but they won't do it until September when I'm 'officially' in my 4th year


Hope you can help!
Lisa

[Deleted User]

I had an HSBC student overdraft and then due to student loans screwing up my application I found myself at the beginning of the following student year with no money. I got an overdraft from Natwest and credit card. My advice, DO NOT DO IT! I now have a stupid amount of debt to pay off, as I have graduated, plus interest! I wish I had found this website then because I would have had the common sense to find another source if income.

preable

Dont do it. It will be hard to pay off and leave you with no money

MissPop

AFAIK, one of the conditions of having a student account is that you have your student loan paid into that account, so I don't know how you have a student account with Natwest whilst having your loan paid into an HSBC account...

Lisa-Marie88

MissPop wrote: »

AFAIK, one of the conditions of having a student account is that you have your student loan paid into that account, so I don't know how you have a student account with Natwest whilst having your loan paid into an HSBC account...

Quite easily. I filled in my student finance forms before I had set up my student account with Natwest, and I never got round to changing my bank details with Student Finance. Natwest asked me about this once when I was extending my overdraft, but they checked and could see that I was transferring it over from my other account, and that my wages were also regularly deposited into the account anyway so as long as I have regular payments to my account they are happy!

Lisa-Marie88

preable wrote: »

Dont do it. It will be hard to pay off and leave you with no money

Yeah I did say this in my original post. Im only looking to borrow about £200 until I can pay it back when I get paid, like I said it's just to see me over until then. I have no money coming in this month so it would be very handy. Last thing I want to do is max out another overdraft!

Lisa-Marie88

drinkupretty wrote: »

I had an HSBC student overdraft and then due to student loans screwing up my application I found myself at the beginning of the following student year with no money. I got an overdraft from Natwest and credit card. My advice, DO NOT DO IT! I now have a stupid amount of debt to pay off, as I have graduated, plus interest! I wish I had found this website then because I would have had the common sense to find another source if income.

I do to realise there are other sources of income. I have a job but Im not getting paid until the end of summer and I was hoping of using a couple of hundred from another overdraft as a loan until then, not maxing it out. I understand what you mean though, getting myself into more debt wouldn't be a very good solution!

[Deleted User]

Lisa-Marie88 wrote: »

I do to realise there are other sources of income. I have a job but Im not getting paid until the end of summer and I was hoping of using a couple of hundred from another overdraft as a loan until then, not maxing it out. I understand what you mean though, getting myself into more debt wouldn't be a very good solution!

Why don't you ask your current bank if you can extend your overdraft until the end of summer? Another option is that your students union may offer an emergency loan. Mine would loan £50 in cash there and then if I gave them a post-dated cheque and had a cheque guarantee card. £50 is not a lot but it is something at least and as it is from the union you will not be charged interest on it.

robin_banks

Overdrafts are in effect repayable on demand, so why would you want to have 2 O/D's?

Fang_3

I had three. One now. I was very open about it, and as long as I made regular payments into the accounts there was never a problem.

leopard85

I have two student accounts and two overdrafts. My main bank gives me a £2000 interest free overdraft with no financial penalties for going over, while the second one (Barclays) only gives me £200, charges interest and charges £10 for going over by 1p! Consequently I didn't use the second bank much, and only ever as an emergency to be paid off asap.

If you're going for the second overdraft just make sure you can pay it off - don't borrow what you can't afford or it will come back to bite you.

Personally, my overdraft is my only debt, and I like it because I can keep an eye on my finances every time I go to the cash machine and every pay day I claw my way closer towards the black.

In your situation I would advise the overdraft over a credit card as I've seen enough people getting sucked under by them to be put off for life! Just be aware that the second bank will charge you interest etc. so be sensible and don't become dependant on it.