Bank Charge question

micksom

Hi,

this is a very general question.

My internet banking has updated and as of tomorrow I will go into an unplanned overdraft of £100. I have a cheque of £500 to put in the bank. This will DEFINITELY clear, but in the 3-5 days required.

If I give the cheque to the bank tomorrow as this will increase by limit back into a planned overdraft, even although the funds havent cleared. Would I avoid a charge?

Azrael_1701

Would check with the bank, but usually no, it would need to clear.

iblametheparents

micksom wrote: »

Hi,

this is a very general question.

My internet banking has updated and as of tomorrow I will go into an unplanned overdraft of £100. I have a cheque of £500 to put in the bank. This will DEFINITELY clear, but in the 3-5 days required.

If I give the cheque to the bank tomorrow as this will increase by limit back into a planned overdraft, even although the funds havent cleared. Would I avoid a charge?

What bank? Some Barclays customers have an instant access feature when they pay a cheque in under a certain amount and it is treated as available as soon as it is paid in.

micksom

the bank is lloyds.

waiting on receiving cheque in post now. only alternative for me was to take a £100 cash advance on my credit card.

Its chepaer than £20=£30 in charges even with the interets

onlypaddy

if you pay it in over the counter then it should be added to your balance straight away, but not become available until after the usual clearing cycle. This should avoid the unplanned overdraft, but any standing orders or direct debits within the clearing cycle will be returned unpaid and you wont be able to take any money out.

why are you going into unplanned overdraft?