Need Some Advice

luckystarr

Hello all

This is my first ever post so unsure if i have put in the right forum (apologies if i havent)

Me & my Partner need some advice.. we bank with natwest and have everything with them loans/cc/overdrafts etc.

We have heard stories that they could wait till we get our wages in which would clear our overdraft and then take the overdraft from us therefore leaving no money for the month, as we currently do live out of the overdraft.

We are considering moving our bank accounts and getting our wages paid elsewhere and paying off the overdrafts when we can instead of our wages clearing them and living out of it for the remainder of the month.

Any advice would be greatley appreciated as we are determined to become debt free in the next 2 years, (other than the car payment loan)

we currently pay off £550 a month, every month from the debt and with any additional funds at the end of the month if we have them left over.

our accounts stand at the following
Joint Account overdraft £2000
me & my partner account total overdraft £150
my credit card £500
partner credit card £1200
loan £6500
car loan with another company £7000
family loan £800

thank you for any advice you may give us.

RAS

luckystarr

bank certain can off-set your income into one account against the debts owed to them on other accounts.

I think you need to start with a full SOA, as I do not understnad your list above. Do you have two joint accounts with Natwest and two ODs?

We need to know what the APrs and terms of the accounts are (for instance so much OD may be interest free), the APrs on the cards, their limits, when the loan ends etc.

if you abruptly move to another bank and leave no income in your bank, you may damage your credit rating but there may be ways of making things safer.

here is the SOA calculator http://www.makesenseofcards.com/soacalc.html

You need to format for MSE and remove the web-link at the end as you will not be allowed to post links as a newbie.

MrC1977

In principle they can but as you are up with your payments on everything they are unlikely to as they are earning the interest/fee for you being overdrawn each month and your are paying them for the other debts. I think the problem only starts when you default on your payments

NeverEnough

This sort of situation can make you very vulnerable if, for whatever reason, the bank decides to call in their loans / credit cards / overdrafts - deep in the small print, banks reserve the right to do this at any time for any reason - there is no such thing as a "right" to a credit card or overdraft!

It is however, unlikely that they will pull the plug on you unless you start missing payments or defaulting. Nothing to stop you having an account with a bank not connected to them, however, and putting some money through that account as well. Just as well not to have all your eggs in one basket.

luckystarr

Thank you for all of the replies on our post very greatfull for all the advice given it has helped us a lot.
:T