Halifax Halifacts Halifiction

noh

Robert_Sterling wrote: »

You could not be more mistaken in your assumption.

Unless you explain the point of your original post all that others can do is to make assumptions as to why you posted it.

Robert_Sterling

OK

I posted it for the following reason.

If your overdraft is £2,500 for one year then the fee you will pay is £365 for one year.
The fee then equates to an APR of 14.6%.
If your overdraft is less than £2,500 the fee is the same so that the APR which it equates to is higher than 14.8%.
In fact it can be a lot higher than 14.8%.
The Halifax has changed from using an interest rate to using a fee.
Thus it is able to escape quoting an APR.

noh

Robert_Sterling wrote: »

OK

I posted it for the following reason.

If your overdraft is £2,500 for one year then the fee you will pay is £365 for one year.
The fee then equates to an APR of 14.6%.
If your overdraft is less than £2,500 the fee is the same so that the APR which it equates to is higher than 14.8%.
In fact it can be a lot higher than 14.8%.
The Halifax has changed from using an interest rate to using a fee.
Thus it is able to escape quoting an APR.

Yes we know that.
The Reward current account has been in existence since February 2009.
Halifax publish the fees and the charging structure is very clear.
I ask again what was the point of your post?

LongTermLurker

Robert_Sterling wrote: »

OK

I posted it for the following reason.

If your overdraft is £2,500 for one year then the fee you will pay is £365 for one year.
The fee then equates to an APR of 14.6%.
If your overdraft is less than £2,500 the fee is the same so that the APR which it equates to is higher than 14.8%.
In fact it can be a lot higher than 14.8%.
The Halifax has changed from using an interest rate to using a fee.
Thus it is able to escape quoting an APR.

I echo comyface: "done to death".

The account clearly states that it pays £5/month if you pay in £1000; it also charges you £1/day if you use your OD of less than £2500.

An overdraft, of any description, is not designed as a long term loan - if you are using your OD for a full year, whether £2500 or £250, you have the wrong product - you should either have a short term loan or a 0% credit card.

People winge and whine about the flat fee (and a flat fee can be nothing but clear), but forget about the £25 - £30 fees and high interest rates that banks used to charge.

If you want to be pedantic, I'll call it "the best savings account in the world", as with only £1 left in it pays 6000% interest pa! (OK, I know some drop to zero, but I can't work out the return on £0 )

noh

LongTermLurker wrote: »

.........................
If you want to be pedantic, I'll call it "the best savings account in the world", as with only £1 left in it pays 6000% interest pa! (OK, I know some drop to zero, but I can't work out the return on £0 )

The return on £0 is infinite.

LongTermLurker

noh wrote: »

The return on £0 is infinite.

of course it is :cool:

Much easier to quantify with £1 though

AnonymousForObviousReason

noh wrote: »

The return on £0 is infinite.

Just don't try to divide by zero!

masonic

My balance at the end of the day is never more than 1p, so I'm getting 600000% AER.

Loughton_Monkey

AnonymousForObviousReason wrote: »

Just don't try to divide by zero!

I like to try every now and again.

I used to think the answer would be infinite, but as any fool knows (thanks to Excel) the correct answer is #DIV/0!

rb10

Loughton_Monkey wrote: »

I used to think the answer would be infinite, but as any fool knows (thanks to Excel) the correct answer is #DIV/0!

This takes us on to the argument as to whether Microsoft or Casio are better at Maths.

My calculator clearly says that the correct answer is Math Error.