Lloyds basic account to student account

925dancer

I have had a basic account with Lloyds for about 3 years or so (opened after a couple of years being a student) but after some terrible service from them I moved to Barclays who gave me a proper grown ups account about 2 years ago.

Over the last year or so I've had a lot of financial trouble due to unemployment and rather than sit around being bored I have decided to change my career and go back to college. Barclays changed my account to a student account but won't budge on the overdraft issue (they won't give me one) which is fair enough really although I've managed my account with them well during the whole period.

I'm now wondering if Lloyds might be more amenable to giving me a student account with an overdraft? I have just changed my student loan payments to go into that account in the hope they will look favourably on that and see regular payments now going into that account again.

Should I try now to upgrade? Or should I leave it two or three months for payments to show as going in?

I'll add that I now have two catalogue accounts which have been running perfectly fine for 3 months and a Vanquis for 2 months, I know this isn't a lot but is something. I also have a mobile contract which started in June which has always been fine as well.

I have tried other banks but have been declined.

Anyway, any advice greatly received!

LolaLemon

Lloyds have a student account where you can get up to £3k overdraught (i think i could be making that number up!) but it is given in incriments for every year u study.
I thought about taking it out, but im already with them and im looking to get away from them

they have a leaflet in shop about student accounts, you need your student loan to be going in to the account to get it, so your sorted for that
best maybe to go in and speak to them and see what they say

925dancer

I know what they offer, it's just I have a poor credit history (just waiting for my Experian report to come through to see exactly what I'm dealing with) so it's less about amounts of overdraft and whether they will give me an account.

I am currently working two part-time jobs on top of full-time study so would rather know of my chances before trying to find time to go in for an appointment with them (already tried over the phone but was told I'd have to go in branch).

925dancer

More info! Got access to my Experian report today and it has one default of £471 with a catalogue dated April 2009, otherwise it just has my current credit accounts, all with varying numbers of 0's next to them.

So that is much better than I expected (although I understand that's just one report).

Who do Virgin report to? I've had an account with them for over a year now for TV, broadband and phone but it's not on my Experian report.

jonesMUFCforever

Poor credit history = no overdraft with Lloyds - you will get the same response as that of the other banks that you tried.

paulmcerlean

With a default (one of the most serious bad marks on a credit report), you will stand no chance of an overdraft with Lloyds. None.

Same with the other banks.

925dancer

Really, even though there are people who have posted here with defaults who get upgraded and get overdrafts etc based on their account conduct?

thatsean

With evidence that you couldn't repay under £500 in the last 18 months, I doubt they will hurry to offer you unsecured credit. You may qualify for an enhanced account, but I wouldn't hold my breath for the overdraft.

925dancer

Ah well, I have an appointment on Monday so will see what they say although I pretty much suspect I know the answer!

Barclays did say to get my Experian report and to go into branch with it to see what they could do, although I'm not convinced that would make any difference either.

paulmcerlean

925dancer wrote: »

Really, even though there are people who have posted here with defaults who get upgraded and get overdrafts etc based on their account conduct?

Who?

An account upgrade PERHAPS from silver to gold etc..., but the student account offers unsecured lending up to £3K and more so, really do try as you wont know unless you do, but I can be almost certain they will decline you.

LLoyds are good to customers who treat them right, but very hard to get new credit from unless you have a nice clean credit file and unfortunately a default is one of the most serious misdemeanours you can have on there.

Nothanks

Also, account upgrades aren't necessarily credit scored if you already have a scored account. EG: Standard current account - packaged account = no credit score required. Basic account - packaged or standard current needs a credit score. Student accounts live in a kind of limbo between the two, they are scored, but requirements are different.

Watch out for the old chestnut of "We'll upgrade your account to a gold one for only mumblemumble pounds a month, and that will help you build a credit rating for the overdraft." <- this is phooey.