Santander changes to overdraft fees !!

collywollys

http://www.santander.co.uk/csgs/StaticBS?blobcol=urldata&blobheader=application%2Fpdf&blobkey=id&blobtable=MungoBlobs&blobwhere=1223410486142&cachecontrol=immediate&ssbinary=true&maxage=3600


effective from mid march 20011 from the looks of things!

benji1902

Yeah I spotted that today! Thank god I just got out of my overdraft. Some people on low incomes are really going to suffer from these new charges, especially if they are not that badly overdrawn. Go over £2 for 20 days £10!!!!

My 12.9% overdraft rate clearly isn't enough for you you tight f******. Borrowing an overdraft from Santander is now almost the same price as a pay day loan. If I had a decent credit history I would be long gone... (sigh)

Degenerate

I'm generally opposed to this system of charging. I have their preferred overdraft rate account and had this charging scheme been applied this month I would have been charged £5 for 10 days overdraft of 33p.

OTOH, the funny thing is that I was anticipating having to dip into the red around April - Jun. This change makes it so that I may as well draw right up to my limit (£3600) as it will cost me £7.50 a month regardless, rather than the £38.70 it would cost me at 12.9%. Hmmm, wonder if they'll increase my limit?

thatsean

benji1902 wrote: »

Yeah I spotted that today! Thank god I just got out of my overdraft. Some people on low incomes are really going to suffer from these new charges, especially if they are not that badly overdrawn. Go over £2 for 20 days £10!!!!





My 12.9% overdraft rate clearly isn't enough for you you tight f******. Borrowing an overdraft from Santander is now almost the same price as a pay day loan. If I had a decent credit history I would be long gone... (sigh)

They could just run just run their affairs properly?

daveyjp

For anyone else who may ask.

There are no changes to Zero Account charges.

collywollys

opinions4u wrote: »

So a bit like Halifax charges but 50p instead of £1 a day (but capped) for authorised and £5 a day unauthorised.

Except no free fiver.

And they have retained charges for bouncing direct debits etc (because of this they will make more per overdrawn account than Halifax).

i have a santander and A&L account ( before the takeover ) and wondered which system they would go down regarding this !

now mirrors the A&L way, just a few extra days before capping though

Hasty1991

daveyjp wrote: »

For anyone else who may ask.

There are no changes to Zero Account charges.

Seems to be that you could end up paying more for using your overdraft if you have a Zero account. If you have a large o/d then the interest could potentially cost more than the daily fees on some accounts.

Degenerate

Hasty1991 wrote: »

Seems to be that you could end up paying more for using your overdraft if you have a Zero account. If you have a large o/d then the interest could potentially cost more than the daily fees on some accounts.

Yep, it very much depends on your usage. The Zero account will suit people who use an overdraft the way it is intended (making up occasional income/expenditure shortfalls on a month-to-month basis), wheras this new charging scheme will encourage larger borrowing over a longer term, and heavily penalise light usage.

whatyadoinsucka

well my max is £5 (10 days at 50 pence) former A&L premier when in authorised overdraft.
for £2,200 a think this is quite fair a rate.

£2,000 overdrawn £5 fee, thats less than 1/4 of 1% as a monthly fee
most credit cards are at least 1% per month if not 2%



i have no simpathy for people going into an unauthorised overdraft, keep a track of your outgoings and don't go over simple
otherwise you incure silly fees.

spatchcock

whatyadoinsucka, my reading of the revised fees is that ex-A+L accounts will have the monthly cap increased from 10 to 20 days. This effectively doubles the monthly fee to £10 a month. This looks like an attempt to tempt ex-A+L customers into the current Santander accounts. This will probably result in me going elsewhere.

jambosans

spatchcock wrote: »

whatyadoinsucka, my reading of the revised fees is that ex-A+L accounts will have the monthly cap increased from 10 to 20 days.

Correct.

Santander wrote:

What are the new fees?

Preferred In Credit Rate Account, Premier Direct, Premier and Current Accounts: £0.50 each day (capped at 20 days each monthly statement period).

Unless whatyadoinsucka is a Premier 21 or Premier 50 account holder, they are mistaken.

The link supplied by the OP didn't open in my browser, here's another to a dedicated page on Santander's website:-
http://www.santander.co.uk/csgs/Satellite?appID=abbey.internet.Abbeycom&c=Page&canal=CABBEYCOM&cid=1237880423035&empr=Abbeycom&leng=en_GB&pagename=Abbeycom%2FPage%2FWC_ACOM_TemplateG#What%20is%20changing?