How to clear an overdraft??

mrsb83_2

Good progress!

I'm currently clearing my Natwest overdraft. It's £2000.

I couldn't figure out how to do it either, because every penny of my incomes is allocated to repayments and various pots, so I would have found it almost a full time job to keep an eye on the available to spend balance to make sure I was saving enough.

I'm currently putting all repayments into a separate account. Once it hits £1000 (next month), I'll be putting it all back into my current account and starting on the second £1k. That's a nice round number and helps me with my accounting. Over the time it takes me to repay the o/d I will end up paying around £80 in interest I didn't necessarily need to, but there is no chance of me accidentally spending money which is allocated for debt repayment. It's definitely the best choice for me, because I don't want to reduce my overdraft limit.