LLoyds TSB overdraft limts

gaelencas

Hi

I was given some odd advise today from a adviser in LLoyds today and just wanted to see if anyone else has had this.

My situation ATM is that my wage is coming in 2 days later than I need to pay my rent. So I asked if I can get increase my current overdraft limit of £200 to £500 to cover this for 2 days.

I am currently on the Select Account with them and I was informed that I had reached the overdraft limit of this account and to increase my overdraft I would have to switch to a Premier Account at a cost of £25 a month for at least 6 months and that they were willing to do that for me.

Now this seems really odd to me I dont need or want the perks of a Premier Account but I was told this was the only way to raise my overdraft limit. A few quick sums in my head tells me I would be paying over £100 more to borrow what will be a total of about £350 for 2 days. When I asked about other accounts I was informed this was the only one that would let me raise my overdraft.

Im not going to do it. Its cheaper to pay the charges of not paying my rent for 2 days. This just sounds like a terrible scam to me?

smudge2006

Definitely a scam. The account you are on does make a difference as to the APR you are charged for your overdraft but NOT the level. Just because you're on a premier doesn't mean you get a higher overdraft.

I'd go back in and complain to his manager. And while you're at it, ask why you weren't told that the select account was replaced by the silver 2 years ago and you've been paying £1 more that you should have done with less benefits than the silver.

jonesMUFCforever

gaelencas wrote: »

Hi

I was given some odd advise today from a adviser in LLoyds today and just wanted to see if anyone else has had this.

My situation ATM is that my wage is coming in 2 days later than I need to pay my rent. So I asked if I can get increase my current overdraft limit of £200 to £500 to cover this for 2 days.

I am currently on the Select Account with them and I was informed that I had reached the overdraft limit of this account and to increase my overdraft I would have to switch to a Premier Account at a cost of £25 a month for at least 6 months and that they were willing to do that for me.

Now this seems really odd to me I dont need or want the perks of a Premier Account but I was told this was the only way to raise my overdraft limit. A few quick sums in my head tells me I would be paying over £100 more to borrow what will be a total of about £350 for 2 days. When I asked about other accounts I was informed this was the only one that would let me raise my overdraft.

Im not going to do it. Its cheaper to pay the charges of not paying my rent for 2 days. This just sounds like a terrible scam to me?

This is definitely wrong.
If you scored for the overdraft on Premier then you would also qualify for it on select.
You can do 2 things - try telephone banking ask for the limit increase and tell them straightaway that you are not interested in an account upgrade.
Secondly phone the bank's complaints helpline and name names!

gaelencas

Just got off the phone to 0845 3000 000 number for lloyds. I have a unemployment marker on my account as I was unemployed over 7 months ago so they can't up my overdraft over the phone.

Telephone operator right away confirmed that what I was told today was nonsense and I should return to the branch to get the unemployment marker removed from my account and I will be good to get a increased limit with my current account. If I have any issues in the branch I should request to speak to the branch manager.

The lovely scamming woman nicely gave me her card so it should be easy to complain about this.

I think I will also switch to the silver account as well thanks smudge2006!

I am quite angry about this considering the card she gave me states her title as Senior Personal Banking Manager. I pled my case to this woman and asked "Is any other way I could get a temporary increase to my overdraft without moving to the Premier Account" and she said no

notts_phil

Go in with a cool head
Speak to branch manager no one else. Like some customer service advisor
Go through it step by step
Ask her why her staff are that desperate to get commisson

Be firm but YOU remain in control of this.

Then come back to us and give.us the lowdown:)

Saints2011

smudge2006 wrote: »

that you should have done with less benefits than the silver.

Not true.. Select includes a benefit that is found on the Gold upwards as well.. but Silver does have a perk over the Select

MoneySaverLog

Their standard Vantage current account is free (no monthly fee), and you get a £500 OD limit, never use it but it's always good to know it is there just in case.

anniecave

If you have a flexibile landlord then why not ask to change the rent payment date. My current landlord let me do this no problem (but he's a lot more relaxed than most). I paid a pro-rata amount for a few days to move the rent date from 26th of each month to 1st of the following month. I know that's probably not possible in a lot of cases, but worth an ask.

Also if you don't want to be paying interest every month, you need to find a way of getting on top of it, so you have enough money in the account to pay the rent before you get paid.

scott1358

anniecave wrote: »

If you have a flexibile landlord then why not ask to change the rent payment date. My current landlord let me do this no problem (but he's a lot more relaxed than most). I paid a pro-rata amount for a few days to move the rent date from 26th of each month to 1st of the following month. I know that's probably not possible in a lot of cases, but worth an ask.

Also if you don't want to be paying interest every month, you need to find a way of getting on top of it, so you have enough money in the account to pay the rent before you get paid.

I agree with this. I was in exactly the same position in being paid a few days after the rent was due but my landlord allowed me to change the payment date. As long as you pay the rent every month I don't think they're that bothered.

paulmcerlean

What has the account type got to do with the overdraft limit?

When I was on a classic vantage (free account) I had an overdraft of £1000.

notts_phil

Did you get it resolved OP?