First Direct withdrawing overdraft

The_mangler

Ive been told today that my £1000 overdraft is not going to be renewed tomorrow - I can either repay the £1000 up front or they have offered me a personal loan at 17% APR payable over 12 months. we went through my money and we reckon I have just over £100 disposable income a month - they didnt take into account christmas, birthday presents or school trips though so that is a false figure in my book. Anyway, the upshot is they now want me to pay £90 a month on the loan. Ive no idea where to turn, Ive got until 10pm tonight to give them an answer.

Can anybody shed any light please.

ses6jwg

match your overdraft with another provider and move elsewhere.

just use the last statement as proof, you'lll need to be quick.

santander will match at 0% if funded with £1k+ pcm

meer53

What do YOU think your disposable income is ? If you do an income/expenditure list you should be able to work it out. I suppose you don't have to accept their offer but there must be reasons why they're not renewing it so maybe another bank would decline you an overdraft too ? They're pretty strict about account operation, they like to see your account in credit occasionally and not heavy reliance on the overdraft as that indicates financial problems. Did they not notify you before now ? I think they have to give you 30 days notice before removing it, so you have chance to talk to them about it.

pmduk

leave First Direct for Santander? You'll be suicidal within a month. They're incapable of even basic banking.

chambta

It's a reasonable plan assuming the loan rate's no worse than the overdraft. What's the current monthly interest charge? Could you ask them to do it over a longer term and you could always repay early?

hello2007

Co-Op took away my overdraft with no notice thank god that I used it only now and again and was not using it when they took it away.

I have been waiting for two weeks for Co-Op to deal with my complaint.

CLAPTON

The_mangler wrote: »

Ive been told today that my £1000 overdraft is not going to be renewed tomorrow - I can either repay the £1000 up front or they have offered me a personal loan at 17% APR payable over 12 months. we went through my money and we reckon I have just over £100 disposable income a month - they didnt take into account christmas, birthday presents or school trips though so that is a false figure in my book. Anyway, the upshot is they now want me to pay £90 a month on the loan. Ive no idea where to turn, Ive got until 10pm tonight to give them an answer.

Can anybody shed any light please.

some more facts would be good

how long have you been living in your OD? if for a long time then they are right to be concerned about your financial viability

what do your credit records say

what is your income /spending/debts : this will help

http://www.makesenseofcards.com/soacalc.html

hello2007

I was not living in my overdraft and my credit file is fine but Co-Op still took my overdraft away without any notice.

meer53

hello2007 wrote: »

I was not living in my overdraft and my credit file is fine but Co-Op still took my overdraft away without any notice.

Two reasons why a bank will remove your overdraft -
1. Because you use it constantly.
2. Because you don't use it very much.

pmduk

Add a third to that list, your monthly income has changed from when the overdraft was first granted.

Cash_Flow

pmduk wrote: »

Add a third to that list, your monthly income has changed from when the overdraft was first granted.

Add a fourth - They need it back because they have bills to pay;)