MSE News: Santander to double overdraft charges

arabellaB

So rather than kvetch about monthly checking-account fees, let’s celebrate them. With any luck, they’ll be just the thing we need to finally get around to closing our accounts at Citibank or Wells Fargo or Bank of America or Chase, and opening a new account at a better , friendlier — and cheaper — bank.

Once your bank account has suffered a negative balance due to anything other than a system complication, financial institutions penalize account holders with a charge otherwise known as an overdraft fee. Though this fee varies, it is frustrating and can easily mess up your budget.

tiggerix

My son went £3.63 into overdraft in November (he does not have nor want an overdraft - prior to reaching 18 his account could not go overdrawn and no charges got applied - Abbey as was then changed the account without explaining). Having gone £3.63 overdrawn which Santander kindly authorised on an unathorised basis, consequently charged £25 for this, plus £5 per day - result £80 in overdraft fees. Next month was still incurring £5 per day fee until his pay went in. Didn't understand how the fees worked, so when charges were taken some days before payday he went overdrawn again, solely due to those charges. Same carried on for 4 months until we were able to help him understand the process and lend enough to cover the charges to be taken. By that stage he had clocked up £390 in charges, all stemming from the £3.63. When my wife went in with him to pay in the money to cover the charges - guess what - the counter staff lady kindly offered him a credit card.

Never mind the 50p going up to £1, the so called 'unauthorised' charges are nasty - and that's putting it mildly.

At last he is moving his account elsewhere.

thehare22

I have been with Santander/Abbey/Abbey National for over twenty years. I am now leaving due to these charges, which have become crippling. I might as well take out a loan or an interest-free for six months credit card. goodbye Santander and good riddance!