Bank wont let me repay overdraft?!

Shev85

right sorry for confusion, i'll try one more time,

I have an agreed overdraft of 150, i want to reduce it so eventually i have no overdraft at all, and the money in my account is mine and mine only

I called Santander who will only reduce it by 50 at a time, But i want to reduce it by maybe 10 or 20 per week for example so that it is paid off

my confusion was this :- If banks such as halifax can accept £10 at a time to reduce your overdraft, why cant santander and it has to be 50 at a time, (santander customer service have told me, only if i am in 'debt' with my overdraft can they set up a payment plan)

The only reason I dont live in my overdraft is because my rent keeps me in the black each month, if I paid it off then I would be 150 short of my rent

opinions4u

Shev85 wrote: »

I have an agreed overdraft of 150, i want to reduce it so eventually i have no overdraft at all, and the money in my account is mine and mine only

So reduce the balance.

As the balance falls below the £100 mark, ask them to reduce the overdraft limit to £100. Repeat when your balance falls below the £50 mark.

I called Santander who will only reduce it by 50 at a time, But i want to reduce it by maybe 10 or 20 per week for example so that it is paid off my confusion was this :- If banks such as halifax can accept £10 at a time to reduce your overdraft, why cant santander and it has to be 50 at a time,
(santander customer service have told me, only if i am in 'debt' with my overdraft can they set up a payment plan)

Because Santander do things their way. They are not the Halifax.

The only reason I dont live in my overdraft is because my rent keeps me in the black each month, if I paid it off then I would be 150 short of my rent

I don't really understand this bit.

But an overdraft limit is not a spending target that you have to hit. You don't have to get up to the limit each week. I've got a £10k limit and never go overdrawn.

If you don't want to be overdrawn, don't take your balance below zero.

pmduk

Shev85 wrote: »

i want rid of my overdraft limit of 150, i've never spent over my overdraft and had any charges, but want to reduce it so eventually i have no OD what so ever, sorry for confusion, all I am wondering is why the bank said it has to be paid at £50 at a time as I am willing to pay it back, but because I cant do it at maybe £10/£20 a time, its makes it a nightmare for me, because I just dont have £50 spare, I just would have thought the bank would jump at the chance for me to pay it back in any means possible but because I am not spending over my overdraft limit and getting charged here, there and everywhere they wont let me pay it in smaller amounts

It costs the bank to administer a change in an overdraft limit. It seems santander have decided that it wants to limit these changes to multiples of £50 to reduce it's overheads.

Ben8282

Shev85 wrote: »

right sorry for confusion, i'll try one more time,

I have an agreed overdraft of 150, i want to reduce it so eventually i have no overdraft at all, and the money in my account is mine and mine only

I called Santander who will only reduce it by 50 at a time, But i want to reduce it by maybe 10 or 20 per week for example so that it is paid off

my confusion was this :- If banks such as halifax can accept £10 at a time to reduce your overdraft, why cant santander and it has to be 50 at a time, (santander customer service have told me, only if i am in 'debt' with my overdraft can they set up a payment plan)

The only reason I dont live in my overdraft is because my rent keeps me in the black each month, if I paid it off then I would be 150 short of my rent

You are not helping by these confused posts.

I imagine that your bank give authorised overdrafts in £50 multiples and therefore cannot reduce your overdraft facility other than in multiples of £50.

However, there is NO REASON why you cannot pay £10 into your account. Go back to the branch, complete a BGC for £10 and hand it over the counter without saying anything.

Why are you so anxious to reduce the amount of your overdraft facility by £10. Reducing the facility has no conection with paying it off, with how much interest you are paying or even with using it unless you don't trust yourself not to spend the extra £10.

What on earth do you want a payment plan for?

You say that your rent keeps you in the black each month so are you actually overdrawn at the moment?

In addition, this small overdraft facility could be useful sometime ... are you really sure you don't want to leave it there for emergencies rather than finding yourself accidently going overdrawn by 1p and being charged a fortune for it ....

Ultrasonic

Shev85 wrote: »

The only reason I dont live in my overdraft is because my rent keeps me in the black each month, if I paid it off then I would be 150 short of my rent

Do you mean that for some of the month you have money in your account put asside to pay your rent (which keeps you in credit) but that when the rent payment leaves the account you become overdrawn?

getmore4less

I recall a case of a bank(not sure which one). having a minimum over the counter cash deposit.


The solution(assuming you are not at the limit or will incur extra charges) was to withdraw enough funds to make up the total to th minimum, the bank had no limits on minimum withdrawal.

Ben8282

Ultrasonic wrote: »

Do you mean that for some of the month you have money in your account put asside to pay your rent (which keeps you in credit) but that when the rent payment leaves the account you become overdrawn?

This is how I understood it.

Ben8282

getmore4less wrote: »

I recall a case of a bank(not sure which one). having a minimum over the counter cash deposit.


The solution(assuming you are not at the limit or will incur extra charges) was to withdraw enough funds to make up the total to th minimum, the bank had no limits on minimum withdrawal.

I'm sure if Sandander had introduced a policy of not allowing it's current account customers to pay in amounts of less than £10 we would have heard about it by now.

But the idea of paying in more is great. I suggest the OP asks a friend to lend him/her £40 which is then added to the original £10 to make £50, then the £50 can be paid in and £40 withdrawn and repaid to the friend. Am assuming here a £40 withdrawal from the account will be permitted!

pqrdef

Shev85 wrote: »

I have an agreed overdraft of 150, i want to reduce it so eventually i have no overdraft at all, and the money in my account is mine and mine only

Why do you think it isn't?

c_denise

With od you don't get charged for not using it. It's a cushion for you should you fall short of money at a particular time. If u reduce your od and get overdrawn you'll probably be charged od fees + interest.

If u reduce it and 2 months down the line you need the extra cash, you might have to go through a credit scoring application to increase your od facility.

So credit the acc with some funds and this will help the acc from being overdrawn

Just my thoughts anyway.