Nationwide overdraft

sfc7603

Hi everyone.

I recieved a letter a few days ago informing me that in twenty days time, the 15th April, my overdraft facility will be reduced from £2000 to just £500. However, I am currently into my overdraft by £1850 and am not due to be paid until the 17th April from my work. I will only get paid about £1000 which means I will still be over my overdraft limit and therefore incur huge unauthorised overdraft charges. It will also mean that i'll have no spending money until the following months pay cheque and will not be able to pay off any of my credit card debts or my loan payment, as well as a pay day loan payment which is due on payday! I have planned a few events in the next few weeks including a friends wedding which I would be able to afford if my overdraft limit remains at £2000. This reduction on my overdraft would place me in temporary financial difficulties and just doesn't make logical sense as I am trying to become debt free over a period of time. This reduction would effectively just make my debt situation worse due to higher interest charges and unpaid debits/credit card charges and leave me with no money for anything as I have no credit left on my credit cards. A reduction of £1500 seems a bit huge and a lot of money to make up in 20 days. Surely this isn't fair. I just wondered what my options were and whether they are allowed to do this with just 20 days notice? Can I appeal this?

Thank you for reading.

gizmo111

The only thing you can do is have your wages paid into a different bank account at a different bank and treat the overdraft as a debt and make a payment monthly to reduce it.

nancmat

Oh god I realy feel for you, i too am with Nationwide and hope I don't receive a letter from them. Maybe give them a call to see why they done this and if you have anyother options, otherwise it seems wise to make plans now to changes your wages & payments to a different account.