Debit transaction and overdraft charges?

daydreambeliever123

So I had £12.75 exactly in my account (it's the end of the month!) Went to the dentist for a £17.50 check up...I intended to pay for the check up on my credit card however completely forgot and used my debit card. Only realised when I got home so quickly transferred £20 from ISA to current account.

My question is...will I be charged overdraft fees for this? I have a £1500 limit overdraft and have NEVER gone into it before (I'm too scared) Or will the £20 transfer cover it?

Also, this may sound like a really stupid question but will this show up negatively on my credit report? (I'm currently in the process for applying for a mortgage so am super cautious!)

Thanks

opinions4u

You probably won't be charged.

As long as the transfer from the savings account went through instantly you'll be fine.

Additionally, within overdraft limit by a few quid - no issues on credit report.

Some bank charge you interest for an overdraft - this would be pennies. Others, like Halifax, charge a daily fee (e.g. £1). Lloyds TSB have a £5 monthly useage fee for going in to authorised overdraft.

So relax.

AppleMatt

There's a chance there will be a minute amount of interest payable, but we are talking pennies. No huge charges, and definitely no detrimental effect on your record!

The overdraft is there for these events

dalesrider

emmacr88 wrote: »

My question is...will I be charged overdraft fees for this? I have a £1500 limit overdraft and have NEVER gone into it before (I'm too scared) Or will the £20 transfer cover it?


Thanks

Charges. might depending on which bank.

Why, if you don't use the O/D (Scared) ask for it to be reduced to a lower level.

Gromitt

If you paid back the funds before the deadline, you might have nothing to pay whatsoever. I think for TSB is 3:30 or some time around there?

innovate

Not sure which bank this was with, but some have overdraft buffers with their arranged overdrafts - - e.g. Lloyds won't charge you anything if you only dip into the arranged overdraft by £10. And, as already mentioned, they give you until 3.30pm on working days to top up your account. http://www.lloydstsb.com/media/lloydstsb2004/pdfs/banking_charges_brochure.pdf

With Santander, it's £12, and I believe you got until 4pm to top up your account. http://www.santander.co.uk/csgs/Satellite?pagename=Abbeycom%2FGSPageDetail%2FWC_ACOM_PrintA&canal=CABBEYCOM&empr=Abbeycom&leng=en_GB&cid=1210609213573

Other banks might do similar.

Hooloovoo

emmacr88 wrote: »

(it's the end of the month!)

Erm. No it's not. There is still another quarter of the month to go yet.

I have a £1500 limit overdraft

Well you've answered your own question then. There will not be a problem.

meer53

Hooloovoo wrote: »

Erm. No it's not. There is still another quarter of the month to go yet.



Well you've answered your own question then. There will not be a problem.

Tomorrow is the end of my month. Not everyone gets paid at the end of the month. We get paid on the 20th.

Hooloovoo

meer53 wrote: »

Tomorrow is the end of my month. Not everyone gets paid at the end of the month. We get paid on the 20th.

Fair enough.

I budget calendar monthly. The actual dates of incoming and outgoing payments is irrelevant. But then I keep a float in my account to buffer the cashflow.

I thought everyone did it like this. I guess not.

innovate

Hooloovoo wrote: »

But then I keep a float in my account to buffer the cashflow.

I thought everyone did it like this. I guess not.

It's the sensible thing to do but I think we'd be surprised how many people either cannot do it because all their earnings are immediately committed. There are also people who seem to think it is somehow compulsory to spend every penny they get paid, and sadly seem to have no concept of saving up for a bit of a buffer, let alone some more substantial savings / provisions for the future.

daydreambeliever123

Thanks for the responses guys Sorry if the question seemed abit ditzy...I am just extremely paranoid lately. Currently house hunting and hoping to get a mortgage so am being overly cautious regarding my credit report.

And yes, I get paid on the 21st of each month so it was the end of my 'pay month'. With regards to having a buffer...as I said, I have never gone into my overdraft before as I am quite sensible at budgeting and organising my finances. I transfer a set amount into my ISA every month for emergencies. Had completely forgotten about my dental check up