Opening new bank account - confirmation that I'm not being blonde required!

Clarky80

Good evening all

I've decided to open a Santander 1 2 3 account. I currently bank with HSBC and will be transferring my direct debits over to Santander.

Santander have already approved me for the account but at the moment I'm overdrawn on my HSBC account. By the time the DD's are taken from the new account, the overdraft should be (hopefully) cleared or almost cleared.

Santander said they will literally just be transferring the direct debits from the account so it's not like I will be closing the HSBC account (well, not immediately) Therefore, what I want to know is whether it will be a problem if I am a bit overdrawn? The way I'm seeing it is that the direct debits will be transferred, my other halfs wages (which are the main source of income) will be paid in ready to cover the bills, the HSBC account will still be open and, if still overdrawn, I will duly pay that off and eventually close the account.

Sorry for the long post....just need confirmation or correcting really!!

innovate

I have had a glass of wine, which may be the reason why I don't really understand your question(s). So may be you can help me understand:

• How much overdraft is where?
• Whose account is the overdraft on?
• Who is/are the Santander 123 account holder(s)? [not looking for names, just not sure whether it is you, or your mate, or a joint account?]

Clarky80

Hehe! Perhaps I should have had a glass of vino too!!

The overdraft is on my HSBC account which is my account.

The Santander account is a new account that I'm opening, again just for me.

All my direct debits are going to be transferred to the Santander account and, eventually, the HSBC account will be closed.

If I have a bit of anoverdrafton my HSBC account, I wanted to confirm that that shouldnt be an issue as its just the direct debits that are being transferred to the new account, therefore, I'm presuming I can just settle the overdraft directly with HSBC after the debits have been transferred? Otherwise it might be a struggle to clear that overdraft and make sure there's money the new account before the debits start coming out again.

The Santander lady did say its just the direct debits they will be transferring and I just need to make sure I'm acting a minimum of £500 a month into the account.

Hope I've not over complicated this again!!

[Deleted User]

You've got it. Your existing overdraft will still be owed to HSBC, you just pay it off once your account is switched. Your new account will start on zero, the debt won't be transferred.

pqrdef

At some point, HSBC will notice that you no longer have an income going in and will call in the overdraft, so don't rely on leaving it there indefinitely.

Santander tend to be generous with overdrafts, they may give you one without asking. Can be pricey though.

Clarky80

Thank you everyone! It would, in theory only take a week or so to clear the overdraft so hopefully, all should be good. Whether they will make it easy for me to closet he account I guess is another matter?! Never closed a bank account before!

Again, thanks for all the help.

ses6jwg

If you've been approved for a Debt MFC card (not an "online" card), Santander should be able to match your existing overdraft at 0% for 4 months.

After that it is £1 per day capped at £20.

Osarkon

Clarky80 wrote: »

Thank you everyone! It would, in theory only take a week or so to clear the overdraft so hopefully, all should be good. Whether they will make it easy for me to closet he account I guess is another matter?! Never closed a bank account before!

Again, thanks for all the help.

Having recently closed my HSBC account, it takes all of 5 minutes. Just walk into branch and let them know you want it closed.

They'll check for any direct debits or standing orders that are still active and will give you any money left in the account in cash.

They'll also ask why you want to close it. I just said I was sick and tired of having to carry around their pocket calculator to access my online banking.

Job done.

Clarky80

Thanks Osarkon! Good to know