swapping current accounts

sjh101

After hearing about this £6 monthly charge plus interest for using your overdraft I am considering switching bank accounts.

I currently have £2000 arranged overdraft and I use it for about £250, therefore meaning I will get charged.

As it stands my wife and I both have our own separate accounts with NatWest plus the joint with NatWest also which both our wages go into. The overdraft I'm talking about is in my own personal account.

My only concern is if I switch bank accounts just for my own personal account I don't think which ever bank I decide to switch to will allow this as there will be no income coming in apart from the money we each take a month from the joint when we get paid. Am I right in saying this? My understanding is most banks you have to have some form of income coming in to operate, and because our joint is OK we would not swap that one.

I will never clear the debt in my current account before the new charges come into effect.

Any advice would be appreciated.

Gromitt

Would you have access to say £1000 for one day a month? If so, Nationwide FlexDirect may be useful for you. Just transfer 1K per month into it (you can transfer it straight out again the same day if you want) and you'll get a 12 month free overdraft. The amount would depend on your credit history.

First Direct also give everyone a £500 overdraft, but only the first £250 is fee-free and interest free.

opinions4u

Why not just stop using the overdraft?

Osarkon

A lot of bank accounts do not require an income to be paid in. Only ones that offer certain benefits, e.g. Nationwide, Halifax Rewards require a minimum monthly deposit for you to be eligible for the benefits.

YorkshireBoy

sjh101 wrote: »

My understanding is most banks you have to have some form of income coming in to operate

Your understanding is wrong.

All the banks offer some sort of full-feature current account without it being a requirement to pay in salary/income.

You appear to have (at least) 3 accounts between you. It doesn't make sense, especially since you're married, for one of you to be overdrawn whilst the other is in credit...if that's the case here?

matttye

opinions4u wrote: »

Why not just stop using the overdraft?

"I will never clear the debt in my current account before the new charges come into effect. "

opinions4u

matttye wrote: »

"I will never clear the debt in my current account before the new charges come into effect. "

Yes, I get that.

But it's amazing what a bit of application and sacrifice can achieve.

Hominu

Wouldn't it be cheaper to borrow money from your wife rather than the bank?

Last time I needed to borrow some cash, taking the wife out to dinner was cheaper than asking the bank.