What happens to student account overdraft once you stop being a student?

peace800

Hi

I have a santander student account and im in my final year and im in my overdraft. What happens at the end of the final year? If you are in an overdraft do they ask you to pay off the overdraft or does it switch to a normal current account with the overdraft intact? What worries me is if they ask for the overdraft back and I don't have funds to clear the overdraft if I haven't secured a job at the time?

Thanks

goonarmy

My student account ran for four years after uni.

YorkshireBoy

See your account T&Cs, as they may be different to those currently on their website, which say...


http://www.santander.co.uk/csgs/StaticBS?ssbinary=true&blobkey=id&SSURIsscontext=Satellite+Server&blobcol=urldata&blobheadervalue1=application%2Fpdf&blobwhere=1314013410384&SSURIsession=false&blobheadervalue2=inline%3Bfilename%3D862%5C629%5CP0000325_J0006337_BANK0456DEC13HF_v3.pdf&SSURIapptype=BlobServer&blobtable=MungoBlobs&SSURIcontainer=Default&blobheadername1=content-type&blobheadername2=Content-Disposition#satellitefragment&maxage=3600 (see condition D7.2.2, and then section F)

rachiibell

Most student accounts switch to a graduate account and your overdraft will reduce year by year. I'm with lloyds and I get £2000 in the first year which goes down to £1000 in the second and £500 in the third. Yours will probably be something similar but best to check with your bank

peace800

If they reduce the overdraft once they convert it to a graduate account will they expect you to pay back any extra overdraft you may be in? Also cab you change your student or graduate account to a normal account? would having a student or graduate account hold you back from applying for a mortgage?

[Deleted User]

The interest free bit usually reduces by steps at a time, and the remainder becomes chargeable.