Overdraft Limit

sgcbell2

Hello all!

I've spent the last 12 months trying to get out of debt and I now have a positive figure on my bank account and I couldn't be happier! Therefore, my last step is to reduce my overdraft limit.

My question is - what is a suitable level to reduce it to that will benefit my credit rating?

I have been told that it's good for your credit rating if you have an overdraft limit just incase you dip in and out of it.

Could anybody advise me on how much to decrease it to?

Thanks

ShakeItOff

Congratulations on getting into the positive! I'm not sure how much of a difference the reduction in the overdraft limit makes to be honest, and credit ratings don't seem to mean much as each lender has their own criteria. I would move it down to a level that you feel comfortable with.

sgcbell2

Thanks for your advice! I'll reduce it to a comfortable amount then.