Overdraft help

christaitfife

Due to many circumstances I have been in a bit of a mess with debt but I am positively moving forward and the amounts I owe are falling.

I paid of an MBNA card last year
I have a HBOS credit card that should be paid off by summer
I have a Barclaycard that should also be a think of the past within a few months.
I have a Very account that is higher than I would like (£400)
I also have a Freemans account that will be paid and closed next month

So I have all that in hand... my problem is a student overdraft. I graduated in 2005 and had a £1,500 student overdraft. The biggest problem is that I fell through the cracks with the bank and they have never asked for my account to be changed or the overdraft repaid. I have ever since treated the overdraft like it wasn't there/ it was my money.

A few years ago I was on the verge of a break down due to some personal stuff an as such I lost a well paid job and was unemployed for too long. I am now working again (an have been for around 8 months) in a low paid job. I have been treating my debts correctly, paying off those who charge the highest interest etc. It is this overdraft that worries me... I just don't know how to tackle it. Ideally I would love the bank to bill me £20 a month to pay it off, but they won't.

I have thought about setting up a new account and using that as my standard account and transferring my everyday banking to that and paying off the overdraft by a standing order. I have been told that if I stop using the overdraft account for my everyday banking they will likely call in the overdraft.

I am at a loss so I ask is anyone has any suggestions?

sourcrates

christaitfife wrote: »

I have thought about setting up a new account and using that as my standard account and transferring my everyday banking to that and paying off the overdraft by a standing order. I have been told that if I stop using the overdraft account for my everyday banking they will likely call in the overdraft.

I am at a loss so I ask is anyone has any suggestions?

This is a good plan, and exactly what I would of recommended.

The bank can call in your OD at any time, I wouldn't worry about that, as you would deal with it in just the same way.

Do as you have described above until it's paid off.

Good luck.