Finding a student bank account (as a final year student!)

mad92

Hi, was hoping for some advice

I'm a student, currently in my 5th (and final) year of study. I've previously managed at uni without need for an overdraft, but because our funding has changed for final year, I now think I'm going to need one to get me to the end of the course!

I've researched several student accounts online, and seen that many offer 0% overdrafts (perfect!) but I'm not sure whether any are available to students in final year switching in from a current account (up to now, I've banked with nationwide, which unfortunately does not offer a student account).

I've been reading through different terms/conditions, but none are particularly clear about whether this is possible. I did visit santander to try and apply for their 123 account but have heard back today that they can't offer it to a student switching in from a current account.

Help! Does anyone know whether any of the 0% overdraft accounts would allow me to apply given that I have already been a student so long??

Any help would be much appreciated

colsten

Keep your Nationwide account, open a new Student account with Santander or whoever suits you best.

mad92

Thanks for the reply!
Unfortunately it seems many student accounts (at least the ones I've looked at) require the student account to be the main account, so I would need to switch to one

colsten

There is no definition as to what a "main" account is, and no bank can stop you from having more than one account. You may have to get your grant paid into the student account but that's about the only restriction you might have to deal with - apart from may be not getting a student account if you aren't in your first year of studying.

EDIT: try TSB, their T&CS look quite relaxed compared with Santander or Natwest.
http://www.tsb.co.uk/current-accounts/student-bank-account/student_brochure_between_2015_2016.pdf

mad92

Oh ok i didn't realise that, will definitely bear that in mind if I can find one then, thanks!

But I'm still not sure whether any banks would allow me to open such an account, any ideas??

TartanSaver

There is nothing whatsover to stop you having both. I have a Nationwide Flexdirect, a Santander 123 AND a Santander Student 123 (and many more besides...) I suspect it would be more challenging to have more than one student account. Santander says you're not supposed to have a student account with another provider (how they'd know is a whole different question, but I'm not quite willing to cross THAT threshold.)

No T&Cs will use the term "main account" because they'd not be able to define it properly. Let Santander lend you £1500 for nothing and then put the money in an interest bearing account! Santander requires a pay in of £500 per semester for the student account. I get my loan paid into it. And then promptly put it into the 123, so they pay me 3% on it.

colsten

TartanSaver wrote: »

No T&Cs will use the term "main account" because they'd not be able to define it properly.

Actually, the Santander student account T&Cs do use the term. With a very wooly "definition" of what such an account actually is.

Only one 1I2I3 Student Current Account can be open at any one time and must be used as your main or primary current account. Your main form of funding, for example your student loan, grants, parental contribution, and/or income from any part–time employment must be paid into it. If you don’t regularly pay in your main form of funding, we may: remove your overdraft remove other services from your current account close your current account. We will give you at least two months’ notice of any change to the services on your current account or if we close it.

TartanSaver

Fair comment, I stand corrected. As I said, getting my loan paid into seems to keep them happy, even though considerably larger sums cycle through my non-student account. I'd be surprised if they made use of that clause for anything other than dormant accounts.

SurfKing

As others have said, there's nothing to stop you from holding several accounts alongside your student account. In fact, it's perfectly possible to hold several student account (although when I mentioned at my local Bank of Scotland branch when they offered me a student account that I already had several with other banks the woman looked utterly horrified and informed me that I was breaking the law (and I assured her I wasn't)).

Back when I was looking at student accounts in my second year of undergrad, I remember that every bank allowed you to open an account if you weren't in your first year, but none offered any freebies to those who weren't in their first year. Things may have changed, but I reckon they'll still the same.

I suspect what going in your case is that most people open a student account in their first year, so that's what bank staff know how to process. Opening an account in your second year or later is probably a bit rarer, so you're more likely to come across staff who don't know how to sort it out for you.

I'd go and ask some other banks before you throw in the towel (I have to say I found Santander to be pretty disorganised when it came to opening my Postgraduate Account - the system didn't seem to be set up well to understand my very standard course dates and details). You might even find it best to take the staff out of the process entirely and try a bank who will let you apply online, like HSBC.