MSE News: Cap on overdraft charges proposed as banks face calls to promote switching

michaels

colsten wrote: »

The charges get advised every month, usually on the monthly statement. They then get deducted some 30 days after the statement date.

But could you opt to pay them from a different account (say at another bank), or a credit card, or choose not to pay them as you have another priority debt?

Paul_Herring

michaels wrote: »

But could you opt to pay them from a different account (say at another bank), or a credit card,

Transfer the money in.

or choose not to pay them as you have another priority debt?

Go deeper into your OD.


So yes - while not exactly what you're asking for, the effect of those options is available.

colsten

michaels wrote: »

But could you opt to pay them from a different account (say at another bank), or a credit card, or choose not to pay them as you have another priority debt?

A simple Faster Payment transfers money from a different account. Though I would suggest that most people with unauthorised overdrafts probably only have one current account.

If you have "priority debt", you shouldn't rack up additional debt. Banks are not charities. Nor should other customers of the banks be penalised because some customers spend more money than they have.

Thrugelmir

Paul_Herring wrote: »

Another nail in the coffin of 'free in-credit' banking.

What's not to like about it?

How long before all accounts have nominal monthly charges. Such as the standard practice internationally.

Paul_Herring

Thrugelmir wrote: »

How long before all accounts have nominal monthly charges. Such as the standard practice internationally.

Too soon if this lot get their way.