Would you stay with a bank that didn’t give you an overdraft ?.

moneysaver6161

Would you stay with a bank that didn’t give you an overdraft ?.

Now I know it might sound stupid and petty, but it’s the Principal of the thing.

I bank with HSBC and NatWest, HSBC has given me a Overdraft of £1500, NatWest have said no !.

It is only to be used as a safety net and not something I will ever use to be honest, but on principle should you stay with a Bank that would not give you an overdraft ?.

pinkdalek

Your post does not give enough information to judge as to why one bank is offering a £1500 limit and the other nothing.

For example if HSBC is your "main" account i.e. your credits go in and the bills go out, and you don't use Nat West for much then I could understand why Nat West won't offer you an overdraft, afterall why would they in that scenario?

Just because one financial company offers you something does not automatically mean the other will either.

It may also be due to that you already have £1500 with HSBC and giving you further overdrafts elsewhere could put you at risk and be seen as irresponsible lending.

If you're not happy with Nat West then why not switch it to a bank that will at least give you something for switching, build a new relationship with them and see what evolves from it. If Nat West won't help you then why sitck with them.

moneysaver6161

Hi, The strange thing is NatWest is actually my main account, Salary goes in there, I have banked with them since 2012, never been overdrawn had charges or Anything, I have a Credit card with them with a £7100 Limit, always paid off each month and no problems with it at all.

Asked NatWest for the Overdraft before applying with HSBC and they said no, Opened account withe HSBC mainly for the 6% savings and got an £1500 overdraft.

So its odd.

EssexExile

If you don't need it, then why not? I don't understand the principle thing. I understand the principal thing even less.

agrinnall

Yes, because I have no need for an overdraft, and in fact have turned down the offer of one on some of my accounts.

TheShape

NatWest have already made £7100 of credit available to you. This is likely to have an effect on whether they offer you further credit.

Tragen

The idea of actually having an overdraft again would worry me. I do not have one on any of my accounts.

anotheruser

I've never used an overdraft.
Why people think they are important is a mystery...

If you don't have the money, you shouldn't be able to spend any.

shortcrust

If I didn't need the overdraft I wouldn't care. I've never understood why people take the result of a computer algorithm personally.

Robisere

I have an overdraft facility with my bank, had one with the last 3 banks going back 40+ years. In all that time, I was fortunate enough to only need the facility once. That was the result of the old Midland Bank paying all my Army gratuity into someone else's account. I moved banks immediately when I was able to recoup the money.

It cost me time and humiliation to prove the bank had committed this error, get back my money and move to another bank. I contrast that with what would happen to a bank taking this action today: the media would love it and I would not have to endure the supercilious attitude of a shiny-suited idiot with a plum in his mouth.

In answer to the original question: it would not bother me to be refused an overdraft, but at my age, life has taught me that no one knows what financial problems may happen, in which case an overdraft can be a parachute.

Marvel1

I don't want one so would stay.