Current Account with NO Overdraft

The_Lady_Sarah

So - I have a current account where my wages and direct debits come from.
I have an account with £2500 overdraft.

I want an account where I can have money on the card and pay with that but know that if I am not paying attention and try to pay more than what is available on the card it will be declined!
None of this unauthorised overdraft - just a straight decline.
The Nationwide/Santander/Barclays account are either for those declared bankrupt (I have a good credit score) or have the facility of an unauthorised overdraft....

Anyone know of one I can look into?
I do think it's setting people up to fail - if you have a good credit score then you have to watch the payments like a hawk otherwise theycan charge you £12 for overspending by £1......

colin79666

Starling. In the vast majority of cases the payment will simply decline and if it does make it through the penalty is much smaller than most, just interest not a charge. Also with an instant mobile notification you can see it and pay it back before it has a chance to build up and even then it is capped at £2.

TheShape

The_Lady_Sarah wrote: »

I do think it's setting people up to fail - if you have a good credit score then you have to watch the payments like a hawk otherwise they can charge you £12 for overspending by £1......

Are you confusing overdraft charges with a Credit Card over limit charge?

DCFC79

Your good credit score isn't seen by lenders, yes its linked to your history but that's it, lenders see your history.

PRAISETHESUN

If you want absolutely no chance of having your account be overdrawn, then you will want to look into a basic bank account. Some banks restrict them to people who cannot get another account, but a few will let you open them regardless.

https://www.moneysavingexpert.com/banking/basic-bank-accounts/

20aday

PRAISETHESUN wrote: »

If you want absolutely no chance of having your account be overdrawn, then you will want to look into a basic bank account. Some banks restrict them to people who cannot get another account, but a few will let you open them regardless.

https://www.moneysavingexpert.com/banking/basic-bank-accounts/

Barclays Bank have approved me for a Basic Bank Account even though I'd probably have no issues in opening one with, say, a cheque book.

I've not had an overdraft in years since I got into a financial mess 16 years ago; I've had my Lloyds account for nearly five years now but am considering closing the account down, even though it's my oldest in terms of credit history, because two branches I'd use (Heanor and Mickleover) are closing down next month.

jonnygee2

Anyone know of one I can look into?

Try Monzo. They will decline any payments that take you below zero.

In very rare cases it is still possible to go overdrawn (this is unpreventable and can happen with any account), but if it's under £20 they will not charge you, and if it's over £20 they will charge 50p per day and the total is clearly displayed in the app. They also do not charge for bouncing direct debits or failed standing orders.

glenrothes

Another vote for Monzo.

Their overdraft is opt-in, so you can simply never turn it on.

agrinnall

Use cash, then you can't ever pay more than you have.

18cc

Or you could consider a pre-paid card and transfer spending money to it every month. No chance of going overdrawn. Have not used them myself, and I know there might be fees involved, but worth a look (Revolut?)

18cc

Or a Yorkshire Building Society cash card account....