We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Guest comment: Time for radical reform on overdrafts
Options

Former_MSE_Callum
Posts: 696 Forumite



Time for radical reform on overdrafts...
Read the full story:
'Time for radical reform on overdrafts'

Click reply below to discuss. If you haven’t already, join the forum to reply.
'Time for radical reform on overdrafts'

Click reply below to discuss. If you haven’t already, join the forum to reply.
Read the latest MSE News
Flag up a news story: news@moneysavingexpert.com
Get the Free MoneySavingExpert Money Tips E-mail
Flag up a news story: news@moneysavingexpert.com
Get the Free MoneySavingExpert Money Tips E-mail
0
Comments
-
This should have been included in your thread
https://forums.moneysavingexpert.com/discussion/comment/75200846#Comment_752008460 -
If the banks can no longer make money on overdrafts they will stop offering them, or alternatively cherry pick the risks so only those who don't need one will get one - then people will be forced into taking loans - would that really be a win?
(Also pet hate, unauthorised overdrafts, in France this is treated as stealing from the bank and I can see why, it is basically like seeing some money lying around that isn't yours and taking it to spend, or be it with the intention that it will be repaid at some point. However the banks are at least in part complicit as they allow it to happen).
However charges for not making a payment should only reflect what it costs the bank (including a sensible profit - say an automated letter costs a fiver then 50p profit might be reasonable).I think....0 -
If the banks can no longer make money on overdrafts they will stop offering them,
However charges for not making a payment should only reflect what it costs the bank (including a sensible profit - say an automated letter costs a fiver then 50p profit might be reasonable).
I agree, and that might not be a bad thing, it may encourage people to live within there means, instead of within their overdraft.
On the issue of charges, banks have been charging ridiculous amounts of money for the slightest error for years, it used to be £35 per item, per day, so if you went 10p over your limit for two days, they hit you with a £70 fine.
Many people faced large debts due to bank charges, even now some banks charge way more than others, there should be a level playing field between all of them, with much reduced fee’s which won’t impact the ability of the account holder to afford them, at the moment affordability is not taken into account at all.I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter0 -
And of course less profitable banking = cost savings needed = branch closuresI think....0
This discussion has been closed.
Confirm your email address to Create Threads and Reply

Categories
- All Categories
- 350.7K Banking & Borrowing
- 253K Reduce Debt & Boost Income
- 453.4K Spending & Discounts
- 243.7K Work, Benefits & Business
- 598.5K Mortgages, Homes & Bills
- 176.8K Life & Family
- 256.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards