New bank account with 0% interest on limited overdraft etc

xirokx

Hi there

Recently became ill and am on chemotherapy for the immediate future.

Unable to work so am trying to stay out of debt and hospital.

I need a bank account maybe a current account which comes with 0% overdraft charges...I know they all have limits i.e. £200 or £250

Which is the best one? You recommend?

I also pay my current bank - NatWest - £11pm gadget insurance if there is an account that provides 0% interest free overdraft plus comes with gadget insurance that would be great...even breakdown cover for the car currently paying AA £99 per year

Any help would be really appreciated

Thanks

mwarby

The regulator is changing the regs on overdrafts soon (November I think), from what I've seen this is bringing 0% overdrafts to an end for most. The plus is that we will see a move away from per day charges to a single interest rate, so a small overdraft may end being cheaper

[Deleted User]

An overdraft isn’t the answer here.

Do you not have a savings pot?

18cc

If I was unable to work I would definitely cancel my gadget insurance

xirokx

!!! wrote: »

An overdraft isn’t the answer here.

Do you not have a savings pot?

Yes I do but thats in a different savings account and ISAs. To clarify the overdraft is avoiding circumstances when I got £10 - £20 overdrawn my current account will charge me a fee each time I do this...I don't foresee myself forever using it , I may not even use it, it's just if I do I know up to ,£250 I will not be charged.

If I was unable to work I would definitely cancel my gadget insurance

So what would you in case your phone got stolen or was damaged, same with your laptop or tablet? Lemme guess go n buy a new one which would cost 3yrs worth of insurance...

So yeh I'm going to avoid nationwide flexplus as that account will ceases to provide 0% overdraft on amount up to £250, I just don't know what accounts will continue to offer this if any has mwarmby speak o the single interest rate. I'm inclined to wait until November...

Any other feedback would be appreciated

Tia

colsten

Had you thought of googling "current accounts with free overdrafts"?

sal_III

If you are not going to use it, why even going for an account with overdraft? Just get an account without overdraft and there will be no overdraft charges.

cotys

@sal_III some people apply for overdrafts "just in case", not to use it every month. It's good to have one, if you ever need it. Similar idea with insurance, you don't use it every month but it's there in case something happens.

@xirokx perhaps First Direct would be a good option? £250 fee-free overdraft sounds fine for your needs. firstdirect.com/banking/current-account/

SnowTiger

xirokx wrote: »

Yes I do but thats in a different savings account and ISAs. To clarify the overdraft is avoiding circumstances when I got £10 - £20 overdrawn my current account will charge me a fee each time I do this...I don't foresee myself forever using it , I may not even use it, it's just if I do I know up to ,£250 I will not be charged.

How much interest are you earning on your savings? 1.5%? That's ~£3.75 a year on £250.

If I were you I'd transfer £250 from my savings account in to my current account and wouldn't worry about losing interest that amounts to little more than the price of a cappuccino at Costa.

Or open a TSB Classic Plus account, pay in £1,500 and use it as a combined savings and current account.

sal_III

cotys wrote: »

@sal_III some people apply for overdrafts "just in case", not to use it every month. It's good to have one, if you ever need it. Similar idea with insurance, you don't use it every month but it's there in case something happens.

@xirokx perhaps First Direct would be a good option? £250 fee-free overdraft sounds fine for your needs. firstdirect.com/banking/current-account/

That might have been true in the olden days, when you needed a trip to the bank to transfer funds between accounts. If like the OP you have savings, you can transfer them in seconds from your phone and achieve the same result, without the risk of running overdraft bills.

To each their own I guess. Personally I dislike overdraft, never used one, never will. There are cheaper ways to borrow money if you need them in emergency.

Nothing wrong with £250 fee-free overdraft. I just find it daft to open one for just this specific reason and lose on other potential benefits like interest rate on balance, cashback and switching incentives, that are likely to be much more beneficial at the end of the day.

born_again

Not really o/d related, but have you considered Santander 123 acc with the 1.5 interest on up to £20K so long as you transfer £500 from external acc.
If you keep the balance high the interest pays the £5 a month fee and the bonus of your DD's.

The 1.5% interest id higher than a lot of Savings & ISA accounts.

Keep the Natwest acc, standing order of £500 a month both ways to keep within t/c.

As to AA. there are other breakdown providers that charge far less.