Banks to stop counting overdrafts as ‘available funds’ – what you need to know

Consumerist

Timewarp wrote: »

. . . [It] Means you can't see at a glance without doing some basic arithmetic each time. Simple with the above, not so much with several pending for varying amounts.

I reckon that was the whole idea behind the change. It will make people THINK about their overdraft as the debt that it really is.

Edit
On the point about pending transactions - your 'available balance' should include any pending transactions. The available balance should inform you of how much you can spend without going into overdraft.

Timewarp

Consumerist wrote: »

I reckon that was the whole idea behind the change. It will make people THINK about their overdraft as the debt that it really is.

Edit
On the point about pending transactions - your 'available balance' should include any pending transactions. The available balance should inform you of how much you can spend without going into overdraft.

Yes I expect that has changed now, but didn't hang around to find out. I got sick of "The Internet Bank" being way behind when it should be leading edge, so have recently switched to Monzo.

jbond

Socajam wrote: »

People need to stop wanting something for nothing - that 1500 overdraft is other people's money that the bank lends their customers who have a choice whether to use it or not.

A comment like that, makes me think you might be a Tory, but I'm not about to get any more political than that.

Maybe I view things differently, and I'm not saying that some people don't 'want something for nothing', but I've always known that an overdraft isn't free, because obviously you're borrowing from your bank, so there are charges involved, which the bank should be making you aware of. However, whichever way to want to view it, it IS STILL available funds, and always will be.