Student account overdraft

UncleArly

Hello all! So I had a student account when I was at university (2010-2013). It’s obviously Now 2021 and I still have my fee-free overdraft and student account. I always dip into my overdraft but it’s always paid off each month (when im
paod) and then usually end the month (about a week) £100
or so into
it. I always assumed Halifax would automatically end the account but it’s really helpful
so I’ve never asked them about it. Any advice? 

jbrassy

That sounds strange to me. I had a Halifax student account back in the day (was at uni from 2007-2011) and as soon as I finished my studies and started a job I was being charged overdraft fees (£1 a day back then!). 

Are you sure it's not fee-free up to a certain level (e.g. £100) before they start charging interest? Otherwise, if they have genuinely made a mistake and you still have a large fee-free overdraft, I would max it out and stick the money in an easy access savings account to earn interest off it. How big is the overdraft that they gave you?

colsten

Since you've been using an overdraft for the last 10 or so years, it might be emotionally difficult to ween yourself off using the overdraft, but that's exactly what I would do if I were you: stop dipping into it month in, month out. Live within your means. Start building an emergency fund for yourself. This advice applies whether you pay interest or other charges on the overdraft or not.