Barclays removing overdraft limit

suzy_wrong

Just received letter from Barclays: "When we looked at your information, it suggests your overdraft limit might be set too high and given you've not used your overdraf limit in the last 12 months, we're planning to remove it on 01 June 2022." 
I've never been in debt or used an overdraft facility but would like to have it in case of an emergency. Should I just accept this or appeal against it? 

Thrugelmir

Do you hold credit cards? 

TOP_CAT

Dont over think it as doom and gloom its probably a automated letter .

I rang customer service up to find out my options  when I received the same letter

Once it was all said and done on the phone the CS lady reduced my overdraft £10 and that was it .

JGB1955

If you don't need it, Barclays can offer it to someone who does. 

Uxb1

The banks have to make provision in their list of liabilities for everyone's overdraft - regardless of whether these are used or not by the customer.
Therefore it is greatly to the advantage for the banks to reduce the overdraft limits of those who do not use them as it costs the banks to make this provision however they never get any revenue back from the person as they never use it.

stclair

Whats your overdraft limit? give them a call and tell them you would like to keep it :-)

Edi81

They also have to hold cash or liquid assets in case you use your overdraft. 

It’s not personal but how they manage the overall potential overdrafts as a portfolio. 

born_again

If you are not using it & never have, let it go. If you really do need one in a emergency, then you can call them & get one set up. 

Bigwheels1111

My friend used his overdraft every month almost to its limit.
When it came up for renewal they said no as he was not using it right.
Banks are a law unto themselves.

[Deleted User]

They were right.  And it saves them from being hit with another irresponsible lending charge.

Edi81

Bigwheels1111 said:

My friend used his overdraft every month almost to its limit.
When it came up for renewal they said no as he was not using it right.
Banks are a law unto themselves.

Banks are highly regulated. Your friend wasn’t using their overdraft correctly - they are meant to be a short term thing not long term.