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NatWest DMP

I have set up a DMP with PayPlan.
Meanwhile, NatWest have decided to pull my overdraft - a measly £250
They are sending me letters, text and scary emails

Do I allow this to upset me or do I just go with the dmp and accept that they are getting their 
token payment of `£1 until January

By withdrawing my overdraft, does that put me in any worse position or not really?
I'm trying not to get stressed...

Comments

  • Why have you not opened a basic account with a bank you don't owe any money to? this is always the first suggestion when starting a DMP
    If you go down to the woods today you better not go alone.
  • PM22
    PM22 Posts: 237 Forumite
    Photogenic Second Anniversary 100 Posts Name Dropper
    I have! 

    But my question is why have NatWest pulled the overdraft on my old account? 
  • RAS
    RAS Posts: 33,460 Forumite
    First Anniversary Name Dropper 10 Posts
    Because you are not allowed any further credit. You might not think of it as a loan, but essentially an OD is a right to a short-term loan.
    The person who has not made a mistake, has made nothing
  • PM22
    PM22 Posts: 237 Forumite
    Photogenic Second Anniversary 100 Posts Name Dropper
    But it was at the limit so I couldn't have borrowed any more!
  • Rob5342
    Rob5342 Posts: 1,765 Forumite
    Second Anniversary 1,000 Posts Name Dropper
    It's in the terms and conditions that they can ask you to repay it on demand, only they will know why they want their money back.

    Just get a seperate account without an overdraft facility for your day to day banking and add the overdraft to your dmp.
  • sourcrates
    sourcrates Posts: 29,769 Ambassador
    Part of the Furniture Debt-free and Proud! Post of the Month PPI Party Pooper
    By entering debt management, you are essentially saying you are unable to meet your current credit commitments, so by definition, your bank must show that it is acting responsibly, and they are demonstrating this by withdrawal of your overdraft facility, so you cannot use it in the future, standard procedure for anyone entering debt management.
    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-letter
  • PM22
    PM22 Posts: 237 Forumite
    Photogenic Second Anniversary 100 Posts Name Dropper
    Great…I don’t need to worry that they’re just being heavy handed with me then. What you say makes sense. Thank you 
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