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Does Nationwide charge for overdrafts?

Discussion in 'General Discussion' started by Van Hellseek, Dec 1, 2009.

  1. Van Hellseek

    Capodecina

    Joined: Jun 2, 2004

    Posts: 18,403

    I have a Halifax account and from this month they are beginning to charge if you go into your overdraft. So I want to close my account and move to another bank.

    I've already booked an appointment with Nationwide to open a current account next week.

    Anyone know if they also have any ridiculous/unfair charges?
     
  2. Heliospherez

    Mobster

    Joined: Jan 3, 2004

    Posts: 3,487

    Location: At Home

    Sometimes they do - sometimes they don't. They didn't for me on my flexaccount (went into red twice in 17 years) - but we have 6 other accounts, a mortgage and a loan with them - so if they messed me about - that would all go elsewhere.

    Depends how much you have going in - and the frequency/type of account. Usually they will - and if they don't now - they will probably start (as you are effectively borrowing money off them and should be able to budget properly in this day and age)
     
  3. Amp34

    Caporegime

    Joined: Jul 25, 2005

    Posts: 25,850

    Location: Canada

    They don't charge you a fee if you go into your (organised) overdraft, although I can't see any Banks/BS charging fees for organised overdrafts. :confused:

    They do however charge interest, however not much in the grand scheme of things. I think I was charged about £2 for being around £200-300 in the red and also a few 2p's for going a few pounds over for a few days. (This is with the Flex account, I was a student and now still have not much going in, as well as no other accounts.)
     
  4. El Jimben

    Wise Guy

    Joined: Jul 24, 2006

    Posts: 2,303

    Location: Essex

    I used the wrong Nationwide card recently and went £6 overdrawn and I didn't get charged anything :)
     
  5. Cob

    Capodecina

    Joined: Jul 30, 2006

    Posts: 17,012

    Location: Antrim town

    From this month the Halifax are charging £1 a day if you go into your authorised overdraft. It's replacing the monthly interest rate.


    So the potential interest I'll pay for spending a month £250 in the red will jump from a couple of quid to ~£30.


    Work out the APR on that one.
     
  6. Amp34

    Caporegime

    Joined: Jul 25, 2005

    Posts: 25,850

    Location: Canada

    Ouch!

    (Just to clarify I was talking about the Nationwide Flex account charging a fee, myy previous post may have been a bit ambiguous). :)
     
  7. Mr. Anderson

    PermaBanned

    Joined: Oct 9, 2009

    Posts: 1,524

    Location: To die by your side......

    does this include a 0%student overdraft?
     
  8. Heliospherez

    Mobster

    Joined: Jan 3, 2004

    Posts: 3,487

    Location: At Home

    Just remember that one of the main things The Nationwide BS promoted over the last number of years was fact it had fee-free foreign transactions on it's cards.

    Funnily enough, this was scrapped around May time this year - with account holders using their cards outside the UK and Europe hit with a 0.84 per cent charge per transaction. This also applies to purchases on websites - The fee increased again to 1 per cent in July. - but you won;t see them telling you that in the new adverts.

    They also increased the rate on their CC from 17.9 per cent to 19.9 per cent in May & their saving/bond/ISA rates are pretty dire these days compared with other big names - considering they were usually at the top of the Moneysaving lists:rolleyes:

    NW profits are down 69% this year -so you might just expect them to make some other drastic changes regarding OD charges.
     
    Last edited: Dec 2, 2009
  9. El Jimben

    Wise Guy

    Joined: Jul 24, 2006

    Posts: 2,303

    Location: Essex

    1% is still better than the 2.75% most financial institutions charge though. I was lucky, they changed it just after I came back from travelling :D
     


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