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Student Bank Accounts

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    Which bank is the best bank to go for as a Student for a Student account. I've got the leaflets from the ones in the high street and I just don't know what to choose and what it all means... I am worried about having to pay back my overdraft after uni? How does this work do they set up a payment plan?

    Anyone answers my worries?
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    The highest guaranteed overdraft limit comes from ethical bank The Co-operative, which gives £1,400 0% overdraft in year one if you are accepted, then £1,700 in the second year of study and £2,000 in the third (as long as your account activity is deemed satisfactory).

    In order to get the overdraft you must deposit £300 when you open the account, this can come from your student loan.

    If you borrow over your limit any agreed lending is at a reasonable 9.9% APR, however if it isn't agreed this rate jumps to 15.9% plus big charges on top, so always avoid.

    The Co-op doesn't have an official graduate account, but you can keep the student account and its 0% overdraft for a year after graduation. However it's likely there'll be other graduate accounts offering more so consider switching.

    Regards
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    (Original post by Ryanloop)
    The highest guaranteed overdraft limit comes from ethical bank The Co-operative, which gives £1,400 0% overdraft in year one if you are accepted, then £1,700 in the second year of study and £2,000 in the third (as long as your account activity is deemed satisfactory).
    "IF YOU ARE ACCPETED" - A bank wont easily give away a credit limit to someone who's income is probably about a quarter of the whole overdraft size. For that reason the co-op application process is slow and not everyone is accepted.

    If you go for a larger high street bank which gives a more modest guaranteed limit of £200 or £500 (Barclays and HSBC respectively). Then pretty much everyone who applies for the student account will be accepted. Also, in my opinion it would seem you would be better off just living sensibly with your money, as anything you make off stoozing (£60-£70?) will be completely useless over a year unless you curb spending to make it worth while. An overdraft is only REALLY needed by students in terms of accommodation security or sudden necessity of spending. Not as simply a second stream of credit to spend on anything. Also, with the smaller banks you do generally get better customer service because they can afford to give that extra time. However with Barclays I have nothing but good things to say to them. All banks offer: phone, online and branch baking. As well as that the majority will have some form of credit cards or other things available to you if you want. The big banks generally get a bad reputation because of the larger pool of customers they sever and by proportion the number of people who dont understand banking they serve. People very often get into trouble with banks because they dont understand what a bank is trying to do or their own finances in general.

    (Original post by Ryanloop)
    The Co-op doesn't have an official graduate account, but you can keep the student account and its 0% overdraft for a year after graduation. However it's likely there'll be other graduate accounts offering more so consider switching.
    You are better off in my opinion again also, going with a bank which has a legitimate graduate account for you to go into. For instance, natwest or RBS offering a tiered overdraft service.



    Meh,
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    I'd say maybe someone like the Co-op, the account I have with them is great and their service is second to none from experience.
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    (Original post by ~Justin~)
    Which bank is the best bank to go for as a Student for a Student account. I've got the leaflets from the ones in the high street and I just don't know what to choose and what it all means... I am worried about having to pay back my overdraft after uni? How does this work do they set up a payment plan?

    Anyone answers my worries?
    (Original post by Ryanloop)
    The highest guaranteed overdraft limit comes from ethical bank The Co-operative, which gives £1,400 0% overdraft in year one if you are accepted, then £1,700 in the second year of study and £2,000 in the third (as long as your account activity is deemed satisfactory).

    In order to get the overdraft you must deposit £300 when you open the account, this can come from your student loan.

    If you borrow over your limit any agreed lending is at a reasonable 9.9% APR, however if it isn't agreed this rate jumps to 15.9% plus big charges on top, so always avoid.

    The Co-op doesn't have an official graduate account, but you can keep the student account and its 0% overdraft for a year after graduation. However it's likely there'll be other graduate accounts offering more so consider switching.

    Regards
    Not to be a pedant, but you really ought to link to the source when you take content from another site. It's only fair.
    http://www.moneysavingexpert.com/stu...studentaccount

    OP, regardless that info was for last year's student account offering. The 2012/13 ones shouldn't be finalised till later this year, and won't yet be open to those without unconditional offers. Go for the biggest overdraft. This should be used wisely; in conjunction with grants (if you've a low family income) or loans and hopefully parental help (higher family income) you should hopefully not have to use your overdraft extensively, but it's still a good buffer fund.

    The general post-uni idea is that you get a graduate account, which does the opposite of a student account - the 0% overdraft decreases each year, to wean you off it. Hopefully you'll have a job by then. If not, I guess you would go onto some kind of payment plan.
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    Michael is right OP. The results are still yet to be released and will come out later this month.

    I write for the money site Save the Student! and I am currently waiting for the banks to send me over the full details so that I can update our article on student bank accounts.

    I think there has been a lot of confusion as other student money sites (who I won't mention) have been falsely telling their readers that they have the info for the 2012 accounts so that they can get more readers.

    Please wait at least another 4 weeks for the final T&Cs. Who knows what could happen?
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    (Original post by michael321)
    Not to be a pedant, but you really ought to link to the source when you take content from another site. It's only fair.
    http://www.moneysavingexpert.com/stu...studentaccount
    How do you know he got the info from MSE and not another website listing student accounts? Or what if he has a Coop account himself and he knows what their offer is?
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    (Original post by tsnake23)
    How do you know he got the info from MSE and not another website listing student accounts? Or what if he has a Coop account himself and he knows what their offer is?
    Because the wording is identical to the MSE page. Which uses a standard format and is not directly copied from banks' own websites.

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