Do I NEED a student account?

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Original post by Gapyearstudent54

They may be trying to get you to have a student account with them by making it seem like you have to.

Yh I guess this is the case ; I think ill have a hunt around for other student accounts that offer better incentives like the rail card ect or something TBH

Reply 21

niteninja1

You don't need a student bank account however their is a pro to the0% overdraft no one has mentioned.

I like you do not believe I will need it and I have 4K in savings for emergencies. However rather than spending the money out of my savings I would rather use the overdraft as the debt is 0% and I get Intrest on my savings meaning I make money by using the overdraft rather than my savings.

So if I had 5% Intrest on 4K that's £200 a year of free money so if I went £50 into this I would loose £57.50 as the Intrest would be a lower amount and my savings would be down until I could put the money back. However if I went £50 into my overdraft at 0% I would only be £50 down its only £7.50 difference but the pennies make the pounds.

Also let's say you go shopping and you have £60 in your account and accidentally you spent £62 over the course of the day. You could be charged a fee of £25 just for going £2 over your limit.

Reply 22

niteninja1

Also some people including a girl I went to school with (she is 19 and has masters in finance) took the entire value of the overdraft and placed it in an isa and made a profit on it and then payed the money back which was still in the isa. That's not really much more risky as she could still spend the money and be on 0% Intrest as she withdrew the overdraft as cash.

https://next.ft.com/content/df79a6e0-669a-11e5-a57f-21b88f7d973f

Reply 23

Doones

Just because you have an overdraft facility doesn't mean you have to use it. But if you have an emergency you have piece of mind that it's there.

And as others have said, student accounts often have nice little perks that standard current accounts don't have.

But to answer your question, no, you don't NEED to have a student account, but you do need some kind of bank or building society account.

(edited 7 years ago)

Reply 24

Napp

The only benefit to them is the potential fee-free O/D so unless you want/need that i see little point in changing it.

Reply 25

subject1

Original post by fefssdf

Yh I guess this is the case ; I think ill have a hunt around for other student accounts that offer better incentives like the rail card ect or something TBH

I think you should complain if what you have said is true. That is out of order and is definitely against branch procedures.

Reply 26

LavenderBlueSky88

Original post by fefssdf

Basically if you're a student then you're not allowed to get a ' normal ' bank account which means you have to get a student one I'm afraid.... My bank recently sent me a letter all about this so you're just gonna have to open a student account as how else will you get your student loan ect ?

really? I never had one 😟

Reply 27

niteninja1

Original post by fefssdf

I'm sorry that's utter bulls**t you can have a normal bank account banks just prefer you to have a student one I have had a bank account with hsbc since I was 11 as I got old enough for a better account they upgraded me and when I turned 18 I for a full adult bank account I currently have 3 and am starting university in September unless you tell the bank you are starting university they have no way of knowing. And they want your business so they will give you a normal account however they will always recommend a student account.

Reply 28

Another

Never had a student account. Most likely, never will!

Original post by niteninja1

Also let's say you go shopping and you have £60 in your account and accidentally you spent £62 over the course of the day. You could be charged a fee of £25 just for going £2 over your limit.

All my accounts have £0 Overdraft on them. Rather than charge a fee, my card just gets flat out declined

Which is great, until that awkward moment when you have to put your Tesco meal deal back on the shelf because you don't have the funds in your account to pay for it.

Reply 29

Gapyearstudent54

With regards to the overdraft and using it to not use own money for interest purposes, I personally wouldn't do that, just because I'd probably end up messing it up and being severely in debt 😂

Reply 30

niteninja1

Original post by Another

Never had a student account. Most likely, never will!

All my accounts have £0 Overdraft on them. Rather than charge a fee, my card just gets flat out declined

Which is great, until that awkward moment when you have to put your Tesco meal deal back on the shelf because you don't have the funds in your account to pay for it.

That's quite good with my tsb account and my hsbc there is a charge of I go over (non student accaccounts) however I pay for most things on my 0% tab platinum card and pay it off once a week.

(edited 7 years ago)

Reply 31

Gapyearstudent54

Original post by Another

I just check my balance before if I think it's low, and then make sure it's at least £5 under what I have in my account😂 It's just basic money management I guess...

Reply 32

niteninja1

Original post by Gapyearstudent54

With regards to the overdraft and using it to not use own money for interest purposes, I personally wouldn't do that, just because I'd probably end up messing it up and being severely in debt 😂

The key is never go into the overdraft more than you have in savings for the case of saving £7.50 my example above.

Reply 33

Gapyearstudent54

Original post by niteninja1

That's quite good with my tab account and my hsbc there is a charge of I go over (non student accaccounts) however I pay for most things on my 0% tab platinum card and pay it off once a week.

That's a Good plan :smile:

I'm too scared of credit cards to even consider it, I think it's the same mentality as the overdraft; it's not my -actual money to spend so I shouldn't spend it mentality :')I also HATE being in debt. Even if it's like £5 I owe a friend for a drink or something

Reply 34

Another

Original post by Gapyearstudent54

I just check my balance before if I think it's low, and then make sure it's at least £5 under what I have in my account😂 It's just basic money management I guess...

I never check my bank balance... every time I do I get a heart attack. Something ridiculous like shelling out £300 - £400 a month, excluding rent :frown:

"Money management" has never been my most favourite topic, I have to admit!

Original post by niteninja1

That's quite good with my tab account and my hsbc there is a charge of I go over (non student accaccounts) however I pay for most things on my 0% tab platinum card and pay it off once a week.

I've (thankfully) never hit £0 on my HSBC account cause it was my main one, but it was Tesco who declined me :frown:

I'm still too much of a wuss to get a credit card. The idea of being in debt or loan, for whatever time frame, scares me

Reply 35

niteninja1

Original post by Gapyearstudent54

I just check my balance before if I think it's low, and then make sure it's at least £5 under what I have in my account😂 It's just basic money management I guess...

I agree however let's say you go out for the day (I don't know let's say we be extravagant and go Thorpe park) we have £60 in our bank account.

It cost us £40 for the ticket then £6.70 for travel we then have £13.30 left we buy a all day drink £6.15 last time I went. We have £7.15 left were having fun and go food at the KFC/McDonald's/were ever. We go to pay and are meal is £7.20 in our situation we could easily be 5p out without realising it.

At these sort of places they price thing awkwardly to make it harder to manage your money.

Or say our drink was £3.10 and then we bought a picture for £3.05 we would again be over our limit.

I agree that it's basic money management however it can be easy to make a small mistake and that 5p could cause £25 in fines....

Reply 36

niteninja1

Original post by Another

I never check my bank balance... every time I do I get a heart attack. Something ridiculous like shelling out £300 - £400 a month, excluding rent :frown:

"Money management" has never been my most favourite topic, I have to admit!

I've (thankfully) never hit £0 on my HSBC account cause it was my main one, but it was Tesco who declined me :frown:

I'm still too much of a wuss to get a credit card. The idea of being in debt or loan, for whatever time frame, scares me

I have a credit card as it raises my credit rating so when I go for a mortgage I will have a better credit rating however it is important to be careful as it will have to be paid back at some point.

Btw free credit score checker noddle.co.uk

Reply 37

Another

Original post by niteninja1

Are you sure about this noddle website? It looks remarkably suspicious, and many horrific reviews online as well. I.e, someone signing up for this, getting assigned a horrendous score, and a building society pulling out the loan for a mortgage the next morning.

I won't risk it. When I go for a mortgage in the future, I will just show my salary :lol:

Reply 38

niteninja1

Original post by Another

Never had a issue with noddle and also if you just show your salary but have never had a loan how does the bank know you will actually not spend the money rather than paying the mortgage. A credit score is all about showing how trustworthy you are to someone who doesn't know you.

Also noddle is owned by the call credit group which is the 2nd largest credit scorer in the uk after experian

Reply 39

niteninja1

Original post by Another

Real world simple example I ask you to lend me £50 you don't know me I may earn £500 a day even however if I get paid on the 20th spend all my money and then don't pay you on the 26th you don't get your money.
Just because you shown them you salary doesn't mean your are trustworthy. bTw do you have a mobile phone contract as this is a form of loan