Opening 2 Student Accounts

I have already opened a student account with HSBC. I was wondering if it would be possible if I could open another student account under Santander.

I read their terms and conditions and it says how they expect my student finance to go into the account. But to maintain a student account & keep the 4yr railcard at least £500 must go into their account per term. So I was wondering if it would matter if my student finance doesn't go into the account as long as £500 goes into the account per term.

Reply 1

cocre

You're only meant to have one, they require you to pay your student loan into them I believe. I had a Natwest one and a Smile one a few years back (for the overdraft) and as I wasn't using the Smile one they required me to pay the overdraft (£2000) off within a month which I managed to do.

So in other words, if you can, stick to the one and don't cause yourself any trouble down the line.

Reply 2

Gurs

Don't go for multiple student accounts. If the activity drops and you don't meet the requirements, which is usually having your student finance go into the student account, they can request that you pay the overdraft within a small amount of time (like a month, as Cocre said).

Instead what I did was create a student credit card and if I ever needed extra money, I'd use the credit card. I only suggest applying for a credit card if you're able to pay the minimum required, which is usually around £10 (although it depends on the amount you use). Do not apply for a credit card if you can't pay for the minimum, or if you can ONLY pay the minimum - if you only pay the minimum it'll usually take multiple years to finish off the loan.

Credit cards can also increase your credit score, but you need to make sure that the utilisation isn't too high. What this means is that if your limit is £500, don't max it out. If you use £500 of it, that usually means that it's at 100%, which effects your credit score. If you use around 20% of the limit (£100), and pay the FULL amount at the end of the month, your credit score will start increasing as time goes by.

I know you didn't ask about credit cards but I mean you might as well increase your credit score while you can.

(edited 8 years ago)

Reply 3

i2pm

So HSBC would find out if I have opened another student account with Santander?

Reply 4

cocre

Original post by i2pm

So HSBC would find out if I have opened another student account with Santander?

Yes, so avoid at all costs. I made the mistake of doing it and paid for it when I stopped using the account.

Reply 5

annerux

so the providers of the student acount expect the student loan to go in there ?

Reply 6

Samantha01

I have 2 student accounts Santander and Lloyds

Reply 7

i2pm

Original post by Samantha01

I have 2 student accounts Santander and Lloyds

How did you get 2 accounts? Did you encounter any issues?

Reply 8

Samantha01

Original post by i2pm

How did you get 2 accounts? Did you encounter any issues?

I opened the account in Santander first and I had a under 19 account in lloyds and it automatically switched to a students account

Reply 9

cocre

Original post by annerux

so the providers of the student acount expect the student loan to go in there ?

Yes, read the agreement when opening a student account and it should say that you should use it as your main account and the student loan must go in.

Reply 10

cocre

Original post by Samantha01

I have 2 student accounts Santander and Lloyds

Do you have overdrafts with both? be careful if you have as they can request you to pay them off with very little notice.

Reply 11

username1148663

Original post by i2pm

Ok this is how it actually is!

Your not supposed to have two student accounts but practically you can.
If caught they can ask you to repay the overdraft on the account your caught with.

Having said that you don't need to pay in your student finance just simply deposit 500 pounds every 4 months into the account which isn't your main one.

Set up a standing order from your main account to the new one and then set up a standing order from the new one to the main one for the same amount.

My girlfriend has done that with Santander and Barclays for years

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