hi guys was wondering whether you could help me with a qs. basically atm i have a HSBC student account with a 750 pound overdraft limit (i seem to rmb when i first signed up on it it was decided not to get the max overdraft available so that i wouldnt be tempted or something).
anyway, atm im 650 overdrawn and even though ill be having ~ 1.5k-2k left over from maintenance loan + grant after accommodation is paid i think id prefer to have a larger overdraft just incase.
now i called HSBC and they told me that it would not be possible to increase my overdraft limit because for the past 6 months only 40pounds had been paid into the account (even though i distinctly remeber paying in 120pounds over the course of the academic year in 3 installments of 40 - or 40+80 rather i think because they said a minimum of 40pounds had to be paid in every 3 months). i explained to them that this is because i took a year out of uni and hence i wasnt receiving student finance basically the woman told me to **** off (in a nice way ).
i asked her if it would be possible for me to switch banks in that case and i think she thought i was making a threat or something because she changed her tone and was like : "thats your choice but you would have to pay back all the overdraft first".
now i spoke to RBS the day before and discussed with them whether i could open a 2nd student account with them alongside my HSBC one but they said thats not possible. they did say that i could transfer to them and would need to fill out an application form and that everything would be done by them - so made it seem quite simple on the phone.
so yeah, my qs is, does anyone know, taking into account my circumstances whether it would be possible for me to switch to a new bank - one which has a larger overdraft (ps does anyone know which one offers the largest one? i dont care about little extras like railcards - just the one with biggest overdraft + longest # of years that u dont pay interest on it after it switches to graduate account) or would the reason that HSBC gave me (minimal use of my current account in terms of payments in) prevent me from doing this? HSBC said tht i could increase my overdraft but that i should call them back in ~ 6 months when my account will have activity again but id rather do this sooner. i think paying back the overdraft wont be that much of an issue because i think im only going to switch once i recieve my first SF installment (im tired of resending them my info in PFF2 etc because of changing circumstances) so i should be in the green again...
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is it possible to transfer student accounts + increase current overdraft limit? watch
- Thread Starter
- 29-07-2009 05:03
(Original post by abrp)
- 29-07-2009 05:11
- 29-07-2009 07:44
Switching bank accounts is perfectly normal and is in fact recommended by that money savings expert site. If you get a better deal somewhere else than you should switch. However even though Halifax have the biggest possible overdraft they to rely this on how much is put in the account similar to hsbc but eventually you will get a bigger overdraft. Therefore I would recommend you ask halifax how much they would give you or switch to natwest who have a set amount the overdraft increases by each year or term so after the first year it is £1500 I think.
- 29-07-2009 13:55
I tried to do this. I currently have a Lloyds TSB Student Account. I had to close this account in order to apply to Halifax. It is not possible to do this without closing the other account first under normal circumstances. However, I was refused by Halifax, so had to re-open my account. Sadly, there is no way of knowing whether you will be eligible, so it is worth giving it careful thought. I certainly agree that it is recommended though, if you are able. Even if you do not use the money, you can place it in an ISA if you are careful to remain within the limits.