Tag: overdraft

Government to legislate on uncollected debt

Government to legislate on uncollected debt

The Government is planning to introduce new laws allowing its departments to share information on individuals and companies that owe them money. The proposal follows a review by the Cabinet Office’s Fraud, Error and Debt taskforce. Around £20 billion is owed to the Government and more than £7 billion is lost each year through unpaid [...]

October 17, 2012 | 0 Comments More
Frodo Financial launches overdraft service

Frodo Financial launches overdraft service

Frodo Financial, a new financial technology company, has launched an online overdraft system which provides an alternative to a bank overdraft. The new Frodo Flexi account provides a rolling cash-credit facility of between £1,000 and £10,000 that runs alongside a customer’s current account with their existing bank. It offers a 16.9% APR variable interest rate [...]

October 8, 2012 | 0 Comments More
BBC reveals 800,000 per cent overdraft charge

BBC reveals 800,000 per cent overdraft charge

BBC Radio 4′s Money Box reported on its Saturday programme that banks are charging excessively high rates for overdrafts. The programme, which offers advice on how to make the most of your money, suggested that UK banks are charging the equivalent of thousands of per cent APR for going overdrawn by small amounts. Santander’s customers, [...]

December 5, 2011 | 0 Comments More
Banks agree to fairer overdraft rules

Banks agree to fairer overdraft rules

Major UK banks including Barclays, HSBC, Lloyds, Royal Bank of Scotland and Santander have signed up to a scheme designed to help customers avoid going into the red. A text alert system, already used by some banks, which warns customers when they are nearing their overdraft limit, will be extended to all High Street banks [...]

November 21, 2011 | 0 Comments More
Study reveals SMEs are getting credit

Study reveals SMEs are getting credit

A report has revealed that the majority of small and medium-sized enterprises (SMEs) are successful when applying for credit. According to the study, more than half (59%) of applicants were successful when applying for a loan, while 72% who applied for an overdraft were successful. The figures come from the latest SME Finance Monitor report [...]

July 11, 2011 | 0 Comments More
Moneynet issues warning on Lloyds TSB overdraft fees

Moneynet issues warning on Lloyds TSB overdraft fees

Lloyds TSB customers who frequently access their overdraft should seriously consider moving their current account to another bank, Moneynet.co.uk has claimed. The financial advice site made the remarks after Lloyds TSB announced a new monthly fee of £5 for customers who use their planned or unplanned overdraft. This fee is in addition to the monthly [...]

June 28, 2010 | 0 Comments More
Lloyds TSB reduces overdraft charges

Lloyds TSB reduces overdraft charges

From 2 December, Lloyds TSB will reduce the overdraft fees on its current accounts. The move comes just a month after the new coalition Government said it would introduce measures that will see an end to “unfair” bank charges, as well as excessive interest rates on credit cards. The banking industry was successful in a [...]

June 24, 2010 | 0 Comments More
Consumers to benefit from overdraft opt-out

Consumers to benefit from overdraft opt-out

Consumer watchdog, the Office of Fair Trading (OFT), has today revealed UK banks may soon be offering customers the ability to opt out of unarranged overdraft facilities. Should the procedure be put in place, it would mean consumers would avoid hefty fees if they slipped into the red. The announcement comes as the OFT took [...]

March 16, 2010 | 0 Comments More
Young people exploit multiple overdrafts

Young people exploit multiple overdrafts

Young people are risking their financial future by opening multiple current accouts to maximise their access to overdraft facilities, according to a new report. Research by YouGov, on behalf of Callcredit, found that nearly one in ten (9%) 18 to 24 year olds have three or more current accounts in their name with an overdraft [...]

March 15, 2010 | 0 Comments More
Relying on your overdraft is a debt problem, claims CCCS

Relying on your overdraft is a debt problem, claims CCCS

UK consumers who never manage to escape their overdraft should seek debt advice, the Consumer Credit Counselling Service (CCCS) said this week. It issued the guidance after research by moneysupermarket.com found one in ten British adults live on their overdraft. CCCS said relying on credit for day-to-day expenses is one of the signs of a [...]

February 26, 2010 | 0 Comments More
OFT scraps plans to take further court action against banks

OFT scraps plans to take further court action against banks

Consumer watchdog, the Office of Fair Trading (OFT), has announced it is to abandon plans to take further legal action against banks regarding unauthorised overdraft charges. At the end of last month, the Supreme Court ruled in favour of the banks over the fairness of the charges. The test case originally commenced in July 2007 [...]

December 22, 2009 | 0 Comments More
Lloyds seeks to dismiss overdraft cases

Lloyds seeks to dismiss overdraft cases

Last week, the Supreme Court ruled in favour of the banks over the fairness of unauthorised overdraft charges. The legal battle, which has been ongoing since July 2007, came as a devastating blow to consumer groups who have been campaigning for many years about the charges, which they deem to be unfair. Since the ruling, [...]

November 30, 2009 | 0 Comments More
Wednesday 25 November is judgement day

Wednesday 25 November is judgement day

The ongoing legal battle between eight high street banks and the Office of Fair Trading (OFT) over unauthorised overdraft charges might actually reach a conclusion next week. Wednesday 25 November is the date that has been set for the Supreme Court to decide whether the OFT has the power to assess whether or not bank [...]

November 17, 2009 | 0 Comments More
Current accounts stung by overdraft rates hike

Current accounts stung by overdraft rates hike

Millions of current account holders have been stung by a hike to overdraft rates this week, with both Nationwide and Barclays increasing overdraft charges. Nationwide, Britain’s biggest building society, has increased interest charged on overdrafts for the third time in a year, with overdrawn customers paying nearly double compared to 12 months ago. Barclays, meanwhile, [...]

June 5, 2009 | 0 Comments More