Despite criticism of the size of some fees charged, unarranged
overdraft penalty fees have fallen by just PS1.
uk, suggests those who dip in and out of their
overdrafts should make the most of banks' free text alerts when they're about to go into the red, and if possible, top up their current account from any savings.
Overdraft charges have caused many a headache for current account customers, whether it's through busting your
overdraft limit without realising it or being hit with a big monthly bill.
Those in hardship due to bank charges for going beyond
overdraft limits may be able to reclaim them.
As a result, this led to an over-estimation of the consumer's capacity to service the
overdraft facility.
3 SWITCH TO 12 MONTH 0% BANK For those with bigger
overdrafts.
One recommendation to further transparency is to change the language of Regulation E's provision requiring the disclosure of alternative plans for covering
overdrafts from permissive to mandatory.
The possible direction of new regulations for
overdraft protection was indicated in a letter last fall from Rep.
com Use savings (if you''ve any) HAVING
overdrafts and savings isn''t sensible.
The bank is also removing its authorised
overdraft fee cap of GBP20 a month on these accounts.
US federal consumer watchdog The Consumer Financial Protection Bureau issued a review on
overdrafts of nine banks over USD 10bn in assets.
This style of daily
overdraft fee tariff is becoming more common but it is expensive on small
overdrafts.
