Does anyone have much knowledge of the changes to overdrafts and the rates being charged on them that are being proposed to come in next month?
The FCA has made a ruling that people exceeding their overdraft limit should not be shafted as hard as they have been in the past - and I’ve heard that to get round this the banks are just going to shaft everyone who has an overdraft by raising their rates to 40%.
I’ve suggested on the “overpaying mortgages” thread that I have a bit of a debt issue, in addition to credit card debt I have an overdraft limit of £7500 that I pretty much live right up against. I also have an overdraft limit of £25000 at work that we will occasionally go up to (all of my financial problems stemming from buying a decent business with insufficient working capital 10 years ago).
Obviously this news has me freaking out a bit as it has the potential to nudge both me personally and my business over the edge (both of which shouldn’t really be in this bother).
Can anyone put my mind at rest at all?