RBS Robbing Bast@#ds

[RadcliffeRick]

Just had an email from the RBS saying rhat overdraft rates are going up to 34.49%

How can they possibly justify that interest rate??!!

 

[denislawsbackheel]

Less than Barclays current overdraft rate.

 

[mexico1970]

Just had an email from the RBS saying rhat overdraft rates are going up to 34.49%

How can they possibly justify that interest rate??!!

Get your money under a matrasse now!!

 

[SkyBlueFlux]

Just had an email from the RBS saying rhat overdraft rates are going up to 34.49%

How can they possibly justify that interest rate??!!

In my experience, if the interest rate looks shite compared to the rest of the market it’s because the bank doesn’t want people using that product. Low savings rate = they have too much liquidity. High interest on cards/loan = their customers have undesirably high credit utilisation.

The truth is (and to clarify this is not an attempt to justify it, more just explain) the view of a bank would be that an overdraft is a short-term safety net for cash flow purposes and exceptional circumstances and that any longer term credit you need should be found through other means like shopping round for a low interest credit card.

I know that’s not always convenient or an option for people though depending on credit history etc.

 

[hammocity]

Just had an email from the RBS saying rhat overdraft rates are going up to 34.49%

How can they possibly justify that interest rate??!!

Do you remember years ago (before Internet banking) if you went a penny over the overdraft limit the banks would hammer you with a £20-£25 “fine”? This only showed up on a printed statement and invariably meant the account was overdrawn the following month.

The banks have always been robbing bastards but thankfully now with instant access to your accounts you can at least manage them more efficiently.

Nearly 35% is an absolute disgrace though.

 

[SkyBlueFlux]

Do you remember years ago (before Internet banking) if you went a penny over the overdraft limit the banks would hammer you with a £20-£25 “fine”? This only showed up on a printed statement and invariably meant the account was overdrawn the following month.

The banks have always been robbing bastards but thankfully now with instant access to your accounts you can at least manage them more efficiently.

Nearly 35% is an absolute disgrace though.

I remember it well. I worked in complaints for a major Retail Bank and was part of a task force that pushed to eliminate those fees as they were unethical. We were one of the first (if not the first) to do so despite not being one of the “big banks”.

There are usually people working in banks trying to change these kinds of archaic practices but they often don’t carry sufficient weight to get things done. And trying to get a millionaire board member to understand why he shouldn’t charge a struggling family a £30 fine isn’t easy.

 

[dronefromsector7G]

What do you expect from jocks?

 

[Alan Harper's Tash]

What do you expect from jocks?

Battered credit cards.

 

[Corky]

Do you remember years ago (before Internet banking) if you went a penny over the overdraft limit the banks would hammer you with a £20-£25 “fine”? This only showed up on a printed statement and invariably meant the account was overdrawn the following month.

The banks have always been robbing bastards but thankfully now with instant access to your accounts you can at least manage them more efficiently.

Nearly 35% is an absolute disgrace though.

The charging for being overdrawn was determined to be a penalty and illegal, and before that just having an overdraft was far less interest and sometimes free.

Now overdraft and overdrawn are mixed into one pot, so the interest rates for overdrafts rocketed.

Most interest rates on overdrafts are 35-40% standard for 95%+ of people. They are emergency facilities and should be used as such.

 

[jimharri]

Get your money under a matrasse now!!

Under a what?