How long does a HSBC student overdraft last?

How long does a student overdraft last for?

You should be able to have a student overdraft for around two to three years. After you graduate, your account may automatically switch to a graduate account – and you should have 2-3 years to pay back the interest-free overdraft. Your bank will pare back the interest-free limit every year.

Is HSBC student overdraft guaranteed?

HSBC gives you a guaranteed interest free overdraft of £1,000 on opening of their student account. You can request an increase to £2,000 in your second year and £3,000 in your third year, but these are subject to status and account conduct.

Can HSBC take away my overdraft?

You can also ask us to reduce your limit or remove your arranged overdraft limit at any time. This can be done via Online Banking, or you can chat to us 24/7 (subject to maintenance periods) through Online Banking and the HSBC UK Mobile Banking App. You can also call us on 03457 404 404, or visit us in branch.

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How long does a graduate overdraft last HSBC?

For more information about our overdraft service, please see our Making sense of overdrafts brochure. As a Graduate customer you’ll have access to a Regular Saver. You can save from as little as £25 a month by standing order for a fixed term of 12 months. The monthly subscription limit is £250.

What happens if you go over your student overdraft?

If the bank makes the payment on your behalf (meaning you go over your overdraft limit) you’re likely to be charged a fee. Or, if the bank stops the payment from going through, you could end up paying an admin charge to the company you failed to pay, plus a returned item fee to your bank.

Do you have to pay back a student overdraft?

However, a student overdraft is not free money – it’s a loan that you’ll need to pay back, ideally before the interest kicks in. Typically, current account providers start charging interest on student overdrafts two years after you graduate.

Does student overdraft affect credit score?

Does a student overdraft affect your credit score? A student overdraft will appear on your credit report, but it won’t affect your credit score if you’re careful with it. If you use your overdraft, it’s important to pay this back in a timely manner and avoid going over your arranged overdraft limit.

How does a student overdraft work?

An overdraft is where the bank lets you spend more than you’ve got (at no extra cost), up to a set amount. Often banks charge hefty fees and interest for the privilege, but student account overdrafts are interest-free.

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Can you have 2 student overdrafts?

Generally, you can just have one student overdraft. Some banks may also have it in their terms and conditions that you can only have one student bank account. Having multiple student overdrafts may be difficult to manage. It may also increase your chances of getting into debt if you’re unable to pay them back.

Can my bank just stop my overdraft?

If you take out more money than you’ve agreed

If you have an agreed overdraft and you take out more than the limit, the bank might also reduce or stop your overdraft. … For example, they might cancel fees they’ve charged you or help you work out how to pay back the overdraft.

How do I clear my overdraft?

These are some methods you could use:

  1. 1.) Gradually reduce the amount of your overdraft you spend each month. …
  2. 2.) Repay the balance using credit with a lower interest rate. …
  3. 3.) Shift your direct debits. …
  4. 4.) Consider separating your overdraft from your day-to-day banking. …
  5. 5.) Use savings to clear your balance.

Can my overdraft be taken away?

You’ll be charged interest while you’re using the overdraft, but there won’t be any further charges to pay. An overdraft is a form of credit that can be taken away at any time, without notice, by your bank.

What happens to HSBC student account when you graduate?

If you have an HSBC Student Bank Account, your account will change to an HSBC Graduate Bank Account at the end of your third year. We’ll then ask you to start paying back your arranged overdraft, reducing it each year, giving you time to pay it back after graduation.

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What happens to my HSBC student credit card when I graduate?

What happens to your HSBC student credit card when you graduate? Once you have graduated, you can still continue to use your HSBC student credit card but you may find that you are now eligible for a better APR credit card which may even offer better rewards and a better introductory period.

How long do I have to pay off my student overdraft Santander?

If you cancel your arranged overdraft you must repay the money that you have borrowed under your arranged overdraft as soon as possible and no later than 30 days after you cancel it. You must also pay all the fees and interest applicable to your overdraft.