Cards and Overdrafts

Cards and Overdrafts. If you have the right plastic then you can normally borrow decent amounts at low or no interest. But the easy terms won’t normally last more than 12 months and the debt will grow fast once standard interest is applied. If you ever miss any minimum payments you can also be hit with shockingly large penalty fees.



Look on websites like www.moneyfacts.co.uk for the latest low or zero per cent credit card deals. Many cards come with chequebooks, so you can borrow with them more easily. If you plan to borrow using an overdraft make sure it is fully approved first. Unapproved overdrafts charge eye-watering interest rates plus sky-high fees. Yet most banks will give overdraft decisions on the spot to customer who ask for them. The best current accounts for borrowers wanting overdrafts tend to come from existing or former building societies. Alliance & Leicester, Halifax and Nationwide all look good according to Moneyfacts’ research.