Arranged Overdraft
Discussion
Is there any reason not to utilise my arranged overdraft (0%) simply part of my main current account, long term...I mean it's a few k but can have that money working for 0 negatives as not impact on credit scores etc that I'm aware of.
(btw per previous thread my Experian has reverted back to 999 after a flurry of current account openings (to get access to savings accounts) in the fall)
(btw per previous thread my Experian has reverted back to 999 after a flurry of current account openings (to get access to savings accounts) in the fall)
I guess just make sure that the overdraft is definitely free. I had one account where there wasn't an interest rate as such but they charged a daily rate for using it. And one of my current ones has an arranged overdraft of £1k but only the first £250 is interest free.
If it's genuinely 0% and no fees, seems sensible to use that free money to get some interest, however I am not sure how credit scorers look on constantly being overdrawn, I can't imagine it's a good look for them but Experian site says it won't have a great effect on score as long as you don't go over the limit and 'pay it back regularly', though the debit balance will be recorded as debt on your credit file obvs.
If it's genuinely 0% and no fees, seems sensible to use that free money to get some interest, however I am not sure how credit scorers look on constantly being overdrawn, I can't imagine it's a good look for them but Experian site says it won't have a great effect on score as long as you don't go over the limit and 'pay it back regularly', though the debit balance will be recorded as debt on your credit file obvs.
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