Do you think Overdrafts are worse than Credit Card

[bagpuss]

I dont know about many of you but i certainly felt the Overdraft worried me much more than the loans and credit cards...

Each week that Robs wages went in it looked a bit better...for about a day...then we just used it back again for direct debits...it was never going to go down.

I think maybe becouse we did online banking and it was there staring us in the face everyday it felt worse, where c/c statements you could sort of forget about till the monthly statements came...then i'd feel like cellotaping the letterbox up.

Each time i went to the cashpoint and got a reciept...there it was looking at me...£11k overdrawn

Anyone else felt like this..and what would you like to see in place for ever increasing overdrafts.

Angie xx


My IVA Story......http://bagpuss.blogs.iva.co.uk/2007/09/ ... iva-story/

[sarah.h]

Hi Angie
When we lived in Germany we had an overdraft. Each month the limit of the overdraft was reduced and not open ended like it is in the UK. IT was a very cheap way of borrowing money.

[poppy84]

I agree,once you get an over draft you can never seem to get out of it.How ever small.
Im thankfull for the chance of an iva because i know that had i not entered in to one,id have always used over draft n never got out of it.
Id also have kept upping my loans once a bit was paid off(but only for lving perposes)id have never got out of the debt trap!
Thats what debt means to me a trap that you seem never to get out of!
Never agian!
But in one way im glad i have experienced what i have because at least i can teach my kids the value of money/the dangers & how to manage it.That can only be a good thing in todays life of constant credit!
Its made be more responsible!

[katy]

I've only ever had an overdraft of £500 and I hate seeing 'DR' when I got a statement so for me, it wasn't as bad as a CC. I think there should be something in this country similar to that in Germany regarding overdrafts, it sounds much better - and sensible.

[R1chard]

i had an overdraft for 3000 and like everone said, id get paid and still be in my overdraft, i cauldnt get out of it.

i dont have one now, and i love knowing its MY money im taking out of the bank.

[bagpuss]

we dont have one at all now either...not that i could if i wanted too. I see an overdraft as just that ..it should be for say direct debits that just push you over or a chq that you had forgotton about. So why ours was 11k is beyond me...yes we did use it...but why it was ever allowed to get so high is madness...thats not an overdraft its a loan !!

Angie xx


My IVA Story......http://bagpuss.blogs.iva.co.uk/2007/09/ ... iva-story/

[lily]

I was in overdraft too every month but I didnt really worry about it. In the beggining of this debt journey I changed to a basic account and I worried that the balance in the bank was just that and I knew I had to stick to it, I couldnt add xxDR onto it and it really scared me. I am used to it now though.

I do think credit cards are worse because of the interest they add on every month its a no win situation.

lily

[BrassicLintus]

I never ever used my overdraft (until all my cards were maxed out!) For some reason it didn't feel right, probably because when my wages then went in it didn't seem like I'd been payed!!! I only used it towards the end to pay for my credit cards (then I'd max the cards out again!) Complete madness I know - but never ever again!.