overdraft

An Overdraft occurs in a bank account when a certain protection is placed by a bank/customer agreement, allowing the customer to spend more than the available balance, resulting in a negative balance.

The amount that the customer is allowed to go into overdraft, and the amount of interest charged is often established ahead of time.

Other times, the bank provides this protection as an unannounced service sometimes getting the customer into financial trouble by constantly pulling from the overdraft and hardly ever getting back to zero.

This creates a "negative bank account" resulting in interest paid rather than interest earned.

You'll find bloggers talking about overdraft at sites like Finance Blog and Overdraft Chic.

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Latest blogosphere posts tagged “overdraft”

 

• Avoiding The Dire Strait of Retail Banking

  
  Pragmatist — Authority: 97
  So, competition in banking has worsened, according to research cited by the FT this week , and Which? is back on the warpath against "complicated and exorbitant" unauthorised overdraft charges. Accentures research found that in 2011 only 11% of customers switched at least one product and only 6% switched their ...
  6 days ago

• How Are Prepaid Debit Cards Faring?

  
  Credit Cards Blog — Authority: 102
  Prepaid debit cards are still a popular choice. Take a look at a few of those offers, including the Wal Mart MoneyCard and the Modern Cash prepaid MasterCard.
  1 week ago

• Rip-off Britain and why Ed Miliband cant buck the market

  
  Telegraph.co.uk Finance Blog — Authority: 584
  Bashing "rip-off Britain" is about as brave as praising motherhood and Ed Miliband is just the latest to do so – but could his proposals work? Forcing pension fund managers and financial advisers to provide clear information about their charges would plainly be a good thing, as it would enable savers to identify ...
  1 week ago

• Branded Debit Cards Issued By Nordstrom And Target

  
  Credit Card News — Authority: 107
  A store credit card is not a credit card when it is a debit card. This case is becoming increasingly common in the recent times.
  1 week ago

• Credit Cards vs. Debit Cards

  
  HelpSaveMyDollars.com | Saving Money, Personal Finance, Credit Cards, Debt, Saving for College — Authority: 97
    In a world where online retailers are taking over, using plastic to pay for things is almost…a must.  And I say that with caution, because I’m a huge fan of cash…among many benefits, it limits your spending, since once there’s no more cash in your wallet, you can’t buy anything else.  With credit ...
  1 week ago

• Understanding Bank Fees

  
  FrugalBabble: Save More Money. — Authority: 94
  Banks could be described as a necessary evil; we need them to save money and earn interest and at times, to get loans for large-scale purchases but bank fees can cost you. Bank fees aren’t as simple as you might think either and thanks to federal regulations, banks can infer fees in ways you may not realize can or ...
  2 weeks ago

• Overdraft charges on current accounts are so complicated they baffle a maths PhD student

  
  top99news - breaking news from the world top newspapers — Authority: 163
  http://www.dailymail.co.uk Overdraft charges on current accounts are so complicated they baffle a maths PhD student A customer could be hit with a £150 bill for a large unauthorised overdraft without a clear explanation as to why, Which? said. published date:Tue, 17 Jan 2012 00:01:36 GMT
  2 weeks ago

• Overdraft Nation: How Banks are Causing Americans to Overdraw

  
  MintLife Blog | Personal Finance News & Advice — Authority: 587
  As Americans enter 2012, their choice of bank may be increasingly important. Since regulations implemented in 2010 limit banks’ power to charge overdraft fees, many are looking for new ways to recoup the income they lost from this type of service fee. Click on “Launch Infographic” to delve into the banking ...
  2 weeks ago

• Santander doubles overdraft fees

  
  Daily Finance UK — Authority: 137
  Filed under: Current Accounts AP Photo/Jasper Juinen Existing Santander customers will face higher charges for going overdrawn, after the bank announced plans to increase fees and interest rates across its current account range. Consumer watchdog Which? has revealed that the bank is doubling its ...
  2 weeks ago

• How the Banks are Crooks

  
  Beers Blogs — Authority: 116
  So one day I called my bank "Wells Fargo" and told them because my account was negative and a new charge just went thru that day. I told the I was going to go and put the money in, and they said OK and told me how negative the account was... Well not even an hour after I got off the phone with them they reversed the ...
  2 weeks ago

• Don’t Sign Until You Consider Alternatives To A Payday Loan

  
  Piggy Bank Finances — Authority: 144
  By Marilu G. Nieto Before you decide to take out a payday loan, consider some alternatives. There may be other options that you have not thought about so let’s brain storm them together. Even though a quick payday loan may seem attractive, it is a better recommendation to find an alternative than to risk problems ...
  3 weeks ago

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