Overdraft Worry

[Mahraih]

Hi,

Bit of background: I graduated on 2009, with a £1500 overdraft that, through paying my last lot of college bills before leaving, I was at the very bottom of.

Since then, I've paid off £500 of it. Would have saved more but rent is extortionate and I've been living a pretty 'hakuna matata' life.

HOWEVER I am now pregnant and will be on maternity leave from late Jan 2011.

So, from October, I am aiming to save to clear most of the overdraft before I go on maternity leave (I am currently coming to the end of saving for deposit/agency fees for moving in with DP)

I'm worried about the extra overdraft. Once on maternity leave DP and I will be tight for money, and I was wondering - has anyone managed to get their bank to come to a temporary 'understanding' about a relatively small amount of left-over overdraft? Just worried that they will start charging me horribly!!

Enquire at the Bank at the earliest opportunity. In my experience it doesn't do any harm to be direct and upfront about it. I fear you will be charged "horribly" so if there is any way of clearing the overdraft, such as borrowing it from parents etc and paying them back, do that. I know that's not always possible. Even if you have to sell something you will probably be better off in the long run by a long way. Discuss all this with the Bank and CAB. DS had an overdraft with Barclays that he thought was paid off, only to realise sometime later that extra charges kept popping up We discovered that is was the mobile phone contract on a DD so he was put back to square one. For a while the account would not lie down and die as we thought it would, after putting funds into it. Do take action asap because then it will be sorted, you don't want that sort of stress in your pregnancy.

Thank you Chatelaine - I will go and see the bank, next week.

No chance of borrowing money from family, perhaps DP but I absolutely hate asking. If it comes to it, however, of course I will.

Fingers crossed the bank are in a kindly mood!