Boom & Bust Banking - Part II

I wrote earlier about my banking boom (paying off my massive loan) and now I’m going to write about my bust.

Not the one that I religiously treat to Clarins gel each morning, although I have to admit that stuff works brilliantly…

No, I'm talking about a letter from our bank saying they were going to charge us £1 for every day that we used our arranged overdraft. As most of our direct debits are out within a few days of us being paid, we generally use our overdraft facility quite quickly and had worked out that the new scheme could cost us around £25 a month.

That's £25 too much, but a quick call to the bank told me I could eliminate the overdraft cost by switching to another account. That sounded like a much better plan, until they told me that I’d have to pay £12.50 a month for the privilege.

So, after nearly two decades, we are waving a fond farewell to the Bank of Scotland and phasing out our accounts over the next couple of months; as are most of my friends and colleagues who use the same bank.

£1 a day might not seem like a big deal, but in the current climate, it’s a pound that would be much happier placed in my pocket.

Boom & Bust Banking - Part I

I’ve been so preoccupied with playing nurse over the last few days, that a date I’d been waiting to celebrate for the last five years went by almost un-noticed.

That date was the 6th November and it marked the last installment of a hefty loan I had taken out to consolidate my credit card debts - and then like the true idiot I am, ran them all back up to their limit again.

In all honesty, I don’t know what I was expecting when that final payment was made.

A card from the bank congratulating me on my flawless repayment record?

A balloon in a box bearing the message “Well Done Debtor”?

A fly past from the Red Arrows?

None of those things happened, but I did give myself a little pat on the back and put the past five years of paying over £350 a month to that loan down as a lesson learned.

A very long and expensive lesson...