Co-operative Bank scraps overdraft fees for three months

Tuesday, 03 January 2012 10:00AM
by Alex Kouzarides: alex.kouzarides@uswitch.com
Co-operative Bank scraps overdraft fees for three months
Co-operative Bank scraps overdraft fees for three months
The Co-operative Bank is stopping interest charges on agreed overdrafts for the first three months of the new year in a bid to help customers struggling with the Christmas hangover.

The interest free overdraft period will cover debit balances from January 5 to April 4 and applies to standard overdrafts provided with the Current Account Plus, as well as agreed overdrafts with the Privilege, Privilege Premier and Smilemore accounts.

A Co-operative Bank current account holder with an agreed overdraft of £2,000 could potentially save £75 in fees over the three month interest free period.

The bank has also stated that customers will automatically have the interest charges put on hold on the overdrafts which qualify and will not be asked to pay the accrued interest.

Robin Taylor, head of banking at the Co-operative Bank said: "Many people review their finances at the start of the year.

"As a responsible lender, we want to encourage customers to take control of their finances by providing them with the additional leeway to begin tackling any debts."

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