Unauthorised overdraft rates at 10 year high

Despite the fact that the current and the previous UK governments promised to assist UK consumers with their banking arrangements and standard of service from the financial industry, it has been revealed that the average unauthorised overdraft rate in the UK is at a 10 year high of 14.22%. When you consider this rate is against a backdrop of just 0.5% for UK base rates it really does show how expensive an unauthorised overdraft can be!

Even though many consumers in the UK have already had their fingers burnt by the bank charges saga which unfortunately ended in failure in the High Court, it seems that many of us have yet to learn the lessons. We all need to be more aware of banking charges and banking interest rates, both for savers and for borrowers, and what additional charges may well stack up if you inadvertently go into the red.

The truth is that all savings and borrowing rates relating to any banking facility are made available to the public and we should all be reading the various documents to hand. It is no point complaining after the event as we should be fully aware of the situation and also plan ahead with greater precision with regards to our financial affairs.