Download the full terms and conditions which apply to this account.
Interest Rates
Interest we pay you
The annual rates of interest paid on credit balances are as follows:
Calculation and application of interest
Interest is calculated on a daily basis and paid into your account once a month, usually the day after we send your statement to you. The exceptions to this are our Key and Cash Accounts, where interest is paid on the first day of each month.
| Gross Rate % | AER % | Net rate % |
|---|---|---|
| 2.00 | 2.02 | 1.60 |
Calculation and application of interest
Interest is calculated on a daily basis and paid into your account once a month, usually the day after we send your statement to you. The exceptions to this are our Key and Cash Accounts, where interest is paid on the first day of each month.
Gross rate
Gross rate means the rate you are paid before the deduction of tax.
Annual Equivalent Rate (AER)
This is the notional rate used for interest bearing accounts which illustrates what the gross credit interest rate (excluding any bonus interest payable) would be if paid and compounded on an annual basis. It helps you to compare the effective rates of credit interest on different accounts.
Net Rate
This means the interest rate paid after deduction of tax.
Effective Annual Rate of Interest (EAR)
This is the real annual cost of an overdraft stated as annual rate which takes into account how often interest is charged to the account. All other charges, for example arrangement fees, are shown separately from the EAR.
Unarranged overdrafts
Any amount overdrawn without an arranged overdraft or in excess of the arranged overdraft limit will be charged at a rate of 2.2% per month, which is equivalent to 29.84% EAR Typical (variable). Interest is charged in addition to the Maintenance Charge. The Paid Referral Fee and/or Guaranteed Card Payment Fee may also be payable if the unarranged overdraft arises from an informal request by you for an overdraft.
Historic Credit Interest Rates
| Previous Rate | Current Rate
(effective from 03/12/01) |
|
|---|---|---|
| Annual Gross
Rate % |
3.00 | 2.00 |
| Gross / AER % | 3.04 | 2.02 |
| Net Rate % | 2.40 | 1.60 |
| Unarranged overdrafts and unpaid items -
charges |
Fee amount |
|---|---|
| Maintenance Charges | |
| If your account becomes overdrawn without prior arrangement or any arranged overdraft limit is exceeded, you will be liable for a monthly Maintenance Charge.
The Maintenance Charge will be applied if you have an unarranged overdraft at any time during a monthly charging period. The charging period normally ends on the date that we send your statement to you. |
£28
(£10 for R21**, Student Royalties, and Graduate Royalties) |
| When charged
16 days after the end of the charging period (or the next business day if this is a Saturday, Sunday or Bank Holiday). |
|
| Paid Referral Fee | |
| A Paid Referral Fee will be payable if:
you informally request an overdraft by issuing instructions for a withdrawal or other payment on your account; and the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and we decide in our discretion to make the payment, so that an unarranged overdraft is created or increased. |
£30 for each day on which a Paid Referral occurs
(subject to a maximum of £90 in any calendar month) |
| When charged
On the sixth business day of the calendar month after the calendar month in which the transaction(s) took place. |
|
| Guaranteed Card Payment Fee | |
| A Guaranteed Card Payment Fee will be payable if:
you informally request an overdraft by issuing instructions for a withdrawal or other payment on your account; and the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and we are obliged to make the payment because you have used a cheque guarantee or debit card to guarantee payment to a third party. |
£35 for each transaction |
| When charged
At the time the transaction is paid or taken from your account. |
|
| Unpaid Item Fee | |
| An Unpaid Item Fee will be payable if:
you informally request an overdraft by issuing instructions for a withdrawal or other payment; and the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and we decide in our discretion not to make the payment. |
£38 for each item
(subject to a maximum of £114 per day) |
| When charged
At the time we decide not to make the payment. |
|
| Making an informal request for an overdraft means you will have to pay a Paid Referral Fee, a Guaranteed Card Payment Fee or an Unpaid Item Fee. If an unarranged overdraft arises, you will also have to pay the Maintenance Charge and interest. For examples showing how our charges work, please see the section headed Unarranged Overdrafts and Unpaid Items in our leaflet How to make the most of your account. | |
| Enforcement | |
| A Default Notice Fee will be payable if we need to serve a default notice on you (for example, if you fail to repay your overdraft on demand or we wish to enforce any security we hold). This is in addition to any other charges that may apply. | £30 per notice |
| When charged
Within four days of the Default Notice being served. |
|
** R21 Account is not available to new customers
Show me legal information for the Student Royalties current account