Posted on

How to Choose a Student Bank Account

Hey there, future uni student! So, you’ve got everything sorted for your grand university adventure—uni choices, accommodation, and even a collection of pencil cases that would make any stationery addict jealous. But hold on a sec, you’re missing something crucial: your student bank account.

Now, I know banks can be intimidating. We’ve all seen those movies with massive vaults, men in fancy suits, and scary words like mortgages and interest rates flying around. But guess what? It’s 2017, and those scary banks of our childhood nightmares are long gone. Instead, you’ll be greeted by friendly staff in snazzy uniforms, and there’s usually a helpful person standing by in case you’re clueless about banking (which, let’s be honest, most of us are).

Every bank on your high street offers a student account, but with so many choices, how do you pick the right one? Well, we can’t make that decision for you, but we can give you some handy tips to help you choose the best account for your needs.

First things first, let’s talk about what’s important. You need to consider:

  1. How much overdraft can you get? And is it guaranteed? Overdrafts are like magical portals that let you borrow money from your bank without paying interest. It’s like getting a free pass! But beware, this 0% interest party won’t last forever. Each bank has its own repayment conditions, so make sure you know how quickly you’ll have to pay back that borrowed cash.
  2. Is there any interest involved? Nobody wants to pay extra money to the bank, right? So check if there’s any sneaky interest waiting to pounce on your innocent student account. If there isn’t, find out if they plan to introduce it in the future. It’s always good to stay ahead of the game.

Now, let’s talk overdrafts. Even if you’re clueless about banking, you’ve probably heard about these mystical creatures. Overdrafts are like your bank saying, “Hey, we trust you. Here’s some extra money to cover your expenses.” And the best part? Student overdrafts usually come with 0% interest. So, you only pay back what you owe—no extra charges.

But, my friend, remember that the 0% interest fun doesn’t last forever. Each bank has its own repayment policy, so make sure you know how quickly they expect you to pay it all back. If you miss their deadline, prepare to be slapped with some interest charges. And if you go over your overdraft limit, well, let’s just say the bank won’t be sending you a thank-you note.

Now, here’s a seemingly silly tip: location matters! Having a bank nearby can be a lifesaver. Imagine receiving a good old-fashioned cheque from your tech-challenged grandma or losing your card and needing to pop into a branch. Trust me, having a bank just around the corner can make your student life a lot easier.

Oh, and one more thing—beware of the freebies. Banks are eager to win over students because they hope you’ll stick around after graduation when you’re rolling in the dough. So, they dangle attractive freebies like railcards, vouchers, and gift cards to lure you in. But don’t let those shiny distractions blind you. Focus on the important stuff—the account itself. Look past the freebies and make sure you’re getting a good deal overall.

Choosing the right bank account can make your financial journey as a student smooth sailing. So, go on a little shopping spree, compare what each bank has to offer, and snag the best deal for yourself. You got this!