Bank Overdrafts ‘Cost More Than Payday Loans’

Some banks are charging customers several times the fees of payday lenders to borrow money, an investigation by Which? has found.
Looking at unarranged overdraft charges, the consumer group found that consumers needing as little as £100 could be charged over 12 times more by major high street banks than the amount the Financial Conduct Authority (FCA) allows payday lenders to charge.
Which? compared the cost of borrowing £100 for 28 days and found that charges at some high street banks were as much as £90 – up to four times the maximum charge of £22.40 on a payday loan.
Read more: Bank Overdrafts ‘Cost More Than Payday Loans’