There are different types of borrowing designed to meet different needs. Using a form of borrowing in a way that it is not designed to be used can be expensive. It may make sense to switch to a different form of borrowing. We’ve made a list of the different types of borrowing to help you.
On the whole, credit cards and arranged overdrafts are designed for short term borrowing. If we notice a pattern of use of your Nationwide arranged overdraft or credit card that may not be in your interests, we'll write to you to let you know.
Repeat use on your Nationwide arranged overdraft
It's called repeat use if you're often overdrawn for most of the month. It can be a sign that you're dependent on your arranged overdraft to get by.
We’ll write to you if we think you’re falling into a repeat use pattern on your Nationwide arranged overdraft. If you’re in repeat use, try to reduce your overdraft spending as soon as possible. Arranged overdraft charges add up over time, making it harder to stop repeat use the longer it goes on. You can use the tips and tools on this page to help you get back on track.
Our overdraft calculator can show you how much you can save in charges. Either by reducing the number of days you’re overdrawn each month. Or by reducing the amount you borrow.
However, if you would prefer to speak to someone for help with repeat use or you feel you may be in financial difficulty, please call our dedicated team on 0800 328 7807. This team is open Monday – Friday 9am-5pm. When you call please have details of your income and outgoings to hand. Our income and expenditure form can help you to make a list before your call.
Persistent debt on your Nationwide credit card
Making minimum or low repayments on your credit card balance over a long period of time can result in persistent debt. This is where you're paying more in interest charges and fees than you're paying off your credit card balance. It's an expensive way to borrow. Find out more about persistent debt and how to manage it.