You haven't listed any accounts to check to see if they have a debit balance. In an ideal world, all of your accounts should be in credit. With a credit balance you have a degree of control over your financial affairs.
With a credit balance you won't be getting charged interest on an overdraft, it means that you can spend money when you like and that there will be no difficulties with honoring direct debits or standing orders.
In a current account you are likely to receive a low rate for interest for being in credit so it's unwise to build up too much credit in that type of account. Having a credit balance also helps your credit score, which should make it easier for you to get credit should it be required at a later date.
Provided that you are well within your overdraft limit, there is no real problem or difficulty with being in debit, you should be aware, however, that your bank may change your overdraft limit at short notice.
You will be charged an interest rate on your overdraft/debit but that rate is likely to be competitive. Most current accounts will offer you a far better rate than a credit card, if you have an overdraft facility it is best to utilize that, rather than pay higher rates on a credit card.
Keep in touch with your bank to ensure that you are getting the best value for your money. The same bank will offer different interest rates on different types of accounts. In the main, as long as you are in credit, you are unlikely to have any worries or concerns over your bank balances.
- What is the benefit of being in credit?
With a credit balance you won't be getting charged interest on an overdraft, it means that you can spend money when you like and that there will be no difficulties with honoring direct debits or standing orders.
In a current account you are likely to receive a low rate for interest for being in credit so it's unwise to build up too much credit in that type of account. Having a credit balance also helps your credit score, which should make it easier for you to get credit should it be required at a later date.
- Is there a benefit in being in debit?
Provided that you are well within your overdraft limit, there is no real problem or difficulty with being in debit, you should be aware, however, that your bank may change your overdraft limit at short notice.
You will be charged an interest rate on your overdraft/debit but that rate is likely to be competitive. Most current accounts will offer you a far better rate than a credit card, if you have an overdraft facility it is best to utilize that, rather than pay higher rates on a credit card.
- General
Keep in touch with your bank to ensure that you are getting the best value for your money. The same bank will offer different interest rates on different types of accounts. In the main, as long as you are in credit, you are unlikely to have any worries or concerns over your bank balances.
