One in every three Dutch people gets into the red on their current account every month. This isn’t a problem if it happens every now and then, but did you know that you pay between 8 and 14% interest per year? Going overdrawn is an expensive form of borrowing. If you regularly spend more than you earn, read these tips.
If you know how much money comes in and how much goes out, you also know exactly where you can make savings.
Avoid unpleasant surprises. Enable push notifications in the ABN AMRO app and you’ll get an alert if your balance drops below a certain amount.
If something in your personal situation changes, like your income, for example, remember to adjust your limit. This will make sure that you aren’t overdrawn for too long.
If you’re using an overdraft to fund major expenses and are often over €2,500 overdrawn, it might be better to take out a personal loan instead. The interest will be lower and you can decide how much you want to repay each month, so you know exactly where you stand.
Being overdrawn is easy, but you could also consider using any savings you have. You can restore your savings balance once your salary has been paid. If your savings fall short...
