Student Overdraft (AIB)

DJKendo

Hi there, just a couple of questions about getting an overdraft of around €700 from AIB for myself (18 year old student in 3rd Level, First Year).

In need of the money to pay for my car insurance and a couple of other small things.

First of all, to get an overdraft, would I need to have a guaranteed income every week? I don't have a set income, as it varies. Would I need proof of paying bills on time? If so, I should be fine for that as I have never been late with a payment yet or anything.

I was on the phone to an AIB rep a week or so ago who mentioned the 0% interest under €1500 for students, so this is a perfect opportunity to take advantage of this.

How exactly does the overdraft work though? Is the money (i.e. the €700 I'm considering trying to get) put into a new separate account that when I need the funds I transfer to my current account, or is it put straight into my current account.

Also, how regular an occurrence would it be for students to receive overdrafts not having them rejected, and how long would it take from me going into the bank and asking for it on Monday to me actually being accepted for it and receiving the funds?

Obviously I will go into the bank on Monday and ask about it, or on the student phone number for them, but I said I'd ask here first just for some quick answers.

Thanks for your replies

Rebel1977

DJKendo wrote: »

Hi there, just a couple of questions about getting an overdraft of around €700 from AIB for myself (18 year old student in 3rd Level, First Year).

In need of the money to pay for my car insurance and a couple of other small things.

First of all, to get an overdraft, would I need to have a guaranteed income every week? I don't have a set income, as it varies. Would I need proof of paying bills on time? If so, I should be fine for that as I have never been late with a payment yet or anything.

I was on the phone to an AIB rep a week or so ago who mentioned the 0% interest under €1500 for students, so this is a perfect opportunity to take advantage of this.

How exactly does the overdraft work though? Is the money (i.e. the €700 I'm considering trying to get) put into a new separate account that when I need the funds I transfer to my current account, or is it put straight into my current account.

Also, how regular an occurrence would it be for students to receive overdrafts not having them rejected, and how long would it take from me going into the bank and asking for it on Monday to me actually being accepted for it and receiving the funds?

Obviously I will go into the bank on Monday and ask about it, or on the student phone number for them, but I said I'd ask here first just for some quick answers.

Thanks for your replies

Overdraft is attached to your current account and lets you overdraw your current account, without incurring any charges to the limit the bank has sanctioned i.e. €700. AIB Student plus overdraft is int free up to a maximum of €1500.

Some might ask for a parent to go as guarantor on it, especially if you have had no prior lending track record. Might have to bring in eveidence that you are in college such as college id card etc.

Turn around time varies up to a maximum of 5 business days, one piece of advise I will give is make sure you dont abuse the overdraft i.e. be overdrawn the entire year. Another option might be a personal loan, might help you to build up a lending track record for the future. Mistake a lot of students make is being casual about their financial affairs/credit history and it can affect them in future when they apply for a mortgage etc

Right, have a bit too much experience with the AIB student overdraft for my own good...

Basically, you can get an overdraft of up to €600 without a guarantor or €1500 with a guarantor. It is 0% for the time you are on a student plus account. I got mine over the phone and it takes anything from a few hours to about 3 days to get it sorted. But that might depend on branch.

They asked me about any part-time work or grants I receive (i only got €600 overdraft). They were pretty good to deal with and having that on my account has helped me get out of some rough enough times.

Best of luck with it



Best of luck.

DJKendo

Cool, thanks for that lads.
Suppose I might as well get a €1000 overdraft and get my parents to be guarantors or something?
Will be working in the summer fwiw so that should help too :-)

DJKendo

Just applied for one of €1000 in the AIB in WIT. No problems whatsoever. Put my Mam down as a guarantor (which is obligitory for €600+) which was fine.

Should my Mother be expecting a call during the week about it?
They said the overdraft should be available to use within 2-3 days, so Happy Days :-)

Rebel1977

When its approved your mother will have to call in to a Branch to sign the guarantee forms

DJKendo

Rebel1977 wrote: »

When its approved your mother will have to call in to a Branch to sign the guarantee forms

cool, thanks

Rebel1977

Ensure you payback overdraft on time, as if not could affect your credit rating AND your mothers

DJKendo

Rebel1977 wrote: »

Ensure you payback overdraft on time, as if not could affect your credit rating AND your mothers

thanks,
who will they contact first, myself or my mother about confirmation of the overdraft?

Rebel1977

usually contact you to confirm its sanctioned and then sign the guarantee, by you and your mother

DJKendo

thanks a mill Rebel for the info :-)

misstierney

Apologies for just jumping in here! I applied for an overdraft of €1500 on my AIB student a/c but the lady I spoke to said that I need my grant to be going into my a/c for at least 3 months before they will give me the overdraft. It's currently going through BOI. I don't see this in their T & C and have never heard of that before, I was hoping she was mistaken

Rebel1977

If its a €1500 they might need some form of security such as grant/part time job or just get a guarantor in place. surprised you were not given more options

misstierney

I am receiving the VTOS Grant and that gets paid during the Summer months too, and I told her that. But that grant is going into my BOI account but I will be closing that account and switching everything to AIB. I also said my partner who is in full time employment and banks with AIB would go as guarantor, then she said only blood relatives can be guarantors so I said my brother also offered. Nightmare!