Fees and Charges | NatWest Students Account

This page provides a summary of the rates and charges that apply to NatWest current accounts.

Full copies of the fees and interest rates, and terms and conditions that apply to our personal accounts can be downloaded from our terms and conditions page.

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We also have a separate page providing an update on unarranged overdraft charges.

Common definitions

Throughout this page, you'll see various terms being used. Here's what they mean:

Annual Equivalent Rate (AER). This is a notional rate used for interest bearing accounts which illustrates what the gross credit interest rate (excluding any bonus interest payable) would be if paid and compounded on an annual basis. It helps you to compare the effective rates of credit interest on different accounts.

Effective Annual Rate of Interest (EAR). This is the real annual cost of an overdraft, stated as an annual rate, which takes into account how often interest is charged to the account. All other charges, such as arrangement fees, must be shown separately from the EAR.

Gross Rate. This means the interest rate you are paid before the deduction of income tax.

Net Rate. This means the interest rate you are paid after the deduction of income tax.

Nominal Rate. The rate charged excluding compounding of interest and other charges associated with a borrowing, e.g. arrangement and security fees.

p.a. per annum (per year).

Interest we pay you

The annual rates of interest paid on credit balances:

	Type of current account	Amount held in account	Gross Rate %	Net Rate %	AER %
	Student Account	Any amount	0.10	0.08	0.10

Calculation and application of interest

Interest is calculated on a daily basis and paid into the account once a month. Please see Section 8 of our leaflet: Personal and Private Banking - A Guide to Fees and Interest for further details.

Interest due on overdrawn balances

1. Arranged overdrafts

Your overdraft is available at a preferential rate while you hold a Student Account. If at any time you cease to be a Student customer for any reason, then the interest rate you pay on your overdraft will revert to the standard rate which applies to Current Plus customers.

Student Account arranged overdrafts are interest free. If you request an arranged overdraft with a limit which exceeds the thresholds set below, you will need to provide additional information to support your application.

Interest free thresholds	Nominal monthly rate %	Nominal annual rate %	EAR %
Year 1 - £1,250	0.00	0.00	0.00
Year 2 - £1,400	0.00	0.00	0.00
Year 3 - £1,600	0.00	0.00	0.00
Year 4 - £1,800	0.00	0.00	0.00
Year 5 - £2,000	0.00	0.00	0.00
0.0% EAR Typical

2. Unarranged overdrafts

Any amount overdrawn without an arranged overdraft or in excess of an arranged overdraft limit will charged at the following rates:

	Type of current account	Nominal monthly rate %	Nominal annual rate %	EAR % Typical variable
	Student Account	1.38	16.50	17.81

Interest on arranged and unarranged overdrafts is calculated on a daily basis and applied to your account once a month on the dates set out in section 8 of our leaflet NatWest Personal and Private Banking - A Guide to Fees and Interest (PDF File 271KB)

Charges - Arranged Overdrafts, Unarranged Overdrafts and Unpaid Items

The charges shown in this section do not normally apply to the other accounts we offer to Personal and Private Banking customers. However, we sometimes allow other accounts (including savings accounts) to be operated in a way which enables the customer to give instructions for a withdrawal or other payment which cannot be met from the funds in the account. If this happens, the charges listed below in the sub-section "Unarranged overdrafts and unpaid items - charges" will apply.

		Fee payable
	Student Account and Graduate Accounts
	Overdrafts up to the arranged limit	No fee
	Temporary or increased facilities for all customers
		If you wish to increase an existing facility at any time contact your Relationship Manager or your branch. Any fees payable will be advised to you at that time.

Unarranged overdrafts and unpaid items - charges

Fee type	When charged	Fee amount
Unpaid Item Fee
An Unpaid Item Fee will be payable if: you informally request an overdraft by issuing instructions for a withdrawal or other payment; and the payment cannot be met from the funds in your account or any unused arranged overdraft facility; and we decide in our discretion not to make the payment.	At the time we decide not to make the payment	£38 for each item (subject to a maximum of £114 per day)
For examples showing how our charges work, please see the section headed Unarranged Overdrafts and Unpaid Items in our leaflet Our Commitment to You.
Enforcement
A Default Notice Fee will be payable if we need to serve a default notice on you (for example, if you fail to repay your overdraft on demand or we wish to enforce any security we hold). This is in addition to any other charges that may apply.	Within four days of the Default Notice being served.	£30 per notice

Additional services

	Stopping payment instructions
	Stopping a cheque (unless it has been lost or stolen)	£10

	Payments
	Obtaining a banker's draft	£12
	Obtain a special cheque clearance	£15
	CHAPS payments	£23 - between banks £21 - between our branches
	Obtaining copies of statements	£5 per request
	Arrangement fee for Advantage Private FlexiLoans	Any fees payable will be advised to you at the time
	FlexiLoan arrangement fee	2% of amount borrowed (minimum fee £100
	Emergency Cash Service	Any fees payable will be advised at the time