Nationwide Building Society has announced a new interest rate for the overdraft on its FlexAccount product.

 

Any credit taken out using the overdraft will now have 18.9 per cent interest added on to it for both authorised and unauthorised withdrawals.

 

In comparing interest on overdrafts from other top banks such as Barclays, HSBC, Lloyds TSB, Natwest and Royal Bank of Scotland, the account provider found that the average rate is currently 19.31 per cent.

 

The account also provides commission-free usage in foreign countries and allows customers to utilise the bank's e-Savings and e-Savings Plus facilities.

 

Banking giant HSBC recently announced the launch of a student bank account available for 17-year-olds, which has additional features once the customer gains a place at university.

 

The students can take advantage of a £2,000 interest-free overdraft with the account.