Features & benefits

Rates, fees & overdrafts

FlexDirect interest rates, fees and overdraft details

Interest rates when you're in credit as long as you pay in £1,000 per month (excluding internal transfers)1

Interest rates when you're in credit as long as you pay in £1,000 per month
  AER Fallback Text Gross p.a. Fallback Text
Interest on balances up to £2,500
(Introductory rate fixed for first 12 months)		 5%
 4.89%
Interest on balances up to £2,500
(Ongoing variable rate after the first 12 months)
 1% 1%
Interest on balances over £2,500 0% 0%

What does AER stand for?

AER stands for 'annual equivalent rate' and illustrates what the interest rate would be if interest were paid and compounded each year.

What does gross mean?

The gross rate of interest is the interest rate payable before any income tax is deducted (if you do pay tax).

In plain English this means, you'll earn interest on the first £2,500 of your balance each month but you won't get any interest on any part of your balance over £2,500.

Overdrafts

Our overdrafts are only open to those aged 18 or over and are subject to approval. You will have 28 days' notice before we take any overdraft fees from your account. When you apply for an account, we'll tell you if we can offer you an arranged overdraft. The way that overdraft fees are charged for FlexDirect is different to FlexAccount, so if you're an existing customer swapping from FlexAccount to FlexDirect, please read this section carefully.

Overdraft usage fee
Daily arranged overdraft usage fee
 Daily unarranged overdraft usage fee
50p per day on arranged balances over £10 (The first £10 of your arranged overdraft is free)
 50p per day (for unarranged balances up to £10)
 OR £5 per day (on unarranged balances over £10, capped at £60 per month)

We'll also give you a 12 month fee-free overdraft
The daily usage fee-free overdraft period is for 12 months starting on the date you open a Current Account with us.

 

 First time fee refund
We can all slip up sometimes and lose track of our outgoings. So the first time you let us know you’ve made a mistake, we’ll refund any overdraft fees you’ve incurred.

FlexDirect Overdraft Representative Example:

If you use an arranged overdraft of £1,200 the amount we will charge you is 50p per day (variable).

Important information

Opening Multiple accounts?

Opening multiple FlexDirect accounts: Under the terms and conditions of this account customers are only entitled to one promotional credit interest rate of 5% AER. (4.89% gross p.a). The only permitted exception to receive more than one promotional rate is if the additional account is held in joint names.

Any additional FlexDirect accounts held or more than one joint account held by you and another customer will result in the credit interest rate being reduced from 5% (4.89% gross p.a) to 1% gross p.a/AER (variable) within 7 working days of the account being opened.

If you have previously held a FlexDirect account in the last 12 months, you will not be entitled to the introductory rate or offer under a new agreement and therefore you will receive the standard 1% gross p.a/ AER (variable) interest rate.

How we pay interest

On the last day of each month we calculate the interest you've earned each day of that month and then pay you this interest on the 1st day of the next month. We normally pay you this interest 'net' of any tax, which means we deduct any tax due and pass it to the government for you.


Don't pay tax?

If you're eligible to receive gross interest (interest without tax taken off) on your account, you will need to complete an R85 Tax Form once your account is open. Important: We can't give advice about tax issues - please contact your local Tax Office with any queries.

1If we make a change to these interest rates we'll notify you 2 months in advance if the change is to your disadvantage. If the change is to your advantage we may make it immediately. 

Advertised rates correct as 1 March 2013 and this rate can be changed at any time.

All rates and charges are subject to change and we may decide when to apply and waive any account charges.

For more information see our examples of current account charges (This link will open in a new window) (This link will open in a new window) (This link will open in a new window)
To understand more about how overdrafts work see our Understanding Overdrafts Leaflet  (This link will open in a new window) (This link will open in a new window) (This link will open in a new window) Rafidain Bank subscribes to the Lending Code. For more information on the Lending Code please visit http:///. (This link will open in a new window) (This link will open in a new window) (This link will open in a new window)

Other charges and fees

We've shown you the main rates and charges that most people want to know above. For the full list of all our current interest rates and other fees and charges please download our latest interest rates and charges leaflet (This link will open in a new window).
For past rates and charges, see our current account support section.
To see what charges we make for payments in other currencies and using your card abroad, see our using your cards abroad section.

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