Graduate Accounts

Graduate accounts are effectively current accounts with an increased overdraft facility to ease you into 'real life'. They last for up to three years after you graduate, and you will usually find that the credit facility that you are eligible for at zero per cent interest decreases year on year over this period. Before you switch, check what the different banks need by way of proof that you are a graduate. It may be that you need to be in a full-time job, or need to apply within a set period of time after graduating, and some banks will need proof of graduation.

After leaving university, there is usually so much else to consider that changing your bank account is rarely a priority. However, by not shopping around, you could be missing out on the best graduate account deals. Also, you should forget any sense of loyalty to the bank that you used in your student days, your custom was as valuable to them as their overdraft was to you. However, if you have been with your bank for a long time, approach them with a good deal that you have found elsewhere and ask them to match it. Existing customers are worth more than new ones, especially when they can offer you other products such as home insurance, so you may be able to get what you want without moving.

Compare graduate accounts to find the best deal for you

Getting the most from Graduate Banking

• Don't pay a fee.  If you can avoid it, stay away from graduate accounts that charge you a monthly fee.  Banks will usually try and justify it by offering you additional services such as mobile telephone insurance, but unless you are actually going to make use of that, choose a free account.
• Make use of your free overdraft while you have it.  As you are able to have an overdraft at zero per cent interest, do not use credit cards or store cards that cost you money.  If you do not need to use the full limit, put the remainder into a high-interest savings account, or buy premium bonds until the free overdraft runs out.