Current accounts, debit cards, contactless, standing orders and overdraft fees, explained for UK students and first-time account holders. Learn how to pick an account and avoid charges.
Pick an account on fees, overdraft terms and useful features — not card colour or a one-off freebie.
Compare student accounts on the overdraft (size, how it's released, what happens after graduation), not the freebie.
Debit spends your money. Credit borrows it. Credit can protect big purchases — if you clear it in full.
Standing order = you control a fixed payment. Direct debit = the company collects (amount can vary), protected by the Direct Debit Guarantee.
Lost card? Freeze it in your app straight away, then report it. Lock your phone — your wallet is only as safe as your lock screen.
UK bank transfers usually arrive within minutes. If Confirmation of Payee says the name doesn't match, stop and check before sending.
'Available' isn't 'yours'. An overdraft is borrowing — usually with interest — so treat it as an emergency buffer, not income.
Never let anyone move money through your account. 'Money mules' can lose their bank account and face criminal charges.
Total cost = fee + exchange-rate markup. Compare the amount that arrives.
Joint accounts link you financially (and on credit files). Envelopes or pots help you stick to a plan.
Switching is free and guaranteed through the Current Account Switch Service. Check the fees and terms of where you're going.
Expect to show ID, proof of your immigration status (your eVisa, via a share code) and a UK address. Your university's student services can tell you which letters local banks accept.
Total cost = fee + exchange-rate margin. Compare how many pounds actually ARRIVE, not the fee on the front page.
A perk you don't use is just a fee. Add up what you'd actually use, compare it to the monthly charge, and check the rates in the small print.
Free with a codeBanking & Payments: quick answers
How much of your money is protected by the Financial Services Compensation Scheme (FSCS) if a UK-authorised bank fails?
Up to £120,000 per person, per authorised firm. Yes. Since December 2025 the limit is £120,000. Check the bank is UK-authorised — and note some brands share one licence.
Banking & Payments: in-depth guides
Related topics
- BudgetingMake the money last longer than the month.
- BorrowingOverdrafts, BNPL, cards and loans: the real cost.
- Scams & FraudBeat Ronnie Rugpull at his own game.
Browse the whole money library or play the free money games.