Martin Lewis has warned those of us with overdrafts that we need to think of them as debt. The money saving expert got serious on tonight's (Tuesday, November 15) Martin Lewis Money Show Live Christmas Special as he addressed the issue of having a bank account in the red.
"Overdrafts are dangerous debt. Most banks charge 40% interest on overdrafts," he declared, which is a figure which may shock many of us.
"This all changed with the regulatory change a few years ago. That [the interest] is double a high-street credit card."
In the warning, he revealed exactly how to treat overdraft debt - very seriously.
