An ‘overdraft’ is where we lend you money when you would otherwise not have money available to make a payment*.
A ‘Planned Overdraft’ is an overdraft up to an agreed limit which you arrange with us in advance. We will not charge you for setting up a Planned Overdraft and from time-to-time we will review it to make sure it’s still right for you.
If you try to make a payment out of your account (for example by Direct Debit or cheque) and you don’t have enough money, we will treat this as a request for an ‘Unplanned Overdraft’ or for an increase in one you already have. If we agree, we’ll provide you with an Unplanned Overdraft (or extend your existing one) to cover the payment.
You’ll pay a monthly fee if you use an Unplanned Overdraft any time during a monthly billing period and also pay a daily fee, which reflects how far and how long you go over your limit. If we don't agree to give you an Unplanned Overdraft, you won't be able to make the payment and a fee will apply. More details can be found on our rates and charges page.
How to avoid Overdraft fees
Checking your balance
You can keep an eye on your balance on a daily basis:
Managing your money
Limit Alerts and Mobile Banking Pack
The Grace Period
If your account goes over its limit, you’ll have until 3:30pm the same day to pay in enough money to cover your payments and avoid overdraft fees. The money needs to be ‘cleared funds’ which can be paid to your account by:
For £10 a month, Control helps you take charge of your finances by preventing you using an Unplanned Overdraft and incurring daily fees. It can be added to any Classic Account.
Apply for an overdraftOnline
If you have a current account with us and are registered for Internet Banking you can apply for a Planned Overdraft online quickly and securely.
By phone
Call 0845 3 000 000** and we’ll complete your Planned Overdraft application with you.
