Business Overdraft
Setting up an overdraft for your business gives you financial flexibility and support when it matters.
Log on and enquireA Business Overdraft acts like a short-term safety net for your business finances. In business, it's normal for cash flow to change with different situations – some of which may be out of your control. An overdraft on your business account is an extra line of credit that gives you an interim cash flow solution, should you need it.
Benefits of a Business Overdraft
FAQs
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Overdrafts can be useful in helping to cover unexpected costs or large outgoings when the money flowing into your business isn't there to support them at that moment. An arranged overdraft differs from a loan in that you can repay it and use it again . You can pay back an overdraft as and when you're able to, but fees may apply. You may also be able to increase your overdraft limit depending on your business needs.
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To get a Business Overdraft, you’ll need to have a Lloyds Bank Business Current Account. It’s always a good idea to check eligibility criteria first.
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No, you’ll have to apply for a Business Overdraft as an existing Business Current Account holder.
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No, you will only be charged interest on the amount you borrow, regardless of your total borrowing limit. However, if you exceed this limit then unauthorised borrowing charges will apply. Fees for Business Overdrafts over £5,000 will be calculated on the full overdraft limit.
Lending appeals
The right type of funding can play a vital role in helping your business reach its potential. If your lending application is declined, we will work with the British Bankers’ Association to pursue any raised appeals.
ANY PROPERTY GIVEN AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR OTHER DEBTS SECURED ON IT.
All lending is subject to a satisfactory credit assessment and we will need your permission to carry out a credit check on you and your business.
You should not apply for an amount that you cannot comfortably afford to repay now and in the future to avoid the possibility of legal action.
All lending is subject to status. Security may be required.
Important Legal Information
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The products and services outlined on this site may be offered by legal entities from across Lloyds Banking Group, including Lloyds Bank plc and Lloyds Bank Corporate Markets plc. Lloyds Bank plc and Lloyds Bank Corporate Markets plc are separate legal entities within the Lloyds Banking Group.
Lloyds Bank is a trading name of Lloyds Bank plc, Bank of Scotland plc and Lloyds Bank Corporate Markets plc. Lloyds Bank plc. Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no.2065. Bank of Scotland plc. Registered Office: The Mound, Edinburgh EH1 1YZ. Registered in Scotland no. SC327000. Lloyds Bank Corporate Markets plc. Registered office 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 10399850. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278, 169628 and 763256 respectively.
We adhere to The Standards of Lending Practice which are monitored and enforced by the LSB: www.lendingstandardsboard.org.uk.
Eligible deposits with us are protected by the Financial Services Compensation Scheme (FSCS). We are covered by the Financial Ombudsman Service (FOS). Please note that due to FSCS and FOS eligibility criteria not all business customers will be covered.
Authorisation can be checked on the Financial Services Register at www.fca.org.uk under the Firm Registration Number 119278.