9.75% per year over the Bank of England Rate
A business overdraft can help ensure that you have funds in place and available immediately should the unexpected happen.
Features and benefits
- Simple pricing
10.75% EAR representative for unsecured overdrafts up to £25,000
(Varies with the Bank of England Bank Rate) - Free to set up an overdraft with a limit of £5,000 or less
If you would like an overdraft limit of £5,000+ an annual fee will apply - Apply for a limit that suits your business
You can have an overdraft limit from £500 - Only pay interest on the funds you use
Set up a planned overdraft and you'll only pay interest on the funds you use - Once approved, provides immediate access to funds
Ensures funds are available when you need them helping you to avoid unauthorised borrowing charges. - Check if your eligible to borrow for your business
See how likely you are to get a Business Loan or Overdraft. View indicative interest rates and repayment details. Try different options without affecting your credit rating using our quote tool.
Keep in mind
- In the event of movement in the Bank of England bank rate your interest rate will move immediately by the same amount without any prior notice to you.
- For overdrafts with a limit of more than £5,000 and up to £25,000 you’ll pay an arrangement fee of 1.75%, which is related to the amount you borrow.
- If you would like to apply for an overdraft limit of £25,000+ you will need to contact our business management team to apply.
- If you borrow more than your planned overdraft limit, unauthorised borrowing charges will apply.
10.75% EAR representative1 (varies with Bank of England Bank Rate) for unsecured overdrafts up to £25,000.
Limit | Rate | Fee | Other information |
|---|---|---|---|
£5,000 or less | 9.75% per year over the Bank of England Rate | £10 p/m usage fee |
|
£5,001 - £25,000 | 9.75% per year over the Bank of England Rate | 1.75% Annual Fee |
|
£25,001 + | Tailored Rates | Annual Fee |
|
£5,000 or less
Rate
Fee
£10 p/m usage fee
Other information
- Free to set up overdraft facility
- Only pay if you go overdrawn
£5,001 - £25,000
Rate
9.75% per year over the Bank of England Rate
Fee
1.75% Annual Fee
Other information
- Only pay interest on funds you use
£25,001 +
Rate
Tailored Rates
Fee
Annual Fee
Other information
- Pricing discussed on application
EAR stands for equivalent annual rate. It is the rate you would pay if you go overdrawn to the full limit of your facility for the entire year. It takes into account the interest rate you are charged as a result and how often it’s charged – in this case interest is calculated daily and charged monthly. It then takes into account the effect of compounding – charging interest on interest – on your debt. Charges for unarranged overdrafts are charged separately.
The first time you go overdrawn, without an agreed overdraft facility, or exceed your agreed limit with us by £50 or more, you may be charged an Unauthorised Borrowing Fee of £15. After that, the UBF is applied every time you increase your unauthorised borrowing by £50 or more from the previous day’s closing balance, unless a higher limit is agreed with us or until the account is within its existing limit or in credit.
Where you do not have enough money available to make a payment and we do not agree to extend an unauthorised overdraft, you will not be able to make that payment. We charge a £25 fee each time we have to return a payment.
Business Internet Banking
Take control of your businesses finances wherever you are. From checking your balance to making international payments, Online for Business helps you spend less time taking care of your banking so you have more time to look after your business.
Business Mobile Banking App
Our business mobile banking app is a great way to securely access and manage your business accounts on the move. Whether you are on your way to your next meeting, in the office without your PC or on your way home, our app will help you to stay in touch with your finances.
Online
Fill in our simple online application form. We’ll just need a few bits of information, and you’ll need to be aged 18 years or over. You could have your business bank account open within 7 working days.
By Phone
0345 072 5555
Call us to talk to our business management team. We are available from 9am to 5pm Monday to Friday.
You can apply for a Lloyds Bank Business Overdraft if:
- you're aged 18 or older
- you're a sole trader, partner or company director with authority to borrow on behalf of your business.
Other borrowing options
Whether you need cash to solve an unexpected problem or to make the most of an opportunity, we’re here to help with our Business Loans.
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Rate change calculator
The current Bank of England bank rate with effect from 2 November 2017: 0.50%
Use our “Rate change calculator” to work out how a change could affect your loan repayments.