Overdraft rates and charges

Everything you need to know about the interest, fees, and charges you'll pay on the balance of your overdraft.

Overdraft rates for current accounts

Classic Account, Club Lloyds current account and Added Value Accounts

These rates apply to both Planned and Unplanned Overdrafts. These interest rates are correct from 02/09/2016 and apply to any amount beyond the interest and fee-free amount on your Planned Overdraft. Interest rates are variable.

Current account

Overdraft interest rate (per month)

Overdraft interest rate (EARCloseEquivalent Annual RateEAR is the Equivalent Annual Rate. This is the actual annual rate of an overdraft. It doesn't take into account other fees and charges.EAR)

Classic

Silver

Gold

Club Lloyds

Club Lloyds Silver

Club Lloyds Gold

Platinum

Club Lloyds Platinum

Premier

Club Lloyds Premier

1.52%

19.89%

Representative Example
If you use a Planned Overdraft of £1,200 on our Classic Account the overdraft interest rate we will charge on the first £25 will be 0% EARCloseEAREAR is the Equivalent Annual Rate. This is the actual annual rate of an overdraft. It doesn’t take into account other fees and charges. variable. The overdraft interest rate on the next £1,175 will be 19.89% EAR variable and a monthly overdraft usage fee of £6 will apply.

Student account

These rates apply to both Planned and Unplanned Overdrafts. These interest rates are correct from 12/05/2015. Interest rates are variable.

Year of study

Planned Overdraft

Overdraft interest rate (per month)

Overdraft interest rate (EARCloseEquivalent Annual RateEAR is the Equivalent Annual Rate. This is the actual annual rate of an overdraft. It doesn't take into account other fees and charges.EAR)

Year 1 months 1-6 from account opening

£0 - £500

0%

0%

Year 1 months 1- 6 from account opening

£500+

0.66%

8.21%

Year 1 months 7-9 from account opening

£0 - £1,000

0%

0%

Year 1 months 7-9 from account opening

£1,000+

0.66%

8.21%

Year 1 months 10-12 from account opening

£0 - £1,500

0%

0%

Year 1 months 10-12 from account opening

£1,500+

0.66%

8.21%

Year 2

£0 - £1,500

0%

0%

Year 2

£1,500+

0.66%

8.21%

Year 3

£0 - £1,500

0%

0%

Year 3

£1,500+

0.66%

8.21%

Years 4-6

£0 - £2,000

0%

0%

Years 4-6

£2,000+

0.66%

8.21%

Graduate account

These rates apply to both Planned and Unplanned Overdrafts. These interest rates are correct as of 02/09/2016. Interest rates are variable.

Year from graduation

Planned Overdraft

Overdraft interest rate (per month)

Overdraft interest rate (EARCloseEquivalent Annual RateEAR is the Equivalent Annual Rate. This is the actual annual rate of an overdraft. It doesn't take into account other fees and charges.EAR)

Year 1

£0 - £2,000

0%

0%

Year 1

£2,000+

1.52%

19.89%

Year 2

£0 - £1,500

0%

0%

Year 2

£1,500+

1.52%

19.89%

Year 3

£0 - £1,000

0%

0%

Year 3

£1,000+

1.52%

19.89%

Overdraft fees

Monthly overdraft usage fee

We'll charge you a £6 monthly overdraft usage fee for all overdrafts, whether Planned Overdrafts or Unplanned Overdrafts. You will pay this fee if you use a Planned or Unplanned Overdraft by more than any interest-free and fee-free amount or buffer (if applicable) at any time during your monthly billing period. We will charge you a maximum of one monthly overdraft usage fee in a monthly billing period.

Daily fees for Unplanned Overdrafts

You will pay a daily fee for using an Unplanned Overdraft. each day you are in an Unplanned Overdraft. We will charge you a maximum of eight daily fees in a monthly billing period.

  • Unplanned Overdraft balance of £10 or less: no fee (buffer applies)
  • Unplanned Overdraft balance is more than £10 but less than £25: £5 fee per day 
  • Unplanned Overdraft balance is £25 or more: £10 fee per day

An overdraft continues until it is repaid. So, at the start of any monthly billing period, if you still have an overdraft from the previous monthly billing period, you will incur a further monthly overdraft usage fee and, if it is an Unplanned Overdraft, up to another eight daily fees (depending on when you pay it back).

Unplanned Overdrafts are intended for short-term, unexpected borrowing. If you know you are likely to need to borrow from us, please ask for a new or increased Planned Overdraft. You can do this by visiting us in branch, calling us on 0345 300 0000 or online if you’re registered with Internet Banking.

Monthly Maximum Charge (MMC) for Unplanned Overdraft Fees and Interest

Returned items

Where you do not have enough available money to make a payment and we do not agree to give you or extend an Unplanned Overdraft, you will not be able to make that payment. We will write to tell you we have declined your request. We will charge you a returned item fee.

Return item fees

A returned item fee £10 for each item. We will charge you a maximum of three returned item fees a day. This fee will not be charged if the amount of the payment we decline is £10 or less.

Monthly Maximum Charge (MMC) for Unplanned Overdraft Fees and Interest

Monthly Maximum Charge (MMC) for Unplanned Overdraft Fees and Interest

The Monthly Maximum Charge for your current account is shown in the table below:

Product

MMC

Club Lloyds Account, Classic Account, Student Account, Graduate Account, Select Account, Silver Account, Gold Account, Platinum Account, Premier Account (including all Club Lloyds and Offset options)

£95

Classic Account with Control or Club Lloyds Current Account with Control

£10

Club Lloyds Account, Classic Account, Student Account, Graduate Account, Select Account, Silver Account, Gold Account, Platinum Account, Premier Account (including all Club Lloyds and Offset options)

MMC

£95

Classic Account with Control or Club Lloyds Current Account with Control

MMC

£10

This is the maximum amount that, under our charging policy and terms and conditions, we will charge in any monthly billing period for using (or trying to use) an Unplanned Overdraft from 2nd August 2017. The wording below explains what the MMC covers:

Monthly cap on unarranged overdraft charges

  1. Each current account will set a monthly maximum charge for:
    (a) going overdrawn when you have not arranged an overdraft; or
    (b) going over/past your arranged overdraft limit (if you have one).
  2. This cap covers any:
    (a) interest and fees for going over/past your arranged overdraft limit;
    (b) fees for each payment your bank allows despite lack of funds; and
    (c) fees for each payment your bank refuses due to lack of funds.

Apply for an overdraft

Online

If you have a current account with us and are registered for Internet Banking, you can apply for a Planned Overdraft or to increase your existing overdraft online – quickly and securely.

Apply online (typically takes about 10 mins)

Please note: From 2 November 2017 we’re making changes to how our bank account overdrafts work and how we charge our overdrafts fees. Below is an overview of how your overdraft is changing:

One Daily Overdraft Fee

You’ll pay a daily overdraft fee of 1p for every £7 you borrow, over your fee-free amount (if your account has one). When calculating the daily overdraft fee, we will only use every full £7 you have borrowed, so if you borrow less than £7 you won’t be charged. The Classic Account planned overdraft will no longer have a fee-free amount. All other accounts will keep their existing fee-free amounts.

Daily Charging

Instead of paying all fees in one go each month, the new fee will be charged at the end of each day you use your overdraft – so you’ll pay for what you borrow on the day you borrow it. This will help you keep track of how much your overdraft costs you.

If you go over your limit

So all your payments are made, it’s important you manage your account within your planned overdraft limit. If you don’t have enough money in your account or you reach your limit, you may not be able to make any more payments. If a payment takes you over your limit or we stop it, you won’t be charged.

Over the phone

Call us on 0345 300 0000 and we’ll help you complete your overdraft application.

New customers

You can apply for an overdraft as part of the online application for all of our eligible accounts. How much we lend (if any) is subject to our assessment of your personal circumstances. Overdrafts are also repayable on demand.

Compare current accounts

Useful phone numbers


These lines are available 24/7.

Making sure you get a fair deal

We want you to find a product that's right for your circumstances, which is why we adhere to the Standards of Lending Practice, which are monitored and enforced by the Lending Standards Board.

To find out more you can read the statement of responsibilities, which details what's expected of us, the lender and you the borrower.

Download the statement of responsibilities