Planned & Unplanned Overdrafts
An arranged overdraft can come in handy every now and then. And if you do ever need to use it, the B Current account will always give at least 2 days per calendar month to sort things out before you get charged fees. You’ll need to be 18 years or over to apply for an arranged overdraft.
A little bit of leeway
B Current gives you a grace period of two working days every calendar month if you go overdrawn.
It means you have the chance to reduce your arranged overdraft to below the buffer amount – before you get charged fees.
Arranged and unarranged overdrafts
There are two types of overdraft - arranged and unarranged. If it’s arranged you’ll have an agreed limit on your B Current account. To apply, just call the team at B. Subject to status and eligibility. If your arranged overdraft’s approved, they’ll give you all the information you need before sending you a letter to confirm everything.
Unarranged happens when we allow a payment despite a lack of funds in your account (including any arranged overdraft) without first speaking with the team at B. This usually costs a lot more than an arranged overdraft. So, if you think you might overspend, it’s best to plan in advance.
Your overdraft debit interest rates
Debit interest is calculated on the cleared debit balance on a daily basis, and debited from accounts monthly in arrears.
|Overdraft rates||Per month(%)||Per annum(%)||EAR1(%)|
|Rate of interest||Total amount of credit||EAR1|
|11.84% per annum (variable)||£1200||12.5% variable|
|The amount of credit you can get is subject to status. Offer may be withdrawn at any time. The rate shown is an 1 Effective Annual Rate (EAR) which takes account of the rate of interest charged, the frequency it’s levied to the account and the compounding interest.|
How to get an arranged overdraft
To apply for an arranged overdraft, you can give the team at B a call on 0800 678 3654, or visit your branch. The B arranged overdraft has a rate of 12.5% EAR and is subject to status. Applicants must be 18 years or over.
The overdraft fees
If you do go over the amount available in your account and it’s not been arranged in advance (or if you go over your arranged overdraft limit) you’ll have to pay a fee after a 2 working day grace period. For full details, take a look at the tariff (PDF, 100 KB, opens in a new window).
|Monthly Arranged Overdraft Fee||£6.00||£25.00|
|This fee is payable once per calendar month if you are £25.01 or more into your arranged overdraft for more than 2 working days (unless you’re over that amount because of fees or interest that has been added by us).|
|Grace period||2 working days per calendar month||-|
|You’ll be given two working days each month to reduce your arranged overdraft to below the buffer (£25) before you’re charged the monthly arranged overdraft fee.|
|Daily Unarranged Overdraft Fee||£6.00||£10.00|
|This fee is payable after 2 working days if you go into unarranged overdraft by more than the £10.00 buffer amount (unless you’re over that amount because of fees or interest that has been added by us).|
|Grace period||2 working days||-|
|2 working days grace to bring your unarranged overdraft to less than the buffer amount (£10) before the fee is charged.|
|Refusing A Payment Due to Lack of Funds Fee||£15.00 per item||£15.00|
|You’ll be charged this fee when we refuse a payment due to a lack of funds in your account (or arranged overdraft). But you’ll not be charged this fee if the value of the refusing a payment is £15 or less. This is the Refusing A Payment Due to Lack of Funds Fee Buffer Amount.|
|Fee cap||£100 per calendar month||-|
|We have a monthly fee cap of £100.00 per calendar month. This fee cap means that you’ll never pay more than £100.00 per calendar month in Monthly Arranged Overdraft, Daily Unarranged Overdraft and Refusing A Payment Due to Lack of Funds Fees. The cap does not apply to debit interest which is charged at the rate shown in the tariff ( PDF, 100 KB, opens in a new window).|
|Monthly Cap on Unarranged Overdraft Charges (also known as Monthly Maximum Charge)||£100 per calendar month||-|
We have a monthly cap on unarranged borrowing charges. This means you'll never pay more than the cap per month in Daily Unarranged Overdraft and/or Refusing A Payment Due To Lack Of Funds Fees.
1. Each current account will set a monthly maximum charge for:
2. This cap covers any:
The amount of the Monthly Arranged Overdraft Fee, Daily Unarranged Overdraft Fee, Refusing A Payment Due to Lack of Funds Fee, Monthly Fee to Maintain The Account and debit interest will be notified to you at the end of each calendar month, giving you at least 14 days notice before it is applied to your account. You won’t be charged a Monthly Arranged Overdraft Fee if you’ve already been charged a Daily Unarranged Overdraft Fee that day.