aRRANGED OVERDRAFTS
A short-term need.
ARRANGED OVERDRAFTS
Having an arranged overdraft is a short-term way of borrowing money that can provide a buffer in case of an unexpected expense. An arranged overdraft allows you to go overdrawn up to an agreed limit, almost like a safety net for your current account.
- Only pay interest on what you use
- If approved, funds are available in your account straight away
- Borrow up to £500
An overdraft lets you borrow extra money through your current account. For example, if you have no money left in your account and you spend £30, your balance would be -£30. This means you’re using an overdraft.
An overdraft is a form of debt and is repayable on demand. Always make sure you have enough money in your current account, or a suitable arranged overdraft limit in place before any payments are due to come out of your account.
An unarranged overdraft is when you spend more money than you have and you haven’t previously arranged an overdraft limit with us, or you have exceeded your existing overdraft limit which may incur costs.
It's important to remember that both types of overdraft have associated charges but you'll only pay interest if you use it.
Your overdraft is not provided for a fixed period of time but it is repayable on demand. You can reduce your overdraft limit or cancel them at any time but to do this you must have repaid the borrowing, either to below your new limit or to zero depending on what you wish to do before.
An overdraft is a way of borrowing money. If you decide to use an overdraft, you're responsible for paying it back. If you're unable to repay, your credit score could be impacted. Most lenders will use your credit score when deciding what to lend to you.
how much will an arranged overdraft cost?
representative 19.49% apr (variABLE)
For the purpose of the staff test and learn, the Representative APR is 0% for borrowing up to £500.
There is no arrangement fee or renewal fees for taking out a Coutts beta overdraft. There is a £500 Interest free buffer on arranged overdrafts. All costs will be available in your lending agreement when you apply for the overdraft.
Please be aware that due to limited functionality, you are only able to borrow up to £500, which in interest free. The overdraft cost calculator below will not apply for the purpose of the staff test and learn.
HOW DOES OUR OVERDRAFT COMPARE?
WHAT'S NEXT?
apply for an overdraft
FAQs
| Currency | Currency Name | You buy with GBP | You sell for GBP |
|---|---|---|---|
| AED | UAE Dirham | 4.2870 | 4.9640 |
| AUD | Australian Dollar | 1.7981 | 2.0965 |
| BBD | Barbados Dollar | 2.2360 | 2.7120 |
| BDT | Bangladeshi Taka | 120.7000 | 161.7500 |
| BGN | Bulgarian Lev | 2.0780 | 2.5910 |
| BHD | Bahrain Dinar | 0.4321 | 0.5090 |
| BND | Brunei Dollar | 1.5740 | 1.8510 |
| BRL | Brazilian Real | 5.5240 | 7.2007 |
| CAD | Canadian Dollar | 1.5583 | 1.7968 |
| CHF | Swiss Franc | 1.0718 | 1.2332 |
| CLP | Chilean Peso | 985.5710 | 1276.5230 |
| CNY | Chinese Yuan | 8.1700 | 10.2300 |
| COP | Colombian Peso | 4362.3800 | 5708.9000 |
| CRC | Costa Rican Colon | 582.0400 | 754.2300 |
| CZK | Czech Koruna | 26.0065 | 31.8508 |
| DKK | Danish Krone | 8.2243 | 9.3328 |
| DOP | Dominican Peso | 62.9900 | 78.8300 |
| EGP | Egyptian Pound | 29.2000 | 47.6100 |
| EUR | Euro | 1.1090 | 1.2634 |
| FJD | Fiji Dollar | 2.5330 | 3.1400 |
| HKD | Hong Kong Dollar | 8.9851 | 10.2770 |
| HUF | Hungarian Forint | 417.8613 | 509.4295 |
| IDR | Indonesian Rupia | 17212.0000 | 22617.0000 |
| ILS | Israeli Shekel | 4.3380 | 5.2380 |
| ISK | Icelandic Krona | 152.2202 | 192.3014 |
| JMD | Jamaican Dollar | 172.9000 | 216.8000 |
| JOD | Jordanian Dinar | 0.7963 | 0.9798 |
| JPY | Japanese Yen | 172.6940 | 197.5318 |
| KES | Kenyan Shilling | 163.3006 | 205.9664 |
| KRW | South Korean Won | 1508.0000 | 1906.0000 |
| KWD | Kuwaiti Dinar | 0.3520 | 0.4201 |
| MAD | Moroccan Dirham | 9.6340 | 15.5770 |
| MUR | Mauritian Rupee | 49.4800 | 62.4300 |
| MXN | Mexican Peso | 19.7233 | 24.2982 |
| MYR | Malaysian Ringgit | 5.3890 | 6.4540 |
| NOK | Norwegian Krone | 12.2989 | 14.2894 |
| NZD | New Zealand Dollar | 1.9250 | 2.3070 |
| OMR | Omani Rial | 0.4398 | 0.5135 |
| PGK | Papua New Guinean Kina | 3.9940 | 5.0620 |
| PHP | Philippines Peso | 61.7100 | 79.9700 |
| PLN | Polish Zloty | 4.9710 | 6.0860 |
| QAR | Qatari Riyal | 4.1460 | 4.9710 |
| RON | Romanian Leu | 5.2490 | 6.4540 |
| SAR | Saudi Arabian Riyal | 4.2720 | 4.9780 |
| SEK | Swedish Krona | 12.6569 | 14.4464 |
| SGD | Singapore Dollar | 1.5620 | 1.8370 |
| THB | Thai Baht | 41.2900 | 50.2000 |
| TRY | Turkish Lira | 30.6650 | 38.4760 |
| TTD | Trinidad Tobago Dollar | 7.4000 | 9.2400 |
| TWD | Taiwan Dollar | 35.4500 | 48.6900 |
| USD | US Dollar | 1.1649 | 1.3258 |
| UYU | Uruguayan Peso | 42.2270 | 53.7490 |
| VND | Vietnamese Dong | 26400.3760 | 33566.3490 |
| XPF | CFP Franc | 123.4500 | 156.0800 |
| ZAR | South African Rand | 21.8523 | 26.3666 |
Page Last Updated: 29/09/2023
An overdraft lets you borrow extra money through your current account. For example, if you have no money left in your account and you spend £30, your balance would be -£30. This means you’re using an overdraft.
An overdraft is a form of debt and is repayable on demand. Always make sure you have enough money in your current account, or a suitable arranged overdraft limit in place before any payments are due to come out of your account.
It's important to remember that both types of overdraft have associated charges but you'll only pay interest if you use it. To find out how much an overdraft might cost you, you can use our cost calculator. You can read full details of this when you apply for an overdraft.
Typically, you’ll agree an overdraft limit with your bank or lender – this is known as an arranged overdraft.
- An arranged overdraft is when we agree to a limit that lets you spend a bit more money than you have in your current account. This could help you manage your money if you have to cover short-term expenses such as an unexpected bill.
- To find out if you might be eligible for an overdraft, you can use our eligibility tool.
An unarranged overdraft is when you spend more money than you have and you haven’t previously arranged an overdraft limit with us, or you have exceeded your existing overdraft limit.
You can pay off an overdraft at any time, simply by ensuring you have a positive balance in your account.
Unlike loans and credit cards, overdrafts have no scheduled repayment dates. This can make paying off your overdraft a little trickier to manage. We recommend setting targets of how much you want to pay off each month and factoring these targets into your budget.
Using an overdraft could affect your credit score if your account remains inside the overdraft limit for long periods and you don’t pay it back. However, if you pay off your overdraft regularly, this could help to improve your credit rating.
