Overdrafts

An arranged overdraft can act as a short term safety net. You can use it to borrow money up to an agreed limit through your bank account.

Setting up an arranged overdraft

Setting up an arranged overdraft is free and you’ll only pay daily arranged overdraft interest if you use it.

Managing your overdraft

You can apply to increase or reduce your arranged overdraft limit, as well as remove your arranged overdraft at any time via your Internet Banking or Mobile Banking app in just a few simple steps. If you would like to talk to someone about amending your arranged overdraft you can do this in branch or over the phone. This application won't affect your credit score.

Grace period

You have until the end of the day to bring your account back in to credit to avoid daily arranged overdraft interest for that day. You can do this by transferring money from another personal account you have with us via Mobile Banking, Internet Banking, Telephone Banking or pay in cash over the counter in a branch.

Useful tools

Our cost calculator will help you work out how much your anticipated arranged overdraft borrowing will cost over different periods of time.

Cost Calculator

You can also check your eligibility by using our eligibility tool.

Eligibility Tool

Receive text message alerts – If we have a mobile number for you, we’ll help you keep an eye on your balance.

Arranged overdrafts are subject to application and approval and repayable on demand. You must be 18 or over to apply. Arranged overdraft limits and rates vary based on your individual circumstances.

If you’re looking to borrow money, it is important you compare and choose the right options for you based on your circumstances. Your borrowing options.

Already have a current account with us and want an arranged overdraft?

If you already have a current account with us, you can apply for an arranged overdraft through Internet Banking or Mobile Banking. You can also apply to increase your existing arranged overdraft limit too.

  • Use the button below to log in to Internet Banking, then select ‘Overdrafts’ from the left hand ‘Our products and services’ panel, or alternatively from your bank account, select ‘More actions’ and then ‘Overdraft’.
  • From mobile, select ‘Overdrafts’ from your bank account menu, or click the ‘Your Overdraft options’ link.
  • If you already have an arranged overdraft you can apply to increase, reduce or remove your arranged overdraft using Internet Banking.
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Don't have a current account with us yet?

If you don't have a current account with us, you can compare our range of current accounts and choose which one suits you best.

Compare our current accounts

Unarranged overdrafts

If you don't have enough money in your account to make a payment, we may either let you borrow through an unarranged overdraft or refuse to make the payment. Missing payments and using an unarranged overdraft can damage your credit score, please get in touch with us as we may be able to help you.

If you’re looking to borrow money, it is important you compare and choose the right options for you based on your circumstances. Your borrowing options.

Understanding interest and charges

Daily arranged overdraft interest rate

Our daily arranged overdraft interest will depend on the amount of your arranged overdraft balance at the end of each day including bank holidays and weekends. We will take the amount of the daily arranged overdraft interest from your account overnight.

If you go over your limit

If a payment takes you over your limit or we refuse it, you won’t be charged by us but you might not be able to make your payment.

This could mean your mortgage or rent as well as other commitments may not be paid and some suppliers may charge you fees for missing those payments.

Overdraft interest

Our daily arranged overdraft interest will depend on the amount of your arranged overdraft balance at the end of each day including bank holidays and weekends. We will take the amount of the daily arranged overdraft interest from your account overnight.

The daily arranged overdraft interest rate for using your arranged overdraft, over your interest-free amount (if your account has one) is based on how you manage any accounts you have with us and on the credit information we hold about you. We will let you know your rate in the pre contract credit information we give you if you apply for an arranged overdraft.

If you are upgrading and don’t already have an arranged overdraft you can apply for one once you complete this application.

Overdraft interest rates for previous bank accounts

For arranged overdraft interest rates relating to bank accounts we no longer offer, please see Previous Bank of Scotland Bank Accounts.

Calls may be monitored or recorded in case we need to check we have carried out your instructions correctly and to help improve our quality of service.

Bank of Scotland plc. Registered in Scotland No. SC327000. Registered Office: The Mound, Edinburgh EH1 1YZ. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 169628.