Overdrafts - Personal Banking | Ulster Bank

Young girl in park


Take a look at our Overdraft options

Open to UK residents aged 18 or over with an eligible Ulster Bank current account. Lending is subject to credit review and approval.

Support with coronavirus

We have lots of guidance to help you. You can read more about our existing overdraft support measures and access further support by visiting our overdrafts coronavirus support page.

See how an Ulster Bank Overdraft could help

An arranged overdraft allows you to borrow money up to an agreed limit on your bank account. So if things are a little bit tight and pay day feels a long way off, it could be a good way to bridge the gap for a short-term.

Only pay interest when you use it

No usage fees or other charges.  You only pay interest if and when you use the overdraft. 

Apply with ease

Bank with us online? We can pre-fill your application, saving you time. It only takes around 5 minutes to apply through Anytime Banking

Get your funds quickly

If your application is successful, you'll normally have the funds the next working day (sometimes, it's within 2 working days)

Handy text alerts

We'll send you text messages when you use your overdraft (or an unarranged overdraft) to help keep an eye on your balance and keep you on the straight and narrow.

Representative 39.49% APR (variable)

Overdrafts Explained


Icon expand Arranged overdraft

An arranged overdraft allows you to go overdrawn up to an agreed limit. This type of borrowing can help if pay-day is a long way off or you're a bit short of cash.

Sometimes it’s just the general cost of living, sometimes it’s an unexpected bill or expense. Whatever the reason, an Arranged Overdraft is a convenient type of short-term borrowing that can provide a short-term safety net on your current account.

What you should know

An Arranged 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.


Icon expand Unarranged overdraft

An unarranged overdraft is when you spend more money than you have in your account without  already having an arranged overdraft in place, or when you exceed your current arranged overdraft limit you do have in place.

Both arranged and unarranged overdrafts costs money. If you enter an unarranged overdraft you will be charged unarranged overdraft interest depending on the type of current account you have for how long you remain in that position.

Fees and charges The need to knows

Arranged overdrafts
There are no set up fees for an arranged overdraft, but you would be charged arranged overdraft interest depending on what curent account you have, how much of the limit you've used and how long you use it for. 

Unarranged overdrafts

If you go into Unarranged Overdraft, we’ll charge you interest on the amount you go overdrawn. This interest charge can vary by type of current account.  You can use our handy Overdraft Cost Calculator which can give you an idea of the cost of using an unarranged overdraft. 

Each current account has a monthly maximum charge for going into Unarranged Overdraft or going over your Arranged Overdraft limit, which is £20.

Unpaid transaction fee is £2.75, with a maximum of 1 per charging period

So, we won’t charge you more than £20 in a monthly charging period for an Unarranged Overdraft or any unpaid transactions. For full details of the interest and charges please read Your Overdraft Charges.

Helpful tips on how to avoid unarranged borrowing

Keep an eye on your account

There are lots of ways to check your balance and stay within your limit.

Mobile Banking
Keep track of your money wherever you are with our secure and easy to use mobile app. More about our apps

Anytime Banking
Check your balance, pay bills and make transfers 24/7 from the comfort of your home. More about Anytime Banking

Text Alerts
Alerts are a simple way to keep up-to-date with your accounts and avoid unnecessary charges. More about Text Alerts


Plan ahead

Knowing exactly where you stand with your money will help you to plan ahead and manage your outgoings.

  • Write down what money is coming in and what needs to go out each month
  • Set up standing orders and Direct Debits to pay your monthly bills
  • A good time for payments to leave your account is just after you’ve been paid
  • Book a personal finance review if you need help to organise your finances


Consider your options

Due to unforeseen circumstances and expenses, you may sometimes need flexibility with your borrowing. We have a range of borrowing options that could help.

Personal Loans
A longer term borrowing option where the interest rate is fixed from the outset so you know exactly what to budget for each month. Read more

Credit cards
A flexible and convenient way to borrow. Read more

What if I have a Student or Graduate account?
Student outside Queen's university

To help you through your student days we offer an interest-free overdraft of up to £1,000 (subject to credit review and approval).

You can also apply for an interest-free overdraft of up to £1,500 (subject to credit review and approval) for up to one year after you graduate.         

Apply for/change your Student overdraft limit

Available to Ulster Bank Student account customers, aged 18+ who 've lived in the UK 3+ years. Subject to lending criteria.

More on the Student Account
Apply for/change your Graduate overdraft limit

Available to eligible Ulster Bank Graduate account customers, aged 18+ and who live in the UK. Subject to lending criteria. 

More on the Graduate Account

Tools to help you

Find out how much you're likely to pay

Why not use our overdraft cost calculator to see what an overdraft could cost you based on your circumstances? The great news is it won't impact your credit rating.

Check your chances before applying

Give our eligibility tool a try and find out if you're likely to be approved for an overdraft. It can give you an idea of your potential overdraft limit and representative APR.  It takes just a few minutes and it won't harm your credit rating. 

An overdraft is repayable on demand. Overdrafts may not be exceeded without prior permission. If you exceed your limit, we will charge interest at the rate stated in Your Overdraft Charges

Ulster Bank subscribes to the lending code. The Code can be found here.

Set Tab for lightbox