Warning To All Lloyds Customers!

All existing Lloyds overdraft charges will be scrapped and replaced with a single fee of 1p per day for every £7 of overdraft used. From 2 November, the changes will affect twenty million accounts with Lloyds Bank, Halifax and Bank of Scotland.

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.

If you are using an overdraft of over £1,500 with Lloyds Bank, you may need to think twice as this changes will not work in your favour.