Request an Arranged Overdraft
for your Personal Current Account
Virgin Money, Clydesdale Bank and Yorkshire Bank are now one bank. This service is available for Virgin Money Current Account customers, but can also be used by Clydesdale Bank and Yorkshire Bank current account customers too.
Please note, we don’t offer overdrafts on the following accounts - Readycash, Virgin Money Essential, Virgin Money Current Accounts that were previously Northern Rock, Savings accounts and Current Account Mortgages. Please see our FAQ about excluded accounts for further information.
Our Contact Centres are extremely busy at the moment and operating on reduced hours, so completing this form to apply for an Arranged Overdraft up to £500 (with a 3 month interest free buffer) is the fastest way for us to help you.
How do I apply for an Arranged Overdraft?
You should read through the information provided below. There is a link to a factsheet on the Key Features of Arranged and Unarranged Overdrafts. There is also a section on important terms of an Arranged Overdraft Agreement, as well as a Frequently Asked Questions section which tells you how the interest free buffer works.
If you have any questions, you can give us a call and we’ll try to help.
If you are happy with the information, click the “Apply” button at the bottom of the page and we’ll ask you for some details.
How much might it cost me?
The majority of applicants will be offered 19.9% EAR* variable, however you may also be offered 29.9% EAR variable or 39.9% EAR variable. If your application is successful, your rate will be shown in your Arranged Overdraft Agreement which will be emailed to you. You should check you are happy with your rate before using the facility.
Your rate will apply to both Arranged and Unarranged Borrowing.
*EAR (Effective Annual Rate) - The effective annual rate (EAR) is the cost of borrowing on current accounts. This takes into account the rate of interest charged, how often it’s charged and the fact that if interest is not paid, you'll pay interest on interest. The EAR can change.
How does our Overdraft compare?
Rate of interest - 18.29% per annum (variable)
Total amount of credit - £1,200
APR - 19.90% variable
A representative APR is the rate you may pay and is designed to let you compare costs with other credit products, taking into account that you may pay interest on interest and includes any fees which apply. If no fees apply, the APR will be the same as the EAR. APRs are variable and may change.
Key Features of Arranged and Unarranged Overdrafts
This document explains some basic information on how Overdrafts work.
- An Arranged Overdraft is borrowing by agreeing a limit with us in advance.
- An Unarranged Overdraft is where you borrow from us when there is no money left in your account and you have not agreed it with us first.
- The Consequences of Default section shows what might happen if you go into unarranged overdraft e.g. your credit records may be affected in a way that makes it more difficult to obtain further credit or you may face legal action to recover what you owe.
- Key Feature documents for Clydesdale Bank Link opens in a new window (PDF,44KB)
- Key Feature documents for Yorkshire Bank Link opens in a new window (PDF,45KB)
- Key Feature documents for Virgin Money Link opens in a new window (PDF,217KB).
Important Terms of an Arranged Overdraft Agreement
- We'll give you at least 14 days’ notice before we take any interest from your account.
- We calculate and charge interest to your account each month. You'll pay interest on the cleared overdrawn amount at the end of each day that month.
- Our Arranged Overdrafts are repayable on demand. This means that you must repay your Arranged Overdraft plus interest, or as much of it as we ask, as soon as we ask you to. We don't have to give you advance notice, but will try where possible.
Using your Arranged Overdraft responsibly
An Arranged Overdraft isn't like a loan - you don't pay a fixed amount to reduce what you owe. But you should use it responsibly. It's a good idea to make regular payments into your account whenever you use it.
Don't want your Arranged Overdraft anymore?
You have a legal right to cancel your Arranged Overdraft within 14 days of the date you receive your Agreement.
You can cancel or remove your Arranged Overdraft by:
- Writing to your branch or Relationship Manager
- Calling the telephone number included in your Agreement
Going over your Arranged Overdraft limit
If your balance goes over your limit, you will be charged interest in the same way as you are charged interest on your Arranged Overdraft. This rate replaces any unarranged rate that applied to your account prior to the date of this Arranged Overdraft.
Your overdraft details will be sent to you in your Arranged Overdraft Agreement via email.
If you have any questions, take a look at our frequently asked questions below.Apply now
Frequently asked questions
If you don’t have an Arranged Overdraft (or need to increase your limit) we’ve created this application form for you because we know that our Contact Centres are extremely busy right now. We've provided the Key Features of Arranged and Unarranged Overdrafts for you to read through. You should also read the section on Important Terms of an Arranged Overdraft and the FAQs on the interest free buffer.
The maximum rate we’ll charge you is 39.9% EAR variable but if your application is successful, we’ll let you know your exact rate in your agreement. You can use our cost calculator Link opens in a new window to find out how much this might cost you (don’t worry about the branding, the calculator will work for you whether you’ve got a Virgin Money, Clydesdale Bank or Yorkshire Bank Current Account). However, we’ll be making it interest free until 3 months from the date of your agreement by applying an interest free buffer up to £500 – for more information about this, see our other FAQs below.
The buffer will stop you paying debit interest on the first £500 Arranged Overdraft you use each month until 3 months from the date of your agreement. As this is a temporary measure the full amount of debit interest will be pre-notified to you, but you’ll see a refund coming into your account on the same day that it gets charged. You can check your balance using our online, mobile or telephone banking channels
The £500 buffer will be removed, and your debit interest rate will be charged on the full amount you borrow. We will let you know at least 30 days before this happens.
We’re working hard to ensure these requests can be fulfilled quickly, but it may take a few days before you’ll be able to use your Arranged Overdraft. If we’re able to provide you with an Arranged Overdraft, we’ll send you an email with your Arranged Overdraft Agreement. You should read this and check you’re happy with your interest rate before you use the overdraft.
We’ll review your request to determine if we’re able to provide the overdraft facility. Once we have completed our checks we’ll be in touch via email to confirm. If your request is approved you’ll receive an email confirmation, along with your agreement and some important information about Overdrafts and the interest free buffer. Please note though, that the interest free buffer will only apply for 3 months from the date of your agreement. If we are unable to provide an Arranged Overdraft for the value you’ve requested, we’ll set up an Arranged Overdraft for as much as we can provide and confirm in the email. If we can’t offer you an Arranged Overdraft at this time we’ll let you know and ask that you get in touch with us so we can discuss how we can help.
This form can only be used for requests up to £500. If you require a larger overdraft, please speak to our Contact Centre to discuss your requirements in more detail.
If we offer you less than you asked for and you don’t want to keep it, you’ll have 14 days to cancel your Arranged Overdraft. You can also get in touch with us at any point to let us know you don’t want it anymore. You’ll have to repay any outstanding borrowing along with associated debit interest if it applies.
If we agree to an Arranged Overdraft, we need to send you some important documents by email. If we can't do this, please contact us to see if we can help. Our Contact Centres are extremely busy at the moment and are operating on reduced hours, so you may have a longer wait than usual.
Only products that do not support an Arranged Overdraft are excluded. These are: Readycash, Virgin Money Essential, Virgin Money Current Accounts that were previously Northern Rock, Savings accounts and Current Account Mortgages.
You can apply for one of our Clydesdale Bank Link opens in a new window, Yorkshire Bank Link opens in a new window or Virgin Money Link opens in a new window current accounts PDF opens in a new window and you can check your eligibility for an overdraft online before you apply.
If opening a new account isn’t suitable for you, please contact us Link opens in a new window.