A business overdraft is designed to help you manage your cash flow. It lets your business current account go into a negative balance, subject to an overdraft limit, so you don’t get charged over-limit fees or items don’t go unpaid.

When a sufficiently-large payment is made to your account, it returns to a positive balance. You can set up an overdraft and only use and pay for it when you need it.

Overdrafts are designed to help manage cash flow by helping you to deal with issues such as seasonal fluctuations or late payments by debtors.

If you are looking for credit for other purposes, such as the purchase of an asset, please consider our business loans.

Overdrafts can be temporary or permanent.

Temporary overdrafts are for a maximum of 90 days and are usually used to provide short-term cash flow. If a temporary overdraft is to be cleared by specific incoming funds, we may request documentation about these funds.

A permanent overdraft remains in place, subject to annual renewal, and is available to use when you need it.

There is an annual overdraft facility fee of €50 for business overdrafts. This is charged on all overdrafts for over 14 days and over €100.

The annual variable interest rate on your overdraft is 8.05%. This is calculated on a daily basis for each day your account is in a negative balance and is charged quarterly to your account.

Your current account must be in credit for at least 30 days over a 12-month period or you will be charged a 0.5% interest surcharge on your overdraft.

An interest surcharge is an extra fee you pay if you:

• have an unauthorised overdraft
• are not in credit for at least 30 days over a 12-month period

An unauthorised overdraft occurs when your account is overdrawn but you have no authorised overdraft limit or when your account is overdrawn by more than your overdraft limit.

You can do this by:

• Ensuring your account balance does not exceed the agreed overdraft limit
• Checking your account regularly to ensure your balance is within the agreed limit
• Keeping your account in credit for at least 30 days of every year