<iframe src="https://www.googletagmanager.com/ns.html?id=GTM-WTMQ4QSL" height="0" width="0" style="display:none;visibility:hidden" title="gtm-frame"></iframe>Zempler Bank personal overdraft
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Prepare for the unexpected

A Zempler Bank overdraft could be a short-term safety net to help you handle life’s little surprises

Don’t currently have a Zempler personal account?

New applications for our personal accounts are currently closed on our website. If you already have a Freedom or Activeplus account, we'll let you know when you are eligible to apply for an overdraft.

There just in case you need it

An overdraft is a financial buffer when you need it. Pay off as much as you can, as soon as you can, to keep the interest as low as possible.

How much does an overdraft cost?

It's free to set up, but the cost of your Zempler overdraft will depend on the interest rate you pay. When you apply, we'll show you the interest rate we can offer.

Once approved, you’ll find your interest rate on your statements and in the overdraft section of your Zempler Bank app. The first £5 of your overdraft is interest free. If you go over that £5, we'll charge interest at the end of each day you're using it.

Try our overdraft calculator

See how much an overdraft would cost. Use it to compare the cost of an overdraft with other ways of borrowing to see which is best for your business.




Summary of charges

Borrowing £250 for 28 days at 70% interest* will cost you


in interest

*% - daily interest rate

Representative APR 0.0% (variable)

*0.1918% - daily interest rate

Representative APR 94.9% (variable)

    • How does our overdraft compare?

      A good way to compare the cost with the other ways of borrowing is to look at the APR. This shows the cost of borrowing over a year.

    • Are you eligible?

      You need to have a Zempler bank account to get an overdraft. Once you have an account, we’ll let you know when you’re eligible and what the terms are.

    • Easy to apply

      Once you know you’re eligible, you can apply in just a few moments in-app or in Online Banking. You’ll find all your add-ons in your Account overview. Before you apply, you can work out how much it will cost using our overdraft calculator.

    Remember, you can only apply for an overdraft once you’ve received an offer via email, Online Banking message, or in-app.

    Zempler Bank overdrafts: the basics

    • The first £5 of your overdraft is interest free

      We’ll charge you interest on any daily overdraft balance greater than £5. You can find information about your interest rate in your monthly overdraft statements in-app and in Online Banking.

    • Pay it off quickly

      The best and cheapest way to clear your balance is to pay it off as soon as possible. Paying late can harm your credit rating.

    • Stay within your limit

      You can only use your Zempler Bank account to pay for things that don’t take you past your overdraft limit. If you try to withdraw cash or pay for anything that would take you over your limit, it will be declined. If interest takes you over your limit, you won’t be charged overlimit fees.

    • Overdraft alerts

      We'll send you overdraft alerts when you’re about to enter your overdraft, have entered it, or are reaching your limit. Alerts help you manage repayments and avoid charges.

    • Changing your limit

      You can request the reduction or removal of your overdraft at any time by contacting us. We’ll review your overdraft limit every six months.

    • Grace period

      We won’t charge you any interest if you dip into your overdraft and bring your account back into credit on the same day.

    Your overdraft questions, answered

    • To be eligible you need to have a Zempler account open for at least three months. We’ll let you know once you’re eligible by email, text message or via Online Banking.

    • You can only apply for a Zempler overdraft once you’ve had a Zempler account open for at least three months and you’re eligible for one. We’ll then invite you to apply for a overdraft or you'll see it appear in the app.

      To apply, log in to your account in-app or in Online Banking, go to ‘Add-ons’ in your Account Overview and follow the application instructions. You’ll need to read and accept your Credit Agreement and Terms.

      If your application is successful, your overdraft will typically be added to your account within a few hours. If your application comes after 4pm on a Friday or over the weekend, it will be available by midday on the next working day.

    • The first £5 of your overdraft is interest free. We’ll charge you interest on any daily overdraft balance greater than £5.

      If you’ve opened a Zempler account since January 2023, you will have to pay an annual fee for your overdraft on top of any interest payments.

      You can find information about your interest rate and any fees in your monthly statements.

      You can also use our cost calculator to see how much a overdraft could cost, which will help you compare the cost to other ways of borrowing.

    • Yes, using a Zempler credit add-on like an overdraft could impact your credit score.

      If you manage your overdraft responsibly, don’t rely on it excessively and make all your repayments on time, it can have a positive impact on your credit score as it shows you are financially responsible.

      If you’re late making your repayments or miss some completely, it may harm your credit score. This can reduce your chances of getting credit or make it expensive for you to get credit in the future.

      You should never take out more credit than you can repay.

    • Relying on short term credit products like an overdraft could be a sign that you’re spending more on interest than you need to. If you have an overdraft and use it often, we may contact you about your overdraft being in repeat use. This is because your overdraft is intended as a short-term financial safety net rather than a regular source of credit. You should consider whether changing your spending and/or borrowing patterns or choosing another borrowing option could reduce the high avoidable costs associated with repeated overdraft use.

      If you’re in repeat use, we recommend you get advice and consider how often you need to use your overdraft. Consider too if getting or using a credit card or loan could save you money.

    See all overdraft FAQs

    Understanding credit

    Understanding how credit works can help you manage your money more effectively. Learn about the different types of credit, how to apply for it and, what to do if you’ve been refused.

    Understand how credit works 

    Worried about money?

    If you’re worried about your overdraft, use or are struggling to pay it off, there are steps you can take to manage your debt.

    We’re here to help

    Our Credit Management Team can help you manage your repayments and reduce your debt. Call us on 0203 059 5784 Monday to Thursday from 8am to 8pm, Friday 8am to 6pm and Saturday 9am to 1pm.

    If you prefer independent, impartial, free, and confidential help, you can also speak to any of these organisations.

    My question isn’t answered

    For all our most frequently asked questions and how to contact our UK based support team.

    Check our Help Centre

    © 2024 Zempler Bank

    Terms and Conditions apply, including applicants being resident in the UK & aged 18+ and, if relevant, businesses being based in the UK. 

    For full website terms including information on Zempler Bank, Mastercard and use of trademarks, please see our full legal disclosures at https://www.zemplerbank.com/legal/. Zempler Bank Limited (“Zempler Bank”) is registered in England and Wales at Cottons Centre, Cottons Lane, London SE1 2QG (No.04947027). Zempler Bank is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under Firm Reference Number 671140. 

    Zempler Bank provides credit facilities subject to approval and affordability, and where accounts continue to meet Zempler Bank credit criteria.