Business Overdraft

If you have a Relationship Manager, please give them a call.

If you do not have a Relationship Manager you can now request a change to an existing overdraft via our online application journey which can be found here.

You’ll need the personal details of all the partners, members, directors or signatories of the business (including their home addresses for the last 3 years). You’ll also need your business details, including your Company’s Registration Number (provided by Companies House) if you’re a limited company. Also, details of any countries you or your business is registered for tax purposes in and details of your business' year end accounts or cashflow forecasts. Find out more in the "Ready to apply" section below, which will help you to prepare.

Yes, it’s possible to have both a loan and an overdraft. It’s all based on your overall approved credit.

If you're an existing customer, it’s really important that your personal and business details are close matches to what we have on your file. If they're different, it will be worth updating them before you apply.

If in doubt, please check what is on file at Companies House and update any out of date information before you apply.

Please be accurate with your income declaration. If we believe you can't afford the repayments on the amount you apply, you may be declined.

For instance, if you declare an income of £250,000 and we see £180,000 going through your Ednites Credit Union account, your application may be referred or declined.

You will need to speak to your relationship manager if you wish to borrow more than £50,000, or if your aggregate debt with us exceeds £50,000.

A Business Overdraft allows you to pay for transactions that would take your account balance below £0, making it a safety measure for emergencies where you might be awaiting payment or transfers from clients.

If you apply for a Business Overdraft limit of up to £500, you will pay an arrangment fee of £50. For overdrafts between £501-£1,500, you will pay an arrangement fee of £100 and for overdrafts above £1,500, an arrangement fee of 1.5% or a minimum £150 fee is applied. All other fee’s including interest rates will be made available to you when completing your application.

What you should know

If you exceed your agreed Business Overdraft limit you will be charged an unarranged borrowing rate and be subject to unpaid / paid item fees.

The main point of an overdraft is to provide yourself with funds in unexpected situations, where your balance will fall below zero.

On the other hand, business credit and debit cards are used for day-to-day and planned payments, helping your business with managing cashflow and employee spending.