HSBC overdraft: the real cost
Pricier than most overdrafts on the board.
What 30 days overdrawn costs
| Amount overdrawn | Cost over 30 days |
|---|---|
| £100 | −£2.10 |
| £250 | −£6.30 |
| £500 | −£13.29 |
39.9% EAR · First £25 interest-free
How the £250 figure is worked out
- Amount charged interest (£250 − £25 interest-free)
- £225
- Daily rate from 39.9% EAR
- 0.0920%
- Cost over 30 days
- −£6.30
#10 of 15 cheapest at £250 · cheapest right now: First Direct →
Rate history
- 28 August 2026 · interest-free amount £0 → £25
Sources
- HSBC’s published overdraft rate page · checked 28 August 2026
Common questions
How much does the HSBC overdraft cost?
At £250 overdrawn for 30 days, HSBC charges −£6.30 at its advertised 39.9% EAR, after the first £25 interest-free. At £100 it’s −£2.10; at £500, −£13.29.
Does HSBC have an interest-free buffer?
Yes. The first £25 of an arranged overdraft is interest-free, and interest applies only above that.
Is HSBC the cheapest overdraft?
Not at £250 overdrawn: it ranks #10 of 15. The cheapest right now is First Direct. The full leaderboard has every bank.