{"type":"document","data":{"id":"25ca99e4-d433-4bb8-a0bc-83673a25528e","localeString":"en-GB","publishDate":"2025-08-26T12:52:12.986+02:00","contentType":"onecms:productPage","hasMacro":false,"flexPageMetadata":{"afmBanner":false,"robotInstruction":{"noIndex":false,"noFollow":false},"description":"Find out how we calculate interest if you overdraw your current account"},"mainHeaderZone":{"componentType":"productHeader","coreHeader":{"headerImage":{"transformBaseUrl":"https://assets.ing.com/transform/2c69e2d5-992c-4e66-bccc-03db85757f12/confidential-data-1920","type":"image","width":1920,"original":"https://assets.ing.com/m/192296c6470ae213/original/confidential-data-1920.jpg","extension":"jpg"},"title":"How we calculate overdraft interest"},"backLink":{"textLink":{"url":"/en/personal/loans/rates","text":"Current Interest Rates"}}},"flexZone":{"flexComponents":[{"componentType":"paragraph","richBody":{"value":"<p>If you overdraw your account, you’ll pay interest. The interest rate will depend on which overdraft product you have. <a href=\"https://www.ing.nl/particulier/lenen/tarieven/rood-staan\">View the current interest rates</a>. The interest will automatically be charged to your account on the first day of the month.  </p><p>At the end of each day, we’ll calculate how much interest you’ll pay that day. We use the following calculation: the nominal interest rate applicable to your current account divided by 365 (days in the year) multiplied by the negative balance. In leap years we’ll divide that by 366 days.  </p><p><strong>Example 1</strong></p><p>Suppose that: </p><ul><li>You have a limit of €1.000 with a nominal interest rate of 13.09% (effective 13.90%).</li><li>Balance on 20 April is €-150  </li><li>Balance on 21 April is €-250  </li><li>Balance on 22 April is €-1.000 </li></ul><p>We’ll calculate the interest due on these days as follows:  </p><table><thead><tr><th>Date</th><th>Calculation</th><th>Outcome</th></tr></thead><tbody><tr><td>20 April</td><td>€ -150 x 13.09%, divided by 365 =</td><td>€ 0,05</td></tr><tr><td>21 April</td><td>€ -250 x 13.09%, divided by 365 =</td><td>€ 0,09</td></tr><tr><td>22 April</td><td>€ -1.000 x 13.09%, divided by 365 =</td><td>€ 0,36</td></tr><tr><td><strong>Total</strong></td><td> </td><td><strong>€ 0,50</strong></td></tr></tbody></table><p><strong>Example 2</strong>  </p><p>Suppose that: </p><p>You have a limit of € 1.000 with a nominal interest rate of 13.09% (effective 13.90%).  </p><ul><li>Balance on 20 April is €-150  </li><li>Balance on 21 April is €+200  </li><li>Balance on 22 April is €-150  </li></ul><p>We’ll calculate the interest due on these days as follows:  </p><table><thead><tr><th>Date</th><th>Calculation</th><th>Outcome</th></tr></thead><tbody><tr><td>20 April</td><td>€ -150 x 13.09%, divided by 365 =</td><td>€ 0,05</td></tr><tr><td>21 April</td><td>No negative balance, so no interest </td><td>€ 0,00</td></tr><tr><td>22 April</td><td>€ -150 x 13.09%, divided by  365 =</td><td>€ 0,05</td></tr><tr><td><strong>Total</strong></td><td> </td><td><strong>€ 0,10</strong></td></tr></tbody></table><p><strong>Example 3 </strong></p><p>Suppose that: </p><p>You have a limit of € 1.000 with a nominal interest rate of 13.09% (effective 13.90%).  </p><ul><li>Balance on 20 April is €-1.000  </li><li>Balance on 21 April is €-1.100  </li><li>Balance on 22 April is €-100</li></ul><p>We’ll calculate the interest due on these days as follows:</p><table><thead><tr><th>Date</th><th>Calculation</th><th>Outcome</th><th /></tr></thead><tbody><tr><td>20 April</td><td>€ -1.000 x 13.09%, divided by 365 =</td><td>€ 0,36</td><td> </td></tr><tr><td>21 April</td><td>€ -1.000 x 13.09%, divided by 365 =</td><td>€ 0,36</td><td>Authorised overdraft  </td></tr><tr><td> </td><td>€ -100 x 13.09%, divided by 365 =</td><td>€ 0,04</td><td>Overrun </td></tr><tr><td>22 April</td><td>€ -100 x 13.09%, divided by 365 =</td><td>€ 0,04</td><td> </td></tr><tr><td><strong>Total</strong></td><td> </td><td><strong>€ 0,76</strong></td><td><strong>Authorised overdraft</strong></td></tr><tr><td> </td><td> </td><td><strong>€ 0,04</strong></td><td><strong>Overrun</strong></td></tr></tbody></table><p><br /><strong>Monthly charge and effective interest rate  </strong></p><ul><li>All interest rates are nominal and annual, unless otherwise stated. The current interest rates that we publish on ing.nl are the effective interest rates. The interest rate that we calculate each month is based on the nominal interest rate. The current nominal interest rate can be found on your daily statement.  </li><li>The accrued interest is charged once a month. The effective annual interest rate is always slightly higher than the nominal interest rate because the effective interest rate takes account of compound interest during that year. After all, if you don’t pay anything off, the interest will be added to your debt every month – and interest is charged on that added interest as well.  </li></ul>"}},{"componentType":"paragraph","richBody":{"value":"<p>Although we’ve taken the utmost care to ensure that the information on our website (www.ing.nl) is accurate, the published rates and charges could unfortunately contain typographical errors. ING is not liable to you for any direct or indirect loss or damage that may result from any typographical errors. </p>"}},{"componentType":"linkList","iconTitle":{"title":"More about"},"textLinks":[{"url":"/en/personal/payments/rates/interest-calculation-for-current-account","text":"Interest calculation for your current account"},{"url":"/en/personal/savings/savings-account-interest-calculation","text":"Interest calculation for your savings account"}]},{"componentType":"linkList","iconTitle":{"title":"Any questions about loans?"},"textLinks":[{"url":"/particulier/lenen/tarieven","text":"Current rates"},{"url":"/particulier/lenen/informatie-over-lenen","text":"Frequently asked questions"}]}]}}}