Accidentally gone into "unplanned overdraft"

[M4857493]

DH is away and can't call the bank yet so just thought I'd ask for people's experience here.

We have separate accounts to get paid, and then pool it all into a joint account where our direct debits go out. We took out a car on finance recently and DH accidentally gave his personal account details rather than our joint and the payment came out today, there wasn't enough money in the account.

DH got a notification this morning from the bank app saying he's gone into an unplanned overdraft and he put the money in straight away, I've read that banks will try to take the payment twice, one in the early hours and again at 2.30pm. As the money was in there by the PM has he overridden any potential impacts to his credit report and charges? Or is the damage done? (If it matters both our credit reports are excellent).

Normally as long as money is in my 2/3pm then its fine

I went over by £0.41 today. I've always assumed it doesn't matter as long as you don't incur charges. We bought a house in 2020 and I had a really good (but not quite perfect) credit score, and I had definitely gone into unarranged overdrafts before then, so it can't have had much of an impact, if any. Don't worry

This happens to me a fair amount. I'm with Santander. I always get told before 8pm to avoid charges.

Thanks all! I'm just praying he's transferred enough over, I can see what he's moved out of the joint but it's a round number and I'm worried he's not put in the additional pence required 🙈 I can't get a hold of him, might bank transfer over a fiver just to be sure although worried it's a bit late now!

I had this and so long as the money was in by 14:30 when they reattempted there was no issues.

My text from Nat West always says put in cleared funds before 2pm

You are aware that there are no charges for unplanned overdrafts now? You'll be charged interest but that's the same as for a "planned" overdraft.

www.fca.org.uk/data/changes-overdraft-charges

@LordEmsworth thank you, no I didn't know that, haven't used an overdraft since I was a student, we don't have them (hence being unplanned!) Just worried that it'll impact his credit rating, I'm just relieved they allowed the payment to go rather than let it bounce as I assume that would have been worse! (Being a finance payment).

Some banks will now refuse payments that take you over your agreed overdraft amount (Barclays for example). Some will refuse, and make a (small) charge for it - NatWest charges £2.15 per transaction, to a maximum of £19ish per month I think. Others just charge the same for unplanned as planned. So depending who you bank with, worth staying on top of things anyway.

Credit rating - going over your limit regularly could have an impact, but once is unlikely to have a major effect. www.experian.co.uk/consumer/guides/overdraft-credit-score.html#:~:text=An%20arranged%20overdraft%20is%20unlikely,could%20improve%20your%20credit%20rating. So again worth staying on top of, but nothing to panic about as a one-off...

Thank you, turns out the notification DH had said to get the funds in by 2.30 (which he did) so hopefully no damage done. Will get him to change the bank details on the DD!