Overview
- The bank’s update takes effect on June 8, 2026 and will see daily interest charged from the first pound on arranged overdrafts for Silver, Gold and Platinum accounts.
- Club Lloyds customers remain exempt from the change and keep a £100 interest‑free overdraft allowance.
- The Select account is being withdrawn, with customers moved to the Classic account that does not include a £50 buffer.
- Packaged accounts carry monthly fees for perks such as travel insurance, breakdown cover and phone protection, so losing the small cushion could make these bundles less cost‑effective for some users.
- Lloyds says it is contacting affected customers to explain the change, confirm overdraft limits stay the same, and point to free help from StepChange, National Debtline and Citizens Advice for anyone struggling.