Brits can get £500 interest-free overdraft with just days left to apply

There are a few days left for Brits to apply for a £500 interest-free overdraft.

The support was first announced by the Financial Conduct Authority (FCA) in April to help Brits during the coronavirus pandemic.

It started as a temporary three-month support which was then extended for another three months from June.

Since then, banks have extended the help again, including Halifax, Bank of Scotland, Lloyd's, NatWest, RBS and Santander.

But the deadline for the support is coming up quick and those struggling have until January 31 to apply.

However, Brits have until March 31 to apply for NatWest and RBS, while Santander customers have bit longer until May 4.

To apply for the £500 interest-free overdraft, you should contact your bank to see if you're eligible for the support.

As of November, lenders are required to give customers tailored help depending on their individual circumstances.

You can fill out a form by heading to your bank's website where you can get the application.

If you do apply, just remember you'll start paying interest on the balance again once the interest-free period is up.

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So does an interest-free overdraft affect your credit score?

Payment holidays, freezes and reduced payments are all covered by credit reference agencies' emergency payment freeze agreement.

But taking out a new overdraft or increasing your existing overdraft limited isn't covered.

This means the information is likely to be passed onto credit reference agencies as usual.

Meanwhile, Experian consumer expert James Jones said one application alone shouldn't impact your credit score.

However, people should be careful of making multiple applications in a short time frame.

He added that increasing the limit on your overdraft shouldn't affect your score.

But it will if you start using it as this means your borrowing has increased.

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