Updraft loans

Updraft aims to be the antidote to excessive overdraft fees, giving you easy access to your money when you need it.



What is Updraft?

Updraft is a UK financial services company that offers consumer loans designed to replace traditional bank overdrafts. UK consumers are charged over £3bn in overdraft fees each year, and almost half the adult population have overdrawn on their account in the last 12 months.

By connecting your bank account to Updraft, you can get a low cost loan when you overspend on your account, and avoid excessive overdraft fees.

Is Updraft right for me?

Updraft may be suitable if you regularly overdraw on your current account or credit card, and struggle with the cost of expensive bank overdraft fees. When you overdraw, Updraft will automatically give you a low cost loan instead of a normal bank overdraft, which can help prevent you from falling into a cycle of debt.

How does Updraft work?

The Updraft app connects to your existing bank account using Open Banking APIs and then uses AI to send you alerts when you’re at risk of overspending on your account.

If you do overspend, instead of your bank automatically giving you an overdraft, Updraft intervenes to replace your overdraft with a low interest loan, meaning you’ll get access to the money you need without expensive overdraft fees.

What banks and accounts work with Updraft?

Updraft uses Truelayer to provide its account information services, and currently supports current accounts and credit cards from the following banks and providers:

BankCurrent accountsCredit cards
American ExpressTBA
Bank of Scotland
First Direct
M&S Bank
Sainsbury’s BankTBATBA
Tesco BankTBATBA
Ulster Bank
World FirstTBATBA

How much does it cost?

Updraft aims to charge customers 6p per day when they use the overdraft service. This is in comparison to the cost of overdraft fees charged by your bank, which can be around £6 per day.

However, the specific cost of your Updraft loan will depend on a number of factors, including how much you borrow and how long you have the loan. You may also find that you could save money by simply getting a traditional overdraft, as some banks offer fee-free and interest-free overdrafts.

How do I apply?

Updraft is currently in early access, but you can request to join its preview program via the Updraft website. Once you have been accepted, you’ll be able to connect your account using the Updraft app.

Frequently asked questions

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