Q: What are the risks of an ING overdraft?

Risks of an ING overdraft This product is offered as a flexible, short-term credit facility for unexpected costs – not a solution to structural payment problems. If, when covering an unexpected cost, you go into an overdraft, you’ll have a lower balance when your income is paid into your account. That means you'll have less to spend. You’ll be charged interest if you use your overdraft. Avoid overdrawing your account unnecessarily or for a long period of time, even if it’s within the limit. One way to do that is by spending less in the months after that. Suppose you’re €500 overdrawn at the end of a month. Then you receive your salary of €1,500. To avoid being overdrawn after that, make sure you don't spend more than €1,000. If you have sufficient savings, you can also transfer some of that to your current account.

Question 1

What is an ING overdraft and how do the limits work?

Accepted Answer

An ING overdraft is a loan where you’re authorised to overdraw your ING current account. You may overdraw up to the amount (limit) that you arrange with us.

We offer four limits: €250, €500, €1,000 and €2,000.
You pay interest on the overdrawn amount only.
You need to have a credit balance for at least 24 consecutive hours every three months.

Temporarily out of money? With an ING overdraft, you can still pay in shops, withdraw cash and pay your bills.

What limit are you eligible for?

Your income in the past three months determines your choice of limits when applying for an ING overdraft. The €2,000 limit is not available on student accounts (Studentenrekening). And if you have an ING credit card, that will also play a role in determining the limits available on a student account.

Question 2

What are the pros of an ING overdraft?

Accepted Answer

It’s nice to know that you can still make payments and withdraw cash if you’re short of money.
It’s a flexible way to borrow small sums of money.
You can always lower your limit in My ING – it's easy.

Question 3

What are the cons of an ING overdraft?

Accepted Answer

It’s nice being able to spend more when you need to, but you pay interest on the overdrawn amount.
It’s an expensive way to borrow money because the interest rate is higher than with other loans.
You might be tempted to overdraw your account more often because it’s so convenient.

Question 4

What are the risks of an ING overdraft?

Accepted Answer

Risks of an ING overdraft

This product is offered as a flexible, short-term credit facility for unexpected costs – not a solution to structural payment problems.
If, when covering an unexpected cost, you go into an overdraft, you’ll have a lower balance when your income is paid into your account. That means you'll have less to spend.
You’ll be charged interest if you use your overdraft. Avoid overdrawing your account unnecessarily or for a long period of time, even if it’s within the limit. One way to do that is by spending less in the months after that. Suppose you’re €500 overdrawn at the end of a month. Then you receive your salary of €1,500. To avoid being overdrawn after that, make sure you don't spend more than €1,000.
If you have sufficient savings, you can also transfer some of that to your current account.

Question 5

Risks when overrunning your limit

Accepted Answer

From the time that you overdraw your account, you have three months to pay back the outstanding amount (overdraft and interest due). Next, you need to have a credit balance on your current account for at least one full day (24 consecutive hours). After that, you’re authorised to overdraw your account again for a maximum of three months.
If you overrun your limit and don’t repay the amount above that, we’ll cancel your ING overdraft after one month. Example: If you have a limit of €500 but you are €550 overdrawn and you are not back under your limit of €500 within a month, we may cancel your ING overdraft.

Risks when overdrawn for too long

If you’re overdrawn for more than three months, we’ll ask you to pay back the overdrawn amount within the agreed period. From that point, ING may lower the limit on your current account to €0, and you’ll be overdrawn by more than your limit (overrun). You’ll pay the same interest rate on that as for an ING overdraft.
If you paid back the outstanding amount within the agreed period and have had a credit balance for at least one full day (24 consecutive hours), you’re authorised to overdraw your account up to the original limit again for a maximum of three months.
If you did not repay the outstanding amount within the agreed period followed by having a credit balance for at least one full day (24 consecutive hours), we may cancel your ING overdraft straight away and demand immediate payment of the outstanding debt. The overrun will then be the entire negative balance on your current account.

Question 6

What are the requirements for an ING overdraft?

Accepted Answer

You’re 18 or over and you live in the Netherlands.
You’ve held an ING current account (Betaalrekening) for at least four months, and at least the monthly amount of regular income that we require was paid into that account during the past three months. Regular income can be your salary, pension or state benefits (benefits under the General Old Age Pensions Act (AOW), Unemployment Insurance Act (WW), Work and Income (Capacity for Work) Act (WIA) or the Invalidity Insurance (Young Disabled Persons) Act (Wajong)). Example: To apply for a limit of €250, you must receive at least €250 per month in regular income.
After performing a credit check, we believe that an ING overdraft would be financially sensible for you and for us.
We’ll check your customer and account information to see whether you’re eligible for an ING overdraft.
You’re looking for a short-term way to borrow money for unexpected costs – not a long-term loan.
You choose this product yourself. ING doesn't provide any advice.

ING overdraft terms and conditions (PDF)

Question 7

What’s the maximum cost of borrowing?

Accepted Answer

When you take out a loan, you pay interest. This is also known as the cost of borrowing (or cost of credit). The maximum cost of borrowing is the maximum interest that we can charge you for borrowing money. At 1 January 2025, the maximum cost of borrowing is 14%. This is set by the government. The maximum cost of borrowing consists of the variable statutory interest plus a maximum surcharge. The maximum surcharge has been set by the government at a structural level of 8%. As the statutory interest rate decreased from 7% to 6% on 1 January 2025, the maximum cost of borrowing automatically decreased from 15% to 14%. The statutory interest rate is linked to the market interest rate trend. It has therefore become more expensive for lenders to procure funds. See also the Dutch government’s Q&As.

The interest rate on an ING overdraft is variable and equal to the maximum cost of the borrowing minus a fixed discount of 0.1%. From 1 January 2025, we will use the new maximum cost of borrowing of 14% for our calculation, which means your interest rate will be 13.9% (14% - 0.1%).