Lloyds Bank Fees 2026 — Current Account, Overdraft and Foreign Transaction Charges

Part of our Lloyds Bank — Complete Guide 2026 hub.

Lloyds Bank’s Classic current account is free to hold, but charges apply for overdrafts, spending abroad, premium account features, and certain payment types. Here’s a full breakdown of every Lloyds fee you’re likely to encounter.

Lloyds Bank Fees at a Glance

Monthly Account Fees

Classic account — Lloyds’ standard current account with no monthly fee. Includes a debit card, Lloyds app and online banking, and access to Lloyds’ UK branch network.

Club Lloyds — £3/month, waived if you pay in £2,000 or more per month. The main benefits are access to the Club Lloyds Monthly Saver (a high-rate regular savings account), a choice of lifestyle benefits (cinema ticket, digital magazine, or similar), and preferential rates on some Lloyds savings products. Worth considering if you’re already paying in £2,000+ — essentially free in that case.

Lloyds Packaged Accounts

Lloyds offers several packaged accounts that bundle insurance and lifestyle benefits for a monthly fee:

Whether these represent value for money depends on your circumstances — compare the included insurance against standalone policy costs before switching. If you already hold travel insurance or breakdown cover, a packaged account may be cheaper.

Overdraft Fees

Lloyds charges approximately 39.9% EAR on arranged overdraft balances. This is the standard rate for most high-street banks following the FCA’s 2020 overdraft pricing reform, which banned flat daily fees and introduced a single interest rate model.

Key points:

• Interest is charged daily on the overdrawn amount
• Unarranged overdraft usage (going beyond your agreed limit) is charged at the same rate
• Lloyds offers a small interest-free overdraft buffer on some accounts — check your specific terms
• You can view your overdraft limit and current balance in the Lloyds app

Tips to reduce overdraft costs:

• Set up low-balance alerts in the Lloyds app so you’re notified before going overdrawn
• Consider switching to a bank with a lower overdraft rate if you use your overdraft regularly — some challenger banks offer lower rates or interest-free buffers

Foreign Transaction Fees

Lloyds charges 2.99% on all non-sterling card transactions, covering:

• Purchases made abroad on your debit card
• ATM withdrawals outside the UK
• Online purchases billed in a foreign currency

For a £1,000 holiday spend, this works out at £29.90 in non-sterling fees alone.

Avoiding foreign transaction fees:

A common approach is to keep a Lloyds account for UK day-to-day banking and use one of the above purely for travel.

Transfer and Payment Fees

• Faster Payments — free, available 24/7 including weekends
• CHAPS — same-day guaranteed transfers carry a fee (check Lloyds’ current schedule; typically around £20–£25)
• Standing orders — free to set up and cancel
• Direct debits — free
• International transfers — fees vary by currency and destination; check the Lloyds website or call 0345 300 0000

How to Check Your Current Fees

Lloyds’ fee schedule is available:

1. In the Lloyds Bank app under Account information or Documents
2. In your account’s Terms and Conditions booklet
3. On the Lloyds fees page

Related Guides

• Lloyds Bank — Complete Guide 2026
• Lloyds Bank ATM Limit 2026
• Lloyds Bank Transfer Limit 2026
• Lloyds Bank Savings Account 2026
• Best Bank Accounts UK 2026