Demo rate card29.9% EAR (variable), with the first £50.00 interest-free
The pound values and percentages on this page are invented AcornBank product terms, chosen for a realistic bank-style example. They are not current market offers, an invitation to deposit or invest money or a forecast of what a real bank will pay.
| Product detail | Demo terms |
|---|---|
| Account type | Arranged overdraft |
| Rate, reward or charge | 29.9% EAR (variable), with the first £50.00 interest-free |
| Illustrative credit limit | £0.00 to £1,000.00 |
| Access | Up to £1,000 arranged borrowing; the first £50 is interest-free in this demo model |
| Eligibility in the scenario | An adult Acorn Everyday story customer with an assumed arranged limit |
| Fees | No model account fee |
| Currency | GBP (£), used solely for fictional calculations |
How much could a shortfall cost?
| Borrowed balance | After 7 days | After 30 days | After 90 days |
|---|---|---|---|
| £50.00 | £0.00 | £0.00 | £0.00 |
| £100.00 | £0.25 | £1.09 | £3.33 |
| £250.00 | £1.01 | £4.35 | £13.33 |
| £500.00 | £2.26 | £9.78 | £29.98 |
| £1,000.00 | £4.78 | £20.65 | £63.30 |
Assumptions: constant borrowed principal, no deposits, additional borrowing or fees; the first £50.00 remains interest-free. Estimated cost = max(balance − buffer, 0) × [(1 + 0.299)^(days/365) − 1]. This converts the illustrative EAR into an equivalent daily-compounding model and rounds only the final charge. It is an estimate, not a contractual daily posting schedule. An overdraft costs money; it does not produce a return.
Overdreyft Buffer is arranged overdraft in the Current accounts range, used for illustrating the cost of a short-lived current-account shortfall. Its live rate card, summary and worked tables sit above this text and update whenever the product record changes.
Features with a purpose
The key feature is the match between arranged overdraft and illustrating the cost of a short-lived current-account shortfall. The example keeps a separate opening balance, records contributions or borrowing, and shows costs independently from rewards. This makes it possible to see where the closing number actually comes from, even if Pip has chewed the corner of the statement.
See the whole Current accounts range or compare every product on the rates page.
What the example does not promise
All figures are invented and shown to make the demo useful to read and crawl. No money is held, no application is available, and no deposit-protection, regulatory or tax-wrapper status is claimed. Calculations do not account for personal tax, inflation or unstated changes in rates. The fictional bank manager can guarantee only that the next paragraph contains no real acorns.
Related reading
- This Is a Fictional Bank — No Real Banking Here
- Site Map — Every Branch of AcornBank
- Rates — Savings, Borrowing and Rewards
- Help — Unruffle Your Tail
- Current Accounts — Everyday Banking for Busy Squirrels
- Overdreyft Buffer — Rates and Returns
AcornBank: entirely fictional banking, exceptionally committed squirrels.