If you live in Germany, you can apply for a **Vivid Now account**, and, if successful, you’ll receive an overdraft of up to €5000 with an annual percentage rate (APR) of 14%*.

The money in your Vivid Now account, including the overdraft, can be used for **card payments, cash withdrawals and direct debits up to the approved limit. **If the credit balance in your Vivid Now is less than the transaction amount, you’ll start using your overdraft.

To benefit from this feature, make sure that you connect your Vivid Now account for each money pocket. We show you how to do so here.

Kindly note that card payments made using Overdraft are eligible for cashback. The cashback will be credited once the transaction has successfully settled, this may take a few days.

**How does it work?**

Let’s say that you have a Vivid Now overdraft limit of €3000. You connect your Main Pocket to the Vivid Now account. If you make a transaction for €200, but the balance on your main pocket is €50, then the transaction will be redirected to the Vivid Now account and €200 will be taken from the balance of the Vivid Now account. If this results in you using the overdraft, then you’ll be charged 14% APR on your overdrawn balance each day. You will pay the total interest at the end of each quarter.

**What’s the overdraft interest?**

Any time you use your overdraft you’ll pay interest. The **annual percentage rate (APR) of 14%*** will be calculated on your daily overdrawn balance, and will be charged on a quarterly basis.

**How can I repay the Overdraft?**

Any incoming credit into the Vivid Now account will automatically repay the overdraft. If you make use of the overdraft using the Back Up feature, and there are remaining funds on another pocket then you will be given the choice to transfer funds to the Vivid Now account to reduce your overdraft balance. This helps you avoid paying too much interest. If you repay partially, or in full, the overdraft balance via instant top-ups, then this will count towards the monthly limits set by your plan (€200/month for Standard and €1000/month for Prime).

**How much does an overdraft cost?**

You can use the overdraft annual percentage rate (“APR”) to compare the total cost of borrowing. The APR of the Vivid Now overdraft is 14%, whereas no additional costs (fees or charges) apply. The APR is variable - this means that the APR can be adjusted in case the reference interest rate of the European Central Bank changes.

As an example, if your Vivid Now account was in overdraft of €500 for a period totalling 7 days during the quarter, with an APR of 14% applied it would cost €1.34, therefore the total repayment would be €501.34. Similarly, if you borrowed €500 using your Vivid Now account for a period totalling 14 days it would cost €2.68, thus a total repayment of €502.30 would apply.

**Do I always have to repay the borrowed overdraft funds?**

You are be liable for any money you owe, including any borrowed funds such as a utilised overdraft facility, if you:

Didn’t keep your phone, card (including virtual card), PIN or other security details safe;

Provided any of the above details to any 3rd parties, even if trusted.

**The available amount of the overdraft facility will depend on your creditworthiness whereas the annual percentage rate (APR) is 14% starting from 30th January 2023 for newly onboarded customers. For customers who had a Vivid Now account before this date, the APR of 14% will apply from 14th February 2023 on their overdrawn balance.*