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English
Englishעבריתالعربية
English
Englishעבריתالعربية
Data updated through July 2026
An overdraft may feel routine, but it is credit—and often among the market's most expensive credit. If the balance never closes, you keep paying the bank each year without making progress.
A standard loan has a clear monthly payment. Overdraft interest blends into daily activity and can become habitual, allowing substantial interest payments without reducing the balance.
This is interest only; it does not reduce the overdraft. The ₪100 monthly payment goes to the bank rather than lowering the balance to ₪9,900.
Banks default to highest cost first. Switch between chart and table or filter to one bank. The average line and row are the Bank of Israel system average.
13.01%
8.26%July 2026 · Within the approved limit
Average 11.47%
The data source is the Bank of Israel comparison tool, updated monthly.
Your actual rate may vary by customer profile, approved limit, credit rating and account activity.
Check your account for the exact rate your bank charges on your overdraft facility.
Compare your own rate with those shown above to see whether you are paying too much.
Contact your bank and ask for a lower overdraft rate.
If the overdraft is persistent, consider replacing it with a structured, lower-cost solution.
Build a gradual, controlled plan to bring the account back into balance.
Mainly because it has no end date. A regular loan ends after a series of repayments; an overdraft can continue for years and easily become a permanent habit.
Not necessarily. These are the average interest rates reported to the Bank of Israel. Your personal offer may be lower or higher, so it is advisable to compare and ask for better terms.
A ₪10,000 overdraft costs more than ₪10,000 because interest is charged each month. The key question is how much you are willing to pay simply to keep the same balance.