Drafty Credit Line
Looking for a line of credit? At Drafty, you can apply for a maximum credit line of £3,000. If approved, we’ll send the money to your bank within 90 seconds. The transfer time may vary depending on your bank’s processing times.
Representative 96.2%APR (variable)
Representative Example: Assumed credit limit: £1,200. Representative 96.2%APR (variable). Annual interest rate 69.4% (variable).
Not all applications will be approved for credit. An offer of credit is subject to status and affordability checks.
Why choose Drafty for a line of credit?
Fast
Cash sent to your bank in under 90 seconds, if approved. It may take longer to reach your account depending on your bank’s processes.
Flexible repayment
As long as you repay the monthly payment, how long you borrow for is up to you. No early repayment fees.
Trusted
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Convenient
Secure online application available 24/7. An instant decision.
What is a Line of Credit?
A line of credit is a flexible way to borrow money. Unlike a traditional loan, where you receive a lump sum amount, a credit line allows you to withdraw funds as needed, up to your approved credit limit. With Drafty, you can get a maximum credit limit of £3000, and you only pay interest on the amount you use.
A line of credit is ideal for covering unexpected expenses or managing cash flow. Since it’s a revolving credit option, you can reuse the funds once you repay them. No need to apply again. Your creditworthiness, credit history, and affordability determine your approval and limit.
How Does Our Line of Credit Work?
With Drafty’s line of credit, you can borrow money up to your approved credit limit and withdraw funds as needed. If approved, we’ll send the cash to your bank within 90 seconds. The transfer time may vary depending on your bank’s processing times. You can use the money as you want and only pay interest on the amount you use. Unlike traditional bank loans, there’s no need to reapply every time you need funds.
Repayments are flexible. You can repay the minimum amount or more to clear your balance faster. Your credit agreement will outline repayment details, including the interest rate. Keeping up with your repayments can positively impact your credit score.
How We Calculate Interest on a Line of Credit?
Interest on a line of credit depends on the amount you borrow and the duration you keep it. With Drafty, you only pay interest on what you use, not the full credit limit. If you haven’t borrowed anything, you don’t need to pay anything. There are no subscription fees, no early repayment fees or anything like that to worry about.
To make things straightforward, you will be sent a monthly statement showing your total outstanding amount and your minimum monthly repayment. Here’s how we calculate it.
Your repayment amount will be whichever is larger out of:
- 6% of the amount you’ve borrowed plus any interest accrued
- £50 (unless your outstanding balance and interest are under £50 in total)
For more, please read our FAQs.
Representative 96.2%APR (variable)
Eligibility Criteria for a Credit Line
To apply online for a credit line with Drafty, you need to meet the following requirements:
- Be at least 18 years old
- Be a UK resident with an active UK bank account and debit card
- Be in regular employment with a monthly income of at least £1,250
After you’ve provided the required details, we’ll run affordability and credit checks. If approved, we’ll agree on a credit limit and send the cash to your bank within 90 seconds. Depending on your bank’s processes, it may take longer to reach your account.
Representative 96.2%APR (variable)
How To Apply for Our Line of Credit?
Here’s how you can apply for a Drafty line of credit:
Apply
1. Apply: Click on the apply now button below and complete our online application process. Choose how much you want to borrow. Then fill in your personal, employment, and banking details. It takes around 15 minutes to complete (application completion time varies).
Set a credit limit
If approved, you’ll be given a maximum credit limit of £3000.
Flexible payment
As long as you repay the monthly payment, how long you borrow for is up to you. There are no late fees and no early repayment fees. Also, it’s easy to make payments through our app. With continuous payment authority, automatic payments are easy to manage. Alternatively we also accept payments from debit cards, google pay, apple pay and bank transfer.
Fast cash transfer
Use Drafty whenever you want, and we’ll send the money to your bank in 90 seconds. It may take longer to reach your account, depending on your bank’s processes.
Representative 96.2%APR (variable)
What If My Line of Credit Application Gets Rejected?
If your line of credit application gets rejected, it may be due to factors like a low credit score, poor credit history, or concerns about affordability. Drafty, as a responsible direct lender, ensures that borrowers can manage their repayments before approving credit.
We can’t give you details if your application is rejected, however, if your application is rejected due to the credit search, we completed, we’ll provide you with the name of the credit reference agency by email. You can check your credit file with them in case there are any errors causing issues. A rejected application doesn’t mean you won’t be approved in the future. If a credit file error is corrected or your circumstances improve, you may be accepted in the future.
Credit line vs loan – which is better?
A loan is usually for a defined amount of time – whether it’s a month or so (like a payday loan), a 6 month loan (like our sister brand, Lending Stream), or a multi-year loan.
A line of credit is different because it’s flexible, it doesn’t have a defined amount of time to repay. A credit line is available for you to use whenever you need, and you repay as much as you want (along with minimum payments, of course).
Credit line vs Credit card
A credit card is a physical card that you can use to make purchases. With a line of credit, you draw funds from your credit line, and they’re sent to your bank account so you can use your debit card to make purchases.
Frequently Asked Questions
What is the minimum amount I can withdraw?
The minimum amount for your first Drafty Flex withdrawal is £50. After that, you can withdraw from £100 onwards, subject to your approved credit limit.
Is a Credit Line the Same as a Loan?
No, a line of credit is different from a loan. A loan provides a fixed amount of money, while a credit line allows you to borrow as needed, up to your agreed credit limit. You only pay interest on what you use, making it a flexible borrowing option. Drafty offers a maximum credit line of £3000, with simple repayment terms.
Is a Credit Line Good?
Yes, a line of credit can be a good option if you need flexible access to money. Unlike a loan, you only pay interest on what you use. With Drafty, you get a maximum credit limit of £3000, with clear repayment terms. If managed well, it may improve your credit history and credit score.
How to Withdraw Money from My Line of Credit?
With Drafty, withdrawing money is simple. Once approved, you can access your credit line anytime through your account. Choose the amount you need (within your credit limit), and funds are sent quickly. If approved, we send the cash to your bank within 90 seconds*.
Does Drafty Offer Line of Credit Only?
No, Drafty offers both a line of credit and loans. Our line of credit provides flexible borrowing with a maximum credit limit of £3000. We also offer loans ranging from £1000 to £3000 at Representative 79.9%APR. The repayment period we offer for our loans is 12, 18, or 24 months. As a direct lender, we provide clear terms.
Please think carefully about whether Drafty is the right solution for you. This is even more important if you're in financial difficulty. If we don't think you can afford to repay your credit, we won't be able to approve you. We'll look at your current finances and credit history before we decide whether to give you credit. Failure to repay could impact your credit file.