In most cases, overdrafting your bank account doesn’t hurt your credit. However, there are ways it can indirectly affect your credit. First, if you fail to repay your overdrawn amount, the bank could eventually send the balance to a collections agency. The amount you owe would go on your credit report and would hurt your credit. And even if you quickly pay off the balance once it goes to collections, it is likely to remain on your credit report for up to seven years. Another way overdraft can hurt your credit is if it results in other bills not being paid. Let’s say you’ve overdrafted your account up to your bank’s limit, meaning all transactions will be declined until you replace the funds. During that time, your credit card bill comes due, but you aren’t able to pay it. Your late or missed credit card payment could appear on your credit report.