Overdrawing your checking account can have credit consequences if you don't pay the overdrawn amount and bank fees in full. Your bank may turn over the outstanding account balance to a collection agency if you don't satisfy the debt by their deadline. At that point, the debt becomes a collection account on your credit report, which can harm your score.

Credit Consequences

How much an overdrawn account in collections affects your score depends on what's in your credit report. Creditors who check the report can see the negative entry from the collection agency trying to collect the overdue amount if you don't pay up by the bank's deadline. Your credit score is calculated based on entries in your report and your payment history accounts for 35 percent of it. If your credit report already contains negative entries, another one won't look good.