Overdraft

The overdraft facility is the access of funds that is offered by the bank. This facility enables the account holder to spend more than that available in the account. The overdraft facility is provided by many reputed banks to its account holders. The banks may offer this facility to the current account holders, corporate salary account holders or many such special accounts. Thus, this facility will be the best choice in times of contingencies. The overdraft fund for the corporate salary account holder is offered up to three times the salary. The current account holder can also benefit by this overdraft facility as he will get the extra fund for paying to supplier or other such requirements. The borrower can get the funds with the help of overdraft facility for the required term. There are no prepayment charges applicable in that case. The funds can be withdrawn or deposited as per your convenience. The deposits can be made online, through cheque or even cash deposit.

The main advantage of the overdraft facility is that it doesn’t require too much of documentation. It is readily available for you whenever you are in need of money. This Overdraft facility is just the extension of your account and the withdrawal is therefore very easy. The interest would be charged only on the amount that you utilise. That means you can withdraw the amount you need and pay the interest only on the fund that you use. The interest would be calculated periodically on the amount you withdraw and amount in your account. Thus, the overall interest you pay is considerably low. This facility is convenient and easy to avail as you don’t need to pay the EMIs for the repayment. The lump sum amount can be paid as and when you have surplus. Hence, you don’t have to worry about the arrangement of money every month.

You can avail the overdraft facility from many nationalised banks as well as public sector banks. The facility can be availed from the bank where you already have an account. If you don’t have the account then you can have one after conducting proper research. Check the terms and conditions of the available Overdraft facility. The interest rate must also be checked to get the best rate. We will also help you find the best overdraft facility at lowest interest rate. You can also use our e-application facility where your application will be processed online for further convenience and comfort.