Overdraft

An overdraft occurs when there isn't enough money in an account to cover a transaction or withdrawal, but the bank allows the transaction anyway. Essentially, it's an extension of credit from the financial institution that is granted when an account reaches zero. The overdraft allows the account holder to continue withdrawing money even when the account has no funds in it or has insufficient funds to cover the amount of the withdrawal.
Aspects
  • High Financing
  • Loan limit is 60% of Property valuation.
  • Overdraft loan is renewed every year.
  • Pre-Payment Penalty : 3% Penalty charges.
ROI & Handling Charges
  • Rate of Interest is 15%.
  • Service charges : Yearly.
Eligibility
  • Businesspersons.
  • Self - employed
  • Professionals having regular source of income
  • Age : 18 to 65 years
Documentation & Security
  • In case of new customer, applicant & guarantors need to open savings / current account
  • Duly filled form with :
    • Income Proof of Applicant.
    • Aadhar card of Applicant.
    • PAN Card of Applicant 
  • 2 years of ITR
  • Property documents.
  • Registration certificate.
  • Two Acceptable Guarantors.
Share Holdings
  • Share Holding 2.5% on Loan Amount.