Bank Overdraft Facility: Many times money is suddenly needed, which increases difficulties, especially when the bank account is empty. In such situations, people resort to taking loans. But for your information, let us tell you that many banks provide overdraft facilities to their customers. This is a facility in which you can withdraw money from the bank even if there is zero balance in your account.

Whenever you open an account in a bank, do not forget to ask about the overdraft facility. Especially Jan Dhan account holders get this facility, in which customers can withdraw an amount of up to Rs 10,000. This information can prove to be helpful for you in providing financial security and additional funds when needed.

What is Overdraft-

Overdraft (OD) is a type of loan that the bank provides to its customers. Its specialty is that there is no need to fill out the form for it and it is available immediately. Customers can withdraw money through ATM according to the overdraft limit, which is set by the bank. The major difference between an overdraft and a normal loan is that interest on the loan is calculated every month, while interest on an overdraft is charged on a daily basis. Thus, the customer has to pay more interest on using the overdraft facility. It is a means of flexible financial management, but caution is necessary in its use.

These people can get benefit-

If you have operated the basic savings account well for at least six months, then you can easily get OD up to Rs 10,000. Your account should be linked to Aadhaar number. This facility is also available in Jan Dhan's account. The age of the applicant should be between 18 to 65 years.

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