This video deals with interest and repayment in case of overdrafts and is in continuation of our video on loan against FD
Edited highlights
0:15 This video deals with interest and repayment in case of overdrafts
2:00 Bhanuchandra A has asked how to repay the overdraft amount
3:00 You can repay the money by depositing it in the overdraft account
3:06 It will get reflected in the credit balance after deposit of the money
3:21 You can use the overdraft (OD) facility again
3:26 The interest is calculated on the daily debit balance and the interest is charged at the end of every month
3:42 You can close the OD account any time by paying the outstanding balance including the interest
3:50 On closure, the bank will remove the lien on the fixed deposits (FD) and will hand over the FD to you
4:17 In case you don't close the OD account, on maturity of the OD,
4:21 If there is any debit balance in the OD account will be adjusted from the maturity amount and the balance adjusted and paid to you
