Bank Overdraft Kannada Meaning
Overdraft is a term commonly used in banking and finance. In Kannada, it is known as ಓವರ್ಡ್ರಾಫ್ಟ್ (Ooverdraft).
An overdraft allows you to withdraw more money from your account than you have available. This can be a useful tool in times of need, but it is important to be aware of the associated costs.
Here's a breakdown of what an overdraft means:
- ಓವರ್ಡ್ರಾಫ್ಟ್ (Ooverdraft) is a facility provided by banks that allows you to withdraw more money than you have in your account.
- This is a temporary loan that you need to repay with interest.
- The bank sets a limit on how much you can overdraw your account.
- You can typically use an overdraft for various expenses, such as paying bills or making purchases.
Things to consider when using an overdraft:
- Interest Rates: Overdraft facilities usually come with high interest rates.
- Fees: Banks may charge fees for using an overdraft facility.
- Credit Score Impact: Frequent overdraft usage can negatively impact your credit score.
It is important to use overdraft facilities responsibly and only when necessary. Be sure to read the terms and conditions of your overdraft facility carefully before you use it.