There is no overdraft loan. What is an overdraft and what are its differences from a loan? Offers for individuals

An overdraft is a form of a short-term bank loan, within which the client gets the right to pay the purchase price from his own plastic card in an amount greater than the amount on the account. To understand what an overdraft is in simple words, let's turn to the English source - "overdraft" in translation means "above the limit / measure".

There are two types of overdraft

Permitted. It is necessary to apply for it at the bank, which is then approved and you can safely use the funds;
Unauthorized (technical). It often happens without the knowledge of the user himself and without the approval of the bank due to various technical failures or problems with electronic payment systems.

So the balance can go "into the minus" if operations with a ruble card had to be performed in foreign currency. The exchange rate may suddenly change, which will lead to the formation of debt on the card, for which the overdraft has not been connected. Also, the reason for the formation of an unauthorized overdraft can be banking errors: double debiting of funds for one operation, debiting for an unconfirmed transaction, etc.
All this becomes a reason for overspending. To solve the problem, you will need to contact the bank and find out the circumstances of the write-off. Technical overdrafts are very rare today, but control over the state of the account will not be superfluous.

Fundamental features of overdraft and its differences from the credit limit

For example, you want to buy inexpensive home appliances in a store, but there is not enough money in your account. In this case, the bank issues the rest of the amount according to the classical scheme with the need to pay interest on the loan. As a result, a minus is formed on the account, which then the client needs to cover. The line is renewable, only you can use no more than the established limit. You can use the service only if you first activate it. Usually, an overdraft is connected to salary cards, but a credit card is also suitable - the main thing is that funds are periodically credited to it.

An overdraft is similar to a credit line in that both of these lines are renewable. So immediately after the debt is repaid, it will be possible to use borrowed funds again.

The service can be activated by both individuals and individual entrepreneurs and legal entities.
But in the case of a credit card, it is enough to make a monthly minimum payment, or you can simply pay off the entire debt during the period of the interest-free period of 50-100 days (the duration varies depending on the bank's policy).

As soon as an overdraft occurs on a card with an overdraft, any receipt of money on the balance will immediately be debited to repay this debt.

The amount of the overdraft is usually set lower than the credit card limit due to the fact that the latter can be paid for a long time. The overdraft is paid every month.

Under what conditions and how can the overdraft option be activated?

To start using overdraft, you need to have a plastic card, which regularly receives receipts (salary, pension, etc.). For the rest, the client must meet a number of requirements:

Have a residence permit on the territory of the Russian Federation and preferably in the region where the card is serviced;
Avoid delays on previously issued loans, i.e. have a good credit rating;
Be officially employed.

Each bank sets the package of documents for filing an application for connecting an overdraft at its discretion. Usually, you need a certificate of the amount of salary / pension received or a card statement for a given period of time, a driver's license, SNILS, etc.
In the case of a salary card, the overdraft can be activated without the need to provide income information. On average, the overdraft is connected for a period of up to a year; after this period, the application will have to be reissued.

A simple example to explain: a certain Victoria works as a chief accountant at a state enterprise. The organization transfers the salary to her on a plastic card. In the bank, all operations on receipt of funds are monitored, based on these data, the maximum amount of the overdraft is determined.
If Victoria wants to activate this service, she needs to contact the bank, where to conclude an agreement. Now, in addition to the salary of 45 thousand rubles, an overdraft in the amount of 20 thousand rubles will be available on her plastic card. This will allow her to spend more money than she has after receiving her wages.

The overdraft has no intended purpose, so you can spend it at your discretion for any purpose. The main thing is to have time to pay off the debt on time. The limit will be restored immediately after payment.

How the overdraft amount is determined

Usually, its value is small and several times less than the classic credit limit. Calculations are carried out by a bank employee using a special formula, the amount of the client's income and possible risks are taken into account. Thus, the amount that a person is guaranteed to be able to repay is determined.

For example, a legal entity is offered up to 6-10 million rubles, subject to the presence of a guarantor in the transaction. The term of the agreement is up to 12 months, the rate is 13.5% per annum, a commission of 1% of the limit is charged for opening a line - these are the conditions of the "Spare Wallet for Business" program. Alfa Bank. In the popular Sberbank the overdraft option cannot be connected to an individual's salary card. It can only be used by entrepreneurs and legal entities.
As soon as the salary is later credited to the account, the amount specified in the agreement will be immediately debited to repay the overdraft, if the client spent his loan during this month. Concerning entrepreneurs, here, when calculating the available amount, the following factors are taken into account:

Is there a third party to the transaction (guarantors);
How long has the business been running, what is the turnover, revenue and other financial indicators, on the basis of which it is possible to draw a conclusion about the stability of the organization.

In this case, the package of documents is expanded. In addition to the application and the passport (s) of the participants in the transaction, information on all accounts opened with the bank will be required and, necessarily, the company's charter and a certificate confirming the fact of state registration.

An example of overdraft calculation and possible overpayment for using the service

To carry out calculations and find out how much you will need to pay monthly, you will need the following initial data:

What is the period of use of funds;
What is the overdraft rate established under the agreement;
How much money was spent;
The number of days in a year.

Let's say a bank client has used the overdraft function 2 times a month: the first - 09.11 for the amount of 25 thousand rubles, and the second on 23.11 - for 40 thousand rubles. According to the terms of the agreement, the borrower is obliged to fully repay his debt by the beginning of the new month (by the first of December). It is also important to take into account that the overdraft does not provide a grace period, so the client is obliged to pay interest.
Now you need to calculate the billing period. Since the overdraft was used on November 9, the period until December 1 is 22 days. Let's say the bank provides an overdraft at a rate of 15% per annum. Now you can calculate how much you need to pay to the bank:

We use the formula: X \u003d (C / 100 / Ni * Nk) * Y, where:
X - interest for using the loan;
C - annual interest rate;
Ni is the number of days in a year, Nk is the term of the loan;
Y is the loan amount.

The client will pay for the first overdraft (from 9.11 to 23.11): (15/100/366 * 14) * 25,000 \u003d 143.44 rubles.
For the second time (from 11/23 to 1/12): (15/100/366 * 8) * 65,000 \u003d 213.11 rubles. To find out how much you need to pay for both times, you just need to add them: 143.44 \u003d 213.11 \u003d 356.55 rubles. Plus, of course, 65 thousand rubles - the amount of debt in addition to interest.

The term "Overdraft" can be heard quite often, but few know what it means.

Overdraft is a kind of lending by a bank to any current account of its client, if he does not have enough funds to pay for a particular product or service.

The bank debits funds directly from its client's account in full. This means that he provides his client with a loan for the amount that he lacks to pay. This is also called a loan exceeding the balance of funds.

What is the difference between an overdraft and a regular loan?

The thing is that absolutely all the amounts that go to the client's account are sent to pay off the amount owed to the bank. In some cases, the bank even provides a grace period for using the overdraft. During this period, no interest is charged for using the loan, however, this opportunity is not available to all banks. It depends on the credit policy of a particular banking institution.

There is also another concept of the term overdraft. It can be described as follows: an overdraft is a loan that is issued to a borrower who is in need of cash.

Overdrafts are accepted by many banks. The fact is that they can receive quite large dividends from the fact that the client will pay interest for overspending of the funds being borrowed. It is allowed to use credit resources only at interest.

It is worth saying that the very first overdraft was issued back in 1728. Much has changed over the past 3 centuries, so today there are many types of overdrafts. What are they like?

Classic, called standard.
Advance. Usually it is provided in order to attract as many customers as possible for settlement and cash services. Usually we are talking about truly reliable customers who can really be trusted.
For collection. It is necessary for customers who have bank accounts, where at least 75% of the total amount is the so-called "collected cash proceeds." We are also talking about the proceeds handed over to the current account by the client himself.
Technical. Such an overdraft is provided without taking into account what the client's financial situation is at the moment. The loan is issued against any guaranteed receipts issued to the borrower to the bank account. (For example, selling or buying currency on the exchange).
Features of overdraft for individuals

The first thing to say about the overdraft facility for individuals is that it is issued for a period that does not exceed one half year.

At the moment when the loan funds are spent, the entire free overdraft limit is also reduced. When funds are credited to the account, the total overdraft limit is released and even restored. Banking institutions, in turn, do not require their clients to master the overdraft limit immediately, so the loan is disbursed as needed. At the very first opportunity, it is fully repaid.

Such measures will help to significantly save all expenses that are in one way or another associated with the payment of interest on an overdraft loan.

It is also worth saying that overdraft loans are provided to individuals who have opened a personal bank account. This account must be linked to a plastic debit card. The fact is that a credit card can greatly simplify the entire procedure for mastering the limit.

The main disadvantage of an overdraft facility is only that the interest that must be paid on an overdraft facility is slightly higher than on ordinary targeted loans. The reason is that there is no collateral for an overdraft, and this significantly increases the risk that the loan will not be repaid. Any reverse situation may be possible only for advertising purposes, when a banking institution needs to attract as many customers as possible in any way.

For whom can an overdraft card be issued?

For corporate clients of the bank who receive wages to their personal bank account. It is important that this account is linked to a specific bank card.
For bank depositors. Moreover, some banks do have types of deposits at the same time issuing a credit card for overdraft. With such a deposit, you can not interrupt the deposit agreement. This is a great opportunity to get money urgently.

Overdraft in Russia

How is overdraft formalized in Russia? What features should you know before registering it?

Each bank has its own conditions for granting a loan. The basic requirements are as follows:

Application from a citizen for a loan.
Borrower questionnaire, which is usually filled out on standard forms.
The passport.
Any document proving the identity of a citizen. This can be either a driver's license or a compulsory health insurance policy.

Requirements for the borrower are standard:

Permanent registration in the region where the banking institution operates.
The main place of work is where the bank operates.
Continuous work experience, the period of which is established by the bank itself.
The absence of any overdue debts to banks and other financial institutions.

The amount of the overdraft loan is determined for each person on an individual basis. The amount of available credit depends on his average salary for one month of work. You should also keep in mind the method by which the bank calculates the limit for its overdraft.

Some banking institutions may even set significant limits for one borrower on the maximum loan amount.

Main disadvantages

Some in the financial sector believe that some banks are deliberately imposing overdrafts. Moreover, it can lead to loan debts from inattentive clients.

Also, the situation may be aggravated by the fact that the so-called "available balance" on a bank card may be indicated initially, taking into account the overdraft. As a result, this can lead to the fact that having withdrawn all the funds from the account, a person may find himself in an extremely difficult situation.

The fact is that a client who is in debt to a banking institution will sooner or later be charged interest for the use of credit money.

It also happens that due to some peculiarities associated with the operation of the payment system, an amount is debited from the client's card, which may exceed that allowed by the banking institution. In such a case, they speak of a prohibited (also called technical) overdraft that has arisen.

Before concluding an agreement with the bank for the overdraft service, you must familiarize yourself with it. Managers often emphasize favorable terms of cooperation, but it is necessary to know the pitfalls. Then we will consider what an overdraft is in simple words and what are its features.

What does overdraft mean?

The essence of an overdraft is to provide a short-term loan on favorable terms. The key feature is the availability of a limit, which the borrower can use when there is not enough own funds for the purchase.

Overdraft loan is available to individuals and legal entities. In the first case, this is a targeted loan, which the borrower can use at any time and withdraw the missing amount. But for legal entities, a loan is provided in a non-cash version to an account so that the company can settle debts.

In a period of necessary and sometimes untimely spending, a salary overdraft will become a real salvation. In comparison with other loans, the service is more affordable and profitable. For a financial institution, this is a less risky operation, because the overdraft on the card is tied up against salaries and other payments, which sooner or later will be credited to the account.

The salary bank overdraft is automatically opened. The advantage is that you don't have to visit the department and supplement the application with documents. This type of service can be counted on by everyone who has a salary card, and money is constantly being received for it. The limit for the use of funds is small and when the salary is received, it is immediately covered. The amount of the overdraft depends on the salary received. You need to pay only for the days of use. Loyal customers can count on a low interest rate.

The technical overdraft is provided without material control. However, you will have to provide a lot of documents. This option is suitable for traders working on.

Classic overdraft is provided in the amount of a fixed amount. When drawing up a contract, payment orders and possible costs are discussed. To count on such a loan, you must:

Long-term cooperation with the bank;
Have more than 1 year of work experience;
Cash receipts should be regular - twice a month;
No debt obligations on the account.

The amount is set in the amount of monthly card recharge, divided by two. The interest on payments is minimal.

Advance overdraft provided to regular customers who have a high credit rating. The conditions for obtaining are the same as in the classic version. The limit is set on average for the last three months of receipts. The decision on cooperation and the provision of services is made within a month.

An overdraft for collection is provided if there is a guarantor who must own the business by 50 percent. Moreover, a regular customer must work with the bank for at least a year. And the decision on the provision of the service is made only after a month. The rest of the conditions are the same - a clean credit history, constant credits to the account, etc. important. For the borrower to use income at 75% of the loan turnover.

What is an authorized overdraft

It is assumed that after the borrower writes an application, the bank must set a limit on the funds that the client can use. Overdraft limit, what is it? It is formed depending on the constant amount of receipts. Most often this is an overdraft for a salary project - the amount is 30-50 percent of the incoming wages. As soon as the cardholder spends everything on it, he can get into debt. As soon as the salary arrives, everything will be closed again. For using this service, customers pay 20 percent per annum.

Grant of unauthorized overdraft

Unauthorized overdraft - when the client needs to spend funds on the account in excess of the established limit. In this case, other conditions of cooperation come into play. Interest for using the overdraft increases to 60 percent per annum. The requirements for borrowers are becoming more stringent. If it is not possible to pay off the debt within the specified time frame, the banking institution will issue a large fine.

There are situations when overdraft is technically possible:

Due to a technical error of the institution. The account could be credited with double the limit.
With a change in the exchange rate;
With an unconfirmed operation. If a consumer made a purchase earlier and the money was debited after other financial transactions, having familiarized with the types of overdrafts, it will be easier to face such situations. Overspending isn't common, but it's important to keep track of your money to avoid unplanned debt. Some banks issue statements of transactions that already include an available credit limit.

Technical overdraft for legal entities is impossible, because all operations with funds are approved and documented.

Regular receipt of money is the main condition for the provision of an overdraft card. A potential borrower must fulfill three important points:

Good credit history;
The presence of a permanent place of work, continuous work experience;
Registration at the actual place of service of the card.

After submitting a signed application, the bank begins to consider possible limits. Otherwise, each financial institution sets its own rules for obtaining services.

Each bank has the right to display its own list of required documentation. The classic option is a passport, an additional identity document, TIN, application, application form, income statement - a package of documents that will be required to issue a card with an overdraft. The term for granting varies, but most often it is twelve months.

In order to increase the volume of working capital, legal entities are trying to use not a loan, but an overdraft.

First, the accounting department will appreciate, because the overdraft does not require posting. Secondly, it is considered a preferential form of lending, which is provided to regular customers. A temporary solution allows you to purchase goods, make accompanying payments, and then immediately with the receipt of funds to the account, cover all interest. Legal entities must have a current account, the bank conducts their cash services, and a separate contract is drawn up for the provision of services.

How does overdraft work? What is the difference from a loan

An overdraft on a credit card is processed faster, is simpler and has favorable terms. To understand the differences, consider each option separately.

Loan conditions:

The term is established on the basis of the amount of debt and the borrower's ability to pay it;
It is necessary to pay off the debt in equal installments every month;
The loan amount may exceed the real monthly income;
The rate for using the service is negotiated at the time of signing the contract;
All money is issued immediately after all conditions have been agreed and fixed on paper.

A bank card with an overdraft is:

The service term is maximum 2 years with full repayment of the debt every month;
The loan amount cannot exceed the monthly income in the form of salary or pension;
The amount used is overlapped immediately upon receipt of wages;
Interest is paid for each day of use;
Instant provision of funds after filing an application from a regular client of the bank.

The difference between an overdraft and a loan is the ease of processing, short-term use and a fixed amount.

Pros and cons of overdraft and what does it give a competent user?

An overdraft debit card has its advantages and disadvantages.

The pluses include:

At any time, you can get the required amount and resolve the issue with an unplanned purchase;
Interest is paid based on the actual size of the loan;
You can use it regularly: after paying off the debt, take the amount again and so on in a circle, but strictly within the limit.
Overdraft for business is a good opportunity to speed up the circulation of funds, cut off debt payments and not be left without work at an important moment;
When registering, you do not need to look for a guarantor;
You can deactivate the service at any time;
Lack of paperwork during registration;
Overdraft does not require posting in accounting, because it is not a loan at all. It's just that the current account will be "-".
The bank will constantly remind in messages about the need to pay off the debt, so you will not forget the last deadline for closing it.

After trying the service in action, everyone finds disadvantages:

The contract is concluded only for a year, then re-registration of the service is required again;
High rate;
Minimum maturities and amount within the limit;
The amount is repaid in full, and not in parts;
Hidden payment when using funds, for example, for cashing out a fixed amount;
Read the terms of the agreement, banks reserve the right to change the interest rate and reduce the payment terms;
The user may not even know that the Internet overdraft is already connected, and the amount of salary, doubled, is displayed on the account.
Credit trap - over time, people stop investing on time and debt gradually increases.

Why is overdraft dangerous for individuals?

Overdraft for individual entrepreneurs and individuals is a real "provocateur" of debts. Having an additional amount on your account, sooner or later you start using it. There is a habit of going into a constant "minus" and over time the boundaries are washed away, the person is not able to make payments on time, the debt grows instantly.

At any time, a person can use "easy" money and this drives the client of a financial institution into debt. The feeling of freedom and availability of funds causes excitement, therefore Western psychologists have long been using such a term as "credit addiction".

For individuals, this is the main danger in using such a service. If you do not lose your head and use it correctly, then the service really has its advantages.

How to disable?

When it is issued and at the moment when the bank manager tells what an overdraft is, no one stipulates how to disable it. To refuse the service, you must write an application, provide documents when you visit one of the departments of the institution.

Refusal does not entail any penalties. If something like this happened, you urgently need to go to court.

You can deactivate the service without leaving your home; it is enough to have a connection to Internet banking. Account management is carried out simply from home. In your personal account, set a limit to the minimum amount so that it is impossible to use the funds. In case of emergency, you can remove the restriction on your own through your personal account.

Technical overdraft is possible when replenishing an account from another bank. In this case, the funds are immediately withdrawn, often the bank does not have time to carry out the operation and the limit can be used twice.
Psychologists associate overdraft with "credit addiction", so gamblers should be careful.
In order for the service to be useful, it is important to keep track of account balances and transactions. Feel free to visit the branch periodically and request a statement to compare the receipt of funds and expenses. When signing the contract, consider your financial capabilities.

The amount, terms of granting, the procedure for repayment of the overdraft is regulated by the agreement for banking services. Its limit is set by the bank based on the analysis of cash receipts and transactions carried out on the card and can be changed over time. Anyway, overdraft:

is short-term;
entails the accrual of interest for the use of the loan;
must be returned in full before the end of the billing period;
requires securing obligations;
provided in the absence of claims to the client;
as a rule, it does not provide for a preferential lending procedure, but exceptions are possible.

Overdraft types

Overdraft happens:

in relation to the ownership of funds

permitted (provided by the bank);
unauthorized or technical (exceeding the established limit, entails penalties);

depending on maturity

continuous (the debt is repaid in installments during the agreed period, up to the end of the contract);
with zeroing (the use of this type of overdraft requires the systematic payment of the full amount of the debt within the period set by the bank, most often within a month);

by the nature of the security

blank, i.e. without security or with one guarantee;
secured property of the borrower.

Legal entities after opening a current account can be provided advance overdraft... As a confirmation of the organization's solvency, it is necessary to present a certificate with performance indicators. Promsvyazbank offers the "Credit-Overdraft" service and makes it possible to get 300 thousand - 22.5 million rubles for business development. However, the financial institution has set strict limits on the possible limit: the amount cannot exceed 50% of the average monthly turnover on the borrower's current account over the past six months. But Baltinvestbank offers its current clients no more than 40%.

Offers for individuals

Overdraft can be used not only by organizations, but also by individuals. Naturally, the limit in this case is influenced by the documents submitted, as well as the nature of transactions on the account. For example, holders of IntrastBank cards can spend 1 thousand rubles in excess of the balance, the service fee will be 28%. However, if the limit is exceeded, a rate of 36% applies.

Unlike IntrastBank, SMP Bank provides overdrafts on more favorable terms with SMP Transaero and SMP Aeroflot Bonus cards. Firstly, the maximum amount is 1 million rubles. (MasterCard Platinum), holders of gold and standard cards can count on a limit of up to 600 and 300 thousand rubles. respectively. Secondly, there is an interest-free period (55 calendar days). Thirdly, the service fee is 19.99-27.99%. However, in the event of an overdue debt, the forfeit will be an order of magnitude higher and amount to 55% of the amount presented for repayment.

In Sberbank, holders of gold cards are given the opportunity to receive an overdraft in the amount of up to 45 thousand rubles. at 20% per annum. At the same time, the client must repay the overdraft debt in the amount indicated in the report, no later than 30 days from the date of this report. In case of late repayment and overlimit, the rate will rise to 40% per annum.

Which is better: a credit limit or an overdraft?

Of course, the common features of the loan and overdraft can be traced, however, these are two completely different services, because:

in the first case, a credit card is issued, in the second - a debit card;
the actual amount of the credit line exceeds the amount of the overdraft;
the credit card is opened at the discretion of the client, the bank makes the decision on the allocation of the overdraft;
the loan can be repaid with minimal payments during the entire validity period of the card, the overdraft is returned in a shorter period of time and in full;
the credit limit, as a rule, is not reduced by the bank, and overdraft can be completely excluded.

Thus, when choosing one or another product, it is worth relying on needs. If you plan to use the loan constantly, it is better

Obtaining a loan in the form of an overdraft (translated "overdraft" means "short-term loan") is common among both individuals and legal entities. Its main advantages are ease of repayment, the duration of using an open line, and the ability to receive money for a short time.

Overdraft is a line of credit that is opened to a specific current account (hereinafter referred to as p / account). In fact, this is an opportunity to spend more of the balance on it. The use of this banking product becomes more convenient when you issue a debit card, which is attached to an account with an open credit limit.

Overdraft - what is it in simple words, their types and basic concepts

When opening an overdraft, the lender sets a certain maximum amount of overdraft - the so-called limit... It can be used an unlimited number of times, that is, the overdraft is a revolving line - when a certain part of the limit is repaid, it is restored and again considered free for withdrawal.

To determine this value, when considering an application, the volume of average monthly receipts for the last few months is determined (depending on the credit conditions of a particular lender, this period ranges from 3 to 6 months). This volume does not include transfers between own accounts of a potential borrower, loans issued by other legal entities and individuals.

Sometimes, due to the peculiarities of payment systems, when withdrawing funds from the account of the borrower in an amount that exceeds the balance (provided that credit overdraft was not opened) there is a so-called other type of it - prohibited (or technical)... Such situations arise for several reasons:

Delay of write-off for previous transactions. In this case, when making several payments with a card for a short period (within a day, for example), part of the transactions "freezes" in the system in the "HOLD" status, that is, is subject to debiting. This amount is included in the balance and can be debited again.
Difference in exchange rates at the time of payment and actual debiting. This situation arises when paying for goods in a currency that differs from the currency of the account.
Error in crediting or debiting funds. In this case, the technical overdraft is closed manually by the employees of the financial institution by correcting the transaction error.

Most often, such problems arise through the fault of the bank itself as a result of a temporary gap between the crediting and debiting of money, but the client has to pay for this violation.

In the agreement for opening a bank account, the amount of the fine or penalty is indicated as a percentage of the overspending (sometimes the fine reaches 50-60% of the amount of the arisen debt).

If such errors occur within one business day, they are not taken into account and do not lead to the accrual of penalties! Therefore, in addition to being attentive to the balance on the card, the borrower, in the event of a similar situation, must file a written claim to the card issuer.

For legal entities (especially trading organizations) it is beneficial to open an overdraft against the collected proceeds... A prerequisite for its receipt is the payment of proceeds to the account / account in the amount of at least ¾ of all receipts. In this case, the line limit can be equal to the amount of monthly collection.

The analogue of such a line for individuals is salary overdraft. The role of the collected proceeds in this case is performed by guaranteed receipts of wages to the borrower's account. In this case, it is not required to additionally provide certificates on the amount of income, and the history of receipts and their regularity indicate the reliability and creditworthiness of the client. This type of lending is popular among bank employees and participants in salary projects.

In order to receive a positive decision on the application, the client must be serviced in the financial institution for such a period of time that is necessary to calculate the volume of receipts per account (from 1 month to six months). An exception is the so-called " advance overdraft ", which is provided to the current account immediately upon opening it. A prerequisite for its issuance is the provision of bank account statements from the organization that served the borrower earlier. Most often, such products are provided in order to attract an additional flow of clients to cash settlement services (settlement and cash services).

All of the above types of overdrafts are called continuous,however, there is another type of lending of this kind. Borrowing through an overdraft facility is very rare today. with zeroing", Which assumes periodic (once within 7-30 days) obligatory full repayment of the borrower's debt. This condition is inconvenient, first of all, for the client and reduces the amount of interest paid, reducing profitability.

Receiving procedure

In order to apply for an overdraft, it is naturally necessary that the client has an open current account, which receives the bulk of all incoming payments. To open an account, you will need an identity card of a client - an individual or a set of legal documents of the organization: documents confirming the right to sign and a card with samples of the legal entity's seal. If a credit limit is opened for the account, you may additionally require:

Certificates about the absence of delays in tax and other compulsory payments, about open settlement accounts in other service organizations, the absence of debts and card index No. 2 (unpaid claims) for legal entities;
Statements from current accounts of previously servicing financial institutions (when opening an advance overdraft or if the current account is opened too shortly);
Second identity document;
Documents for existing property. Most often, creditors do not require collateral (surety or pledge are not required), but in order to reduce the interest rate, increase the maximum amount and as additional confirmation of solvency, you can provide such documents.
Certificate of income (if the client is not "salary").

To receive an overdraft, the client must meet the following conditions.

For individuals and individual entrepreneurs:

Registration is permanent or temporary in the territory of the bank's presence.
Positive credit history (the credit history of him as an individual matters).
Continuous work experience of more than 1 year and the period of work at the last job from 6 months (data may differ depending on the conditions of a particular lender).
Age from 21 (in some cases - from 18) years.

For legal entities:

Use of cash settlement services for at least 6 months and the availability of turnovers on the current account (except for an advance overdraft).
Positive credit history.
Provision of a certificate of turnover on current accounts in other banks (a transfer of credit turnover may be required).
Sometimes - the period of validity on the market is from 6 months (otherwise the organization is considered newly formed and the parameters of the loan are calculated in a different way).

Overdraft price parameters

Consideration of an application for an overdraft occurs within 1 day to 1 week. The maximum amount, depending on the degree of trust in the client and the request, can range from 5 to 70 %% of the average monthly credit turnover. Overdraft rates vary from 15 to 50% and are constantly changing due to the revision of the key rate of the Central Bank.

Pledges and sureties are often not required. Sometimes, provided that the borrower is heavily indebted, sureties of the founders of the borrowing company are required as security.

Some credit institutions (for example, BANK AVANTGARDE) establish a floating rate depending on the period of continuous debt (the longer it is, the higher the rate), and also charge an additional commission for withdrawals from ATMs.

The peculiarity and advantage of the overdraft is the accrual of interest only on the actually used loan amount.

If its value is 100,000 rubles, and the actual principal debt is 1,000 rubles, then interest will be charged on 1,000, allowing significant savings.

What is more profitable: overdraft, credit, line or card?

Consider the main pros and cons of various types of lending in the table below:

Lending parameter	Overdraft	One-time loan	Credit line	Credit card
Ease of use	Yes	Yes	No (it is required to sign additional agreements for each tranche within the line, it is extremely rare for individuals)	Yes Not issued to legal entities.
Ease of obtaining	Yes	Yes / No (with fast lending, the rate increases significantly)	No (a large number of documents when opening and issuing each tranche)	Yes
Limit renewability	Yes	No	Yes / No (depending on line type)	Yes
Additional payments	For the issue and maintenance of the card	For issuance, loan servicing, insurance and collateral assessment	For opening a line, issuing each tranche, insurance and collateral assessment	For issuing and servicing a card, issuing and servicing a loan
Early repayment	No limits	With restrictions	With restrictions	No limits
Security	More often not required	Well no	Well no	Well no
Lending terms	Short	Short / Long	Long	Short
Interest payments	Higher than on loans. Interest is charged on the amount actually used	Interest is charged on the entire amount issued	Interest is charged on the total amount of tranches issued. The service fee is calculated from the line limit.	Higher than on loans. Interest is charged on the funds actually used. There is a grace period
Intended use	No	Yes / no (for non-targeted loans, the rate is higher than for targeted loans)	Yes	No

Repayment of urgent and overdue debts

Closing an overdraft is different from a regular one-time loan and is often incomprehensible to the user, since the amount of debt is constantly changing, and, unlike a loan, the borrower does not receive a fixed payment schedule.

In addition, the procedure takes place automatically after receipt of the borrower's account on the account, does not require the writing of applications and any actions on the part of the borrower. However, there are some nuances that you need to know when obtaining this type of loan.

1. The amount of the actual debt is distributed for the period until the end of the contract.

For example, on January 1, 2015, a client received an overdraft of 100,000 rubles for 12 months at 20% per annum. Repayments are made no later than the 25th day of each month.

10,000 / 12 months + interest accrued on the balance for the use of funds.

2. All receipts are written off to the bank account.

In our example: on January 5, the account received funds in the amount of 7,000 rubles. From this amount will be paid:

interest for using a loan of 10,000 within 3 days (from January 2 to January 5): (10,000 / 12 months) * 20% / 365 * 3 days \u003d 1.37 rubles

the main debt is repaid in the amount of: 7,000 - 1.37 \u003d 6,998.63

the remainder of the actual debt: 10,000 - 6,998.63 \u003d 3,001.37

monthly payment: 3,001.37 / 12 months \u003d 250.11 +% for the period

3. Despite early repayment, On January 25, funds in the amount of the monthly payment calculated above should be received, otherwise the amount will be transferred to the accounts of overdue debt, and fines and penalties will begin to be charged on it. Internal bank documents provide for separate accounting of overdue interest and overdue principal debt (250.11 in our example).

The procedure for writing off delays is spelled out in the regulatory legal acts of the Central Bank of the Russian Federation and provides for the following write-off procedure upon receipt of the borrower's account on the account:

Contractual penalties (for example, a one-time flat fee for the occurrence of a delay).
Penalties that are charged on overdue interest on the loan.
Increased interest charged on overdue principal debt.
Overdue interest.
Overdue principal debt.
Interest payable in the current period (not overdue).
Current principal debt (not overdue).

When depositing money for repayment, it is necessary to take into account the size of the current delay in order to repay it in full.

Benefits of overdraft for small businesses

A feature of small businesses is a limited budget, especially at the stage of active development and business formation. It is difficult to obtain a start-up for starting a business in the current economic conditions, lenders impose strict requirements on the organization and demand.

Video - overdraft on current account:

Also, the borrower will be required to strictly adhere to the parameters that are indicated in it (especially the volume of revenue and profit). As an additional guarantee for the return of the loan, you will need to provide a surety or a pledge (the best option is real estate, which small businesses simply do not have).

Overdrafts in this case help not to overpay for a loan that may not be useful (as in the case of a one-time loan), as well as to minimize damage from cash shortages, and to maintain the continuity of payments to suppliers and other counterparties, even with a lack of funds.

Overdraft lending is an easy way to get small funds for a short period.

In the event that an enterprise or an individual needs a large amount, and early repayment is not planned, it is more profitable to get a credit line or a one-time loan. In this case, with the provision of security and a slightly longer period for consideration of the application, the overpayment for using the loan will be lower.

Video - in what cases overdraft is more profitable for entrepreneurs: