ICICI Bank launches online overdraft facility for MSME customers

ICICI Bank has launched instant overdraft ‘InstaOD’ facility for MSME (Micro, Small and Medium Enterprises) customers in a completely online and paperless manner. Customers can get overdraft facility up to Rs 15 lakh for a year anytime, anywhere using the bank’s Internet and mobile banking app.

The new facility will enable a few lakh of pre-qualified current account customers of the bank to instantly avail of the facility without visiting a branch and submitting physical documents. ICICI Bank will also offer the facility for instant online sanction of the overdraft facility to MSME customers of other banks shortly.

Static/Current Takeaways Important for Exams-
  • An overdraft allows the individual to continue withdrawing money even if the account has no funds in it or not enough to cover the withdrawal.
  • ICICI Bank stands for Industrial Credit and Investment Corporation of India.
Source- The Hindu Business Line