Overdraft
Need extra cash? Access a flexible overdraft, conveniently linked to your business banking account.
Need extra cash? Access a flexible overdraft, conveniently linked to your business banking account.
Your overdraft account includes the following associated fees:
View the pricing guide that outlines all associated fees.
Note: Additional documents may be required depending on the nature of your business.
Existing clients can check available offers on our online banking platform. Not banking with us yet? Get in touch to discuss your offers.
An overdraft is a credit option that gives your business access to additional funds in your business banking account. It’s designed to help manage short-term expenses that will help you earn an income, like buying stock or paying salaries, wages, suppliers or unexpected expenses.
An overdraft is linked to your business banking account and gives you access to additional funds up to your approved limit. You can use the available funds for payments, withdrawals or transfers. An overdraft doesn’t have fixed repayments – it’s repaid through payments or deposits into your business banking account.
A personal loan is paid out once-off, in full, and repaid in fixed monthly instalments over a set period.
An overdraft is ideal for businesses with monthly or seasonal cash flow fluctuations. It provides financial support during low cash flow periods to help cover short-term expenses to continue normal business operations. When cash flow improves, incoming funds reduce the overdraft balance.
An overdraft isn’t suitable for long-term debt commitments like buying a vehicle or property. Using an overdraft without a clear repayment plan can lead to unnecessary financial stress.
Your overdraft limit and interest rate depend on your banking habits, credit profile, financial history and ability to repay.
Yes, your overdraft is linked to your business banking account, so you can withdraw, transfer or make payments up to your approved limit using any available payment method.
Yes, if your overdraft limit is active and you maintain a good repayment record, you can continue using your overdraft.
Yes, your overdraft is available anytime, as long as you have funds available.
Your overdraft limit is available for 12 months and is reviewed annually. Note: It is fully repayable on demand when adverse behaviour such as debt review, business rescue or liquidation occurs.
If you use your overdraft, a R69 monthly fee is charged, in addition to the R50 monthly fee for your business banking account. Interest is calculated daily on your overdraft balance and added to your account monthly.
There are no fixed monthly repayments on your overdraft. Any money deposited into your business banking account automatically reduces the overdraft balance. Interest and fees are added to your balance each month, so you’ll need to ensure there are enough funds available or incoming deposits to cover these costs and avoid exceeding your overdraft limit.
Use your overdraft only for its intended purpose and deposit all business income into your business banking account.
You can apply for an overdraft through our business relationship suite.
If your business banking account has been active for at least 6 months and you are eligible for an overdraft, you may receive a conditional offer on your online banking profile, where you can follow the prompts to apply.
If you don’t have a business banking account, you can start the application process on our website.
No, an overdraft must be linked to a business banking account.
Your overdraft is linked to your business banking account, and you can track it using our app or online banking. If your account has a positive balance, you haven’t used your overdraft. If it’s negative (overdrawn), your overdraft is in use, and a monthly fee and interest will apply to the amount used.
