Absa Overdraft is a safe net in case of an emergency and you get to pay only what was agreed limit of your facility. Overdraft is a form of a loan which is granted by the bank for an individual to continue withdrawing money even if their account does not have enough money to withdraw.
The Absa Overdraft it is a convenient credit facility which is linked to your active Absa Cheque or transactional account that give its customers the confidence to manage their personal finances, with Absa you can be able to make regular deposit into your account, moreover you will have enough funds for your needs.
Absa Overdraft Benefits
- An overdraft is linked to your cheque account making it easy to track and manage
- It helps maintain a good credit history by avoiding debit reversals due to insufficient
- Ensures timely payments are made and you to avoid overdue payments penalties.
- You only pay interest for what you use.
- You get an optional Credit Protection Plan to settle the outstanding balance in case of
death, disability, dread disease or retrenchment and you are unable to make payments.
What you need to apply for Absa Overdraft
- The existing customers have to login in on their Absa online account and apply.
- The new customers to the bank must take up a cheque account and apply for an
overdraft, visit the nearest Absa branch or contact the bank.
The bank will check if you qualify for the Overdraft by checking if you earn a regular monthly income of at least R2 000 per month, or if have a cheque account into which your monthly income is paid, and an individual must be 18 years or older. Once your application is approved, Absa deposit the money immediately into your account and if it happens you don’t use it, you will not pay for it.
The Absa Overdraft offer the best interest rate in the market based on your credit risk profile, this means that you will be able to afford the interest rate. A personalised Annual Percentages interest rate up to the maximum of prime +10.5%. The estimated monthly interest repayment for an overdraft limit of R15 000at an interest of 15% per month where R8 000 of the overdraft limit has been used is R100. Customers also pay a monthly service fee of R68.40 when you apply for Overdraft it comes with a credit protection plan which will assist to settle the outstanding balance in case you die, become permanently disabled or get a dreaded disease. Absa Overdraft does not only help in cases of emergency, but it can also help you manage your cash flow, by getting an Overdraft it can help you manage cash flow and cover any unexpected expenses.