Business terms and jargon explained. Your business dictionary

What is Overdraft

This is when you owe money to your bank through your current account.

Because of the nature of current accounts the bank may allow an account holder to take out more money than is in their bank account. This is called a bank overdraft facility. 

There are two types of overdraft:

  1.  Authoried
    This is where the bank has agreed a limit that you can be overdrawn. They may charge interest or a dialy rate when your overdrawn.

  2. Unauthorised.
    This is where there is no agreement with the bank and there will be penalties and high interest rate charged on the account.

<- Go Back
Business Terms Home page

Search jargon and terms database to learn more:-

A  B  C  D  E  F  G  H  I  J  K  L  M  N  O  P  Q  R  S  T  U  V  W  X  Y  Z


Search Term   

Locus in quo Par delictum Routing Banking book
Rufiyaa Writ AFAIK Market equilibrium
B2B Litigation Cyberliabilities Verbatim
Ad infinitum HMAC Estimation Procedure Narrowband
Upskill Agent Macro environment Complaint
Administration AKA Council conclusions - EU Real Time
Team player Turnover Banana Problem Cestui que trust
Vexatious Litigant Buy-in Freightage Counterparty
N285 Civil Court form Trailers Executrix Domicile of dependency
HTH Ex works Banned And Restricted Goods Trademark

Term created / updated 2017-04-13 13:24:52

Knowledge is the key to success. That is why we have gone to great lengths to get you these business terms, and to explain them in Plain English so it is very easy to understand. Getting the right understanding and knowing your business jargon will keep you informed among your peers.

Copyright © 2004-2019 Scopulus Limited. All rights reserved.