Secured Over Draft (SOD)

SOD (Secured Overdraft) is a continuous credit limit allowed favoring business entity, individual, against financial obligations (FDR, and different Scheme Deposits of our Bank).

Features

• This is a continuous loan.
• Continuous drawing and adjustment is possible.
• Any branch transaction is allowed.

• Validity of the limit may be one year or less. . It may be renewed for further period at the request of the customer but at bank's own discretion.

• Rate of interest: Usually based on the interest rate allowed to the underlying financial obligation.

Primary security: Lien on underlying financial obligations