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Overdraft & Drop Line OD (DOD)

Revolving Working Capital

Smart Liquidity: Pay Interest Strictly On Utilized Funds

Overdraft (OD) and Drop Line Overdraft (DOD) are versatile working capital credit limits linked to your business account. Unlike conventional term loans where interest is charged on the entire disbursed principal, with an OD limit you only pay interest on the exact amount you withdraw and for the exact duration of use.

Interest Rate

From 9.50% p.a.

Sanctioned Limit

Up to ₹10 Crore

Interest Billing

Daily Utilized Basis

Facility Type

OD & Drop Line OD

Understanding Standard OD vs Drop-Line OD (DOD)

Standard Overdraft (OD)

Offers a constant revolving credit limit renewable annually. Deposit funds anytime to reduce outstanding balance and interest; withdraw funds whenever required.

Drop-Line Overdraft (DOD)

The sanctioned withdrawal limit gradually drops each month according to a predetermined schedule, enabling systematic debt reduction without lump-sum repayment pressure.

Eligibility & Setup Documentation

Eligibility Criteria

  • Established business, traders, wholesalers, service firms
  • Minimum 2+ years of verified business turnover
  • Healthy current account turnover history

Document Checklist

  • KYC of Business & Promoters (PAN, GST, MOA/AOA)
  • 2 Years Audited Balance Sheet & P&L Statement
  • 12 Months Current Account Bank Statement
  • Collateral Property Documents (if secured OD limit)

Set Up Your Overdraft Limit Today

Minimize interest costs and maintain maximum liquidity with Hailp Loan Services.

Apply For OD / DOD Limit
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