Get Overdraft Up to ₹50 Lakhs On Demand.
Perfect flexible credit line for working capital management. Draw what you need, pay interest only on the amount used. Ideal for seasonal business needs and cash flow gaps.
800K+
Facilities Active
35+
Verified Lenders
₹8000Cr+
Approved
Overdraft Facility Key Facts (2026 Summary)
An overdraft facility provides a pre-approved revolving credit line up to ₹25 Lakhs. Unlike regular personal loans, interest is charged strictly on the amount withdrawn and the duration utilized. Zero pre-payment penalties apply on repayment.
What is an Overdraft Facility?
An overdraft is a flexible revolving credit line that lets you borrow only what you need. You pay interest exclusively on the amount drawn, not the entire limit—perfect for managing seasonal cash flow and working capital needs.
Real-Life Example
Arun owns a trading business with seasonal demand. He gets an overdraft limit of ₹20 lakhs. During busy season, he draws ₹15 lakh and pays interest only on that amount. In slow season, he repays and pays zero interest on the unused portion.
Overdraft Limit: ₹20 Lakhs
Pays Interest Only on Used Amount
Revolving Credit
Borrow, repay, and redraw as many times as needed within your approved limit. No need to reapply each time.
Pay Only What You Use
Interest charged only on the drawn amount, not the entire limit. Extra savings on unused portion of credit line.
Why Choose Cashmela for Overdraft?
India's most trusted overdraft platform connecting you with the best rates from 35+ verified lenders.
Instant Activation
Get approval in 2 minutes and credit line in your account within 24 hours.
Low Interest Rates
Starting from 10.5% p.a. on drawn amount only.
100% Digital
Apply, approve, and draw funds all online. Zero paperwork.
Flexible Tenor
Use credit line as per your business needs. No fixed tenure.
Overdraft vs Traditional Term Loan
| Features | Cashmela Overdraft | Traditional Term Loan |
|---|---|---|
| Interest Charged On | Amount Drawn Only | Full Loan Amount |
| Redraw Facility | Yes, Unlimited | No |
| Repayment Flexibility | Flexible, No Fixed EMI | Fixed EMI |
| Idling Charges | Zero if Unused | EMI Even if Unused |
Top Overdraft Interest Rates in India (2026)
Compare overdraft facility rates, limits, and processing charges across major public and private sector banks in India.
| Lender | Interest Rate (p.a.) | Max Limit | Processing Fee |
|---|---|---|---|
| CashMela Overdraft Partners | Starting at 10.50% | Up to ₹50 Lakhs | Up to 2.0% |
| HDFC Bank Overdraft | Starting at 11.25% | Up to ₹50 Lakhs | Up to 2.5% |
| ICICI Bank InstaOD | Starting at 11.50% | Up to ₹50 Lakhs | Up to 2.0% |
| State Bank of India (SBI) | Starting at 11.15% | Up to ₹20 Lakhs | Up to 1.5% |
Get Overdraft in 4 Simple Steps
From application to drawing funds—quick and completely online.
Apply Online
Share basic info and desired overdraft limit.
Get Approved
Instant approval in 2 minutes with AI verification.
Documents Upload
Submit docs digitally. Verified in 24 hours.
Draw Funds
Activate credit line. Draw as needed within 24 hours.
Overdraft Eligibility, Documents Required, and Loan Details
Eligibility
- Age Limit21 - 65 Years
- EmploymentSalaried / Business
- Monthly IncomeMin ₹40,000
- Credit ScoreMinimum 650+
Documents
- PAN & Aadhaar
- Last 6 Months Bank Statement
- Last 3 Months Salary Slips
- ID & Address Proof
Facility Terms
- Interest Rate10.5% p.a. onwards
- Maximum LimitUp to ₹50 Lakhs
- TenorRevolving
- Annual FeeNil to 0.5%
When Do You Need Overdraft?
Seasonal Business
Manage working capital during off-season without taking a full loan during peak seasons.
Cash Flow Gaps
Bridge working capital gaps between project payments and vendor requirements.
Emergency Funds
Have instant access to emergency working capital without going through lengthy approvals.
Inventory Management
Draw funds only when you need to purchase inventory. Repay and redraw during slow periods.
Overdraft Available Across 100+ Indian Cities
Frequently Asked Questions
What is an overdraft facility?
An overdraft is a flexible credit line that allows you to draw money as needed. You pay interest only on the amount drawn, not the entire limit, making it cost-effective for managing working capital.
How fast can I get an overdraft facility?
With Cashmela, you get instant approval in 2 minutes and the credit line is activated in your account within 24 hours. You can start drawing funds immediately after activation.
What is the maximum overdraft limit?
You can get up to ₹50 lakhs depending on your income, credit history, and business profile. The exact limit is determined by the lender based on underwriting assessment.
Can I redraw funds after repayment?
Yes, overdraft is a revolving credit facility. You can repay and redraw funds multiple times within your approved limit as per your business requirements.
Do I pay interest on the entire limit?
No, interest is charged only on the amount you actually draw. If you don't use the full limit, you pay zero interest on the unused portion, saving significantly on finance costs.
Access Your Overdraft Today.
Flexible credit line up to ₹50 lakhs. Pay interest only on used amount. Instant approval and fund access.
Apply for Overdraft ➔2 Minutes Approval. Zero Fees if Unused.