Maximum LTV offered under dropline overdraft in HDFC bank

One of the biggest private sector banks in India, HDFC Bank, provides a range of financial services and products to cater to the various demands of its clients. Dropline Overdraft permits the borrower to overdraw amounts up to the specified limit, with monthly withdrawals decreasing. Let’s see what the dropline overdraft interest rate is below.

What is a dropline overdraft in HDFC?

This facility at HDFC enables users to access additional funds beyond their account balance. Both salaried and self-employed individuals can use this option, giving them the flexibility to take care of their immediate financial needs. You can learn about the maximum Loan to Value (LTV) ratio available under the dropline overdraft facility from Fedrick Dsouza’s response.

Drop Line OD HDFC Bank Interest

The interest rate for HDFC Overdrafts ranges from

. Over and above the rate, additional government taxes and other fees will be assessed as needed. Only the money utilised and the period it took to use it must be paid in interest.

Customers who need money right away but don't want to sell their current assets will benefit from HDFC Bank's dropline overdraft service. But, before using this facility, you must carefully review the

. I hope this helps you.

Dropline overdraft is a method by which a borrower can overdraw funds from their current account to a certain point. However, the actual withdrawal limit of the overdraft gets decreased every month from the limit that is sanctioned. When I visited my bank, I got to learn about the maximum LTV under dropline overdraft HDFC bank there. There are however some eligibility criteria to have the dropline overdraft so let me share those now.

What are the drop line overdraft HDFC eligibility criteria?

In order to have a dropline overdraft in HDFC you must have a 

• Corporate salary account in HDFC bank

• Your account must have a consistent income of salary

• The minimum salary to avail this facility is Rs 15,000

Apart from this you will have to furnish all the documents demanded by the bank officials there.

What are the dropline overdraft facility features in HDFC?

After getting a bit idea about the dropline overdraft facility meaning, let me also share some of its features. 

• The minimum amount offered here is Rs 25,000 and goes up to Rs 1.25 lakh

• Interest rate will stay between 15% to 18% p.a

• Processing fee of Rs 1500 will be applicable along with some other charges

• Interest is based on the utilised amount from the total amount granted

• Annual renewals happen after a year

• Renewal charges of Rs 250 plus is applicable along with other charges

• There are no foreclosure charges

• The money can be withdrawn through ATM, online transfer or cheques

This is all I know about the maximum LTV under dropline overdraft HDFC bank and some other features.

You have access to a service called dropline overdrafts. It allows you to overdraw from your current accounts up to a predetermined maximum limit. I opted for this service when I was in need of money. Since consumers only pay interest while using an overdraft, it is a useful method of borrowing. So the maximum LTV offered under drop line overdraft is described below.

What is the maximum LTV under dropline overdraft?

The current condition of small dealers has been taken into consideration when developing the new programme. The maximum amount is Rs 7.5 lakh for businesses that have been open for less than 6 years. And Rs 10 lakh for those that have been operating for more than 6 years. It is according to a statement from HDFC Bank. For loans of Rs 5 lakh and beyond, the scheme gives a commission of 0.40 percent to 0.80 percent. It is together with assistance from over 600 branches and digital customer engagement.

Retailers who have been in business for at least 3 years can apply for the programme. It can be done by submitting a 6-month bank statement from any bank. As per the statements, HDFC Bank will sanction an overdraft limit ranging from Rs 50,000 to Rs 10 lakhs. When you as a retailer apply for the programme, HDFC bank won't request your income tax records, corporate financial data, or personal assurance. So now you know what is the maximum LTV offered under dropline overdraft in HDFC bank.

What is a dropline overdraft concept?

You as a borrower can overdraw money from your current account with a dropline overdraft up to a predetermined limit. But the practical withdrawal limit of the overdraft decreases each month from the approved maximum.

So, up to a specific amount, a borrower may withdraw more money than is really in their account. However, the maximum permitted overdraft limit will drop each month. Only the borrowed amount is subject to interest, the total overdraft limit is not. You can deposit the money back into the account at any time to lower the remaining balance.

So the maximum LTV offered under drop line overdraft is now clear to you.