We would be happy to make you an offer for a current account credit or inform you about many other options for corporate financing
General information on the current account credit. With a loan, it is usually the case that you get money from the bank into the account and can then use it. However, it is different with some loans: Here, a credit line is granted on the account in order to be able to overdraw the account for a certain amount. The current account credit is an example of this. The current account credit means that a credit line is agreed on the borrower’s account, which the borrower can then use. Overdraft facilities are also known as overdraft facilities.
What is a current account credit?
A current account credit basically defines two types of credit lines: overdraft facility and overdraft facility. If you get to the bottom of the name of the current account credit, it means nothing else that a credit is made available on the current account, ie the current account. A current account credit is very flexible when it comes to using it. Many prefer the overdraft facility over other types of credit, because the overdraft facility is not a fixed amount but, as I said, a credit line that has been agreed with the lender. The flexibility of the overdraft facility is in particular that the borrower can decide for himself whether he wants to use the credit line at all and if so how much of it he needs now. For this reason, many opt for a current account credit.
Current account credit: An extremely flexible loan
However, the flexibility of the overdraft facility has no end here – moreover, that you can decide on the loan amount yourself, the overdraft facility still offers flexibility in terms of time: A overdraft facility usually has no time limit and can be used whenever you want. Private customers always use a current account credit if it is an overdraft facility. As mentioned, the overdraft facility is the other variant of the overdraft facility. However, the overdraft is usually limited in time and the credit line is canceled or reduced after an agreed time. For example, a credit line of several thousand dollars is granted to the borrower over a few months. However, it must be said that the overdraft facility is a very expensive loan, even for business customers.
Current account credit: An extremely expensive loan
It is not uncommon for a current account credit to pay up to 13 percent interest. If you use the full credit limit for the overdraft facility, you can get a lot of interest here, especially if you take your time to repay the loan. However, the current account credit offers a small advantage over the installment loan. With the current account credit, it is now the case that interest is only incurred for the amount claimed. If you now take out an installment loan of 5000 dollars, but ultimately only need 3000 dollars, you still have to pay interest for the full loan number. Business customers also use the overdraft facility quite often – however, it is usually possible to negotiate individually with the banks regarding the interest rate on the overdraft facility. Ultimately, however,