OVERDRAFT - fast credits for current business needs

Demir Bank offers to Corporate and SME customers short-term credits, allowing the customer to withdraw and/or make payments within credit limit, exceeding the available current account balance as a result giving the account a negative balance – overdraft

Advantages of overdraft:

  • provision of continuous payments in conditions of temporary insufficiency of funds on current account
  • automatic opening (without provision of written application) and closing (also without written application) of overdraft in case of funds need or incoming of funds respectively
  • possibility to use overdraft partially within the established limit
  • overdraft limit is renewed automatically every time upon outstanding repayment, in other words overdraft can be used many times
  • no penalty is applied for earlier repayment of principal amount

Credit line (limit) with overdraft option can be established on the following conditions:

  • Active current account with DKIB - minimum 6 months
  • Credit line currency - Kyrgyz Soms or USD
  • Purpose - related to business activity (for production and commercial purposes)
  • Term of credit limit - 12 months with further prolongation
  • Term of overdraft (within credit limit) -upon receipt of funds to current account, but no more than 3 months
  • Periodicity of interest repayment - on a monthly basis for actual number of days of used credit (360/fact)
  • Periodicity of principal amount repayment - automatic payment on the day of funds receipt on account
  • Interest rate is established depending on amount, term of the credit and pledge
  • Effective interest rate is calculated based on established interest rate and commissions, related with the credit
  • Pledge - movable and immovable property, personal guarantee, corporate guarantee
  • Penalty for earlier credit repayment – no
  • Insurance of pledge items - required