New Delhi: Banking major ICICI Bank has launched an instant overdraft facility for the Micro, Small and Medium Enterprises (MSME) customers. The new system is implemented in a completely online and paperless method.
Named as 'InstaOD', this offering in the Indian banking industry allows a few lakhs of pre-qualified current account customers of the bank to instantly avail the facility without visiting a branch and submitting physical documents.
This facility significantly improves customers' convenience, as they get an overdraft facility up to Rs. 15 lakh for a year anytime, anywhere, using the bank's internet and mobile banking app. The application procedure incorporates an additional level of authentication in order to make the security of the process robust.
ICICI Bank will also offer a facility of instant online sanction of an overdraft facility to MSME customers of other banks shortly.
"The introduction of 'InstaOD' is an outcome of this vision. We believe that this first-of-a-kind proposition offers a unique experience to our customers. With the Indian economy on the upswing, this convenient overdraft facility will enable the MSME companies to expand their business with ease. We plan to shortly introduce a facility of instant online sanction for an overdraft facility for MSME customers of other banks as well," said ICICIBank executive board, Anup Bagchi.
To apply, customers can log-in through their Corporate Internet Banking (CIB) account or iBizz mobile application for businesses or directly from the bank's website, where they will get an option of availing an overdraft facility. They can select the limit required, and confirm their details on a pre-populated personal information page.