A limit you draw from when cash runs short. Withdraw, repay and withdraw again, and pay interest only on the amount you use, for the days you use it.
At a glance
A limit you draw from when cash runs short. Withdraw, repay and withdraw again, and pay interest only on what you use. Available as Flexi OD or Dropline OD.
Best for working capital, seasonal stock and bridging delayed receivables.
Two ways to draw
Both give you a reusable limit with interest only on what you draw. They differ in how the limit behaves over the tenure.
The lender sanctions a limit. You withdraw what you need, repay when cash comes in and withdraw again. Interest is charged only on the amount you use and only for the days you use it.
Ideal when your cash needs rise and fall through the month or season.
The limit steps down on a fixed schedule, so the line is gradually repaid over the tenure: the flexibility of an overdraft with the discipline of a term loan.
Check the lender's Key Fact Statement for renewal fees or charges on unused limits.
What it's for
Pick an overdraft for recurring working-capital needs: stock, supplier payments or gaps while you wait to get paid.
Stage 01
Bridge delayed payments and pay suppliers on time, every time.
Business overdraftStage 02
Buy inventory in bulk before peak demand and negotiate better prices.
Overdraft or term loanHow it works
Verify your mobile number and tell us how much you need.
Share required business documents like ITR and bank statements.
Your application is assessed by lenders, and you get the best offers from our lending partners.
100% paperless process. Once approved by the lending partners, you receive the funds directly in your business bank account.
Eligibility
FAQs
Pick a term loan for a one-time need like machinery or expansion. Pick an overdraft for recurring working-capital needs, since you pay interest only on what you draw.
Rates range from 14% to 22% p.a. depending on your business profile. A processing fee of 2% and insurance of 1% of the loan amount apply. All charges appear in your offer before you sign.
Once your documents are complete, you typically hear back within 24–48 hours.
MSME manufacturers, distributors, traders, retailers and service businesses with ₹1 Cr or more in annual banking turnover and at least 2 years in business.
Paisanow is a loan distribution partner. Loans are sanctioned and disbursed by RBI-regulated banks and NBFCs at their sole discretion.
Apply in 2 minutes. Collateral-free funding up to ₹2 Cr, with a decision in 24–48 hours.
