Belarusbank overdraft on salary card conditions. What is an overdraft: why is it needed and how to use it correctly

Almost every person has faced the problem of not having enough money to make a purchase. In such a situation, you can ask for a loan from friends, relatives, or borrow money from the bank for a very short period.

Definition

An overdraft is a loan issued by a bank to replenish an individual’s account. Its main difference from a consumer loan is that it can be renewed multiple times during the term of the contract. In addition, the loan must be repaid at least once a month, and interest is calculated on the entire amount of the debt.

What does a potential borrower need to know?

An overdraft is a revolving line of credit. Provided that the debt is repaid on time, the funds can be used an unlimited number of times. This is very convenient for clients who value their time and cannot apply for a new loan every time.

Such a loan costs much less than “payday money”, which is provided today by microfinance organizations.

The interest rate in all banks is floating. It depends on the client's income level.

Overdraft can be not only officially issued, but also technical. In the second case, a negative account balance may occur after converting funds or withdrawing cash from an ATM with a large commission amount. In the event of a technical overdraft, the bank provides 35 days to repay the debt. Otherwise, penalties will be applied to the client.

In case of untimely receipt of income on the card for any reason, sanctions will be applied to the client in the form of an increase in commission or a decrease in the limit.

Lending institutions also charge fees for withdrawing funds from any ATM.

For some time now, it has become a practice to sell an overdraft at the same time as registration. This may come as a big surprise to many quitting employees. Indeed, in case of delay in transferring income, penalties will be applied to the client.

Peculiarities

Overdraft is issued only to existing clients of the credit institution. Funds are transferred to an open account. Most often, a salary card is used for this purpose. This account is replenished twice a month, and funds can be used an unlimited number of times. The funds limit is set by the bank based on the client’s income level. If your own funds on the card are not enough to make a purchase, then the overdraft service is automatically activated. That is, the client will be able to pay for the purchase with his salary card, but at the expense of borrowed funds.

An overdraft is the same loan on which interest is charged. That is, the client will still have to return the principal amount and accrued commission to the bank. Unlike a regular loan, the loan is repaid immediately after funds are transferred to the account, and a commission is charged on the amount of money used. If, for example, a client received a loan in the amount of 100,000 BYN, but used only 10,000 BYN, then interest will only accrue on this amount until the debt is repaid.

Today we’ll talk about how to get an overdraft at Belarusbank.

How to apply?

An application for an overdraft from Belarusbank can be submitted directly on the credit institution’s website in the section of the same name. To fill out an application for a loan through Internet banking, just go to the “Additional services” section of the “Accounts” menu. In M-banking, the corresponding menu item is located in the “Services” section. You can also submit an application by contacting one of the branches of OJSC Belarusbank.

An overdraft on a salary card is provided based on the calculated limit. The latter depends on the level of monthly income and cannot exceed 200 basic units. The completed application goes to the credit department of the bank at the place where the account (card) was opened.

Employees of the same department will inform the client about the results of the preliminary decision via SMS or in any other way chosen by him. If the application is approved, the client will be invited to the office to provide the originals of the submitted documents and sign the contract.

Belarusbank issues an overdraft if you have a passport and a certificate of income for the last two quarters.

Conditions

OJSC Belarusbank provides loans for salary cards under two programs, which differ in limits, terms and fees:

1. Maturity once per quarter. Overdraft "Belarusbank" provides for a year in the amount of twice the monthly income for the last six months. Interest rate = SR + 9 p.p. (as of 11/01/16- 29%). The validity period of the loan cannot exceed the validity period of the card accounts.

2. With a repayment period of once every six months. Overdraft "Belarusbank" provides for a year in the amount of 400% of the monthly average income for the last six months. Interest rate = SR + 10 p.p. (as of 11/01/16- thirty%). The validity period of the loan cannot exceed the validity period of the card accounts. This service is not provided to clients whose work experience was less than 1 year at their last place of work.

The previously existing program with a monthly repayment period from 08/01/16 was closed.

Potential borrowers must meet the following requirements:

• be listed as individuals or individual entrepreneurs;
• have an impeccable credit history in the past;
• have a bank account through which transactions have been carried out over the past three months.

How to use Belarusbank overdraft?

By signing up for this service, the client will be able to pay bills with borrowed funds from his card. The plastic holder himself determines when, in what volume and on what to spend the overdraft. Belarusbank charges interest only on the actual amount of debt. If a client has signed up for a service but does not use it, then he will not pay a commission. Overdraft is activated automatically when the client pays an invoice whose amount exceeds the balance of his own funds. Loan repayment is also carried out automatically after income is credited to the account.

Credit vs Overdraft

At its core, an overdraft is very similar to a consumer loan, which is provided on cards. The loan amount in both cases depends on the salary level. However, the maximum loan amount is higher than for an overdraft from Belarusbank. Interest on cash withdrawals from the account is 4%. The rates for using funds are the same in both cases. However, when applying for a loan, interest is charged on the entire amount of the outstanding debt. No collateral or guarantee is required to apply for an overdraft at Belarusbank.

Customer Reviews

The main advantage is ease of use. To apply for a loan, simply submit an application online. If the client already has a salary card, then there is no need to provide a certificate of income. After preliminary confirmation of the application, the bank manager will contact the client to set a time and place for a meeting with a branch employee. Already at the office of the credit institution, the client will be given a loan agreement for signature. After this, you can use the overdraft an unlimited number of times.

Debt repayment is carried out automatically after replenishing the account. On the one hand, the client does not have to look for an ATM or terminal to pay the next installment. On the other hand, in case of overdue debt, the account will be blocked until the loan is fully repaid. In addition, the bank may apply other penalties in the form of lowering the limit and increasing the rate. The disadvantages of an overdraft also include a small credit limit and short contract terms (from 3 to 12 months).

Other options

Having examined in detail the conditions under which you can apply for card loans at Belarusbank, we will study other offers.

Market rates for servicing such loans range from 33-48%. At the same time, clients have to pay 34-42% for a consumer loan.

The lowest rate on the market is offered by BelVED Bank. The “Spare Pennies” loan has a commission of 33%. For using a similar product, clients of Fransabank and Zepter Bank pay 39%, Technobank and Priorbank - 40%, BNB-Bank, Bank Moscow - 42%. Overdraft is the most expensive for VTB Bank clients - 47%. At the same time, many financial institutions provide a grace period of 10-30 calendar days, during which interest on the loan is charged at a rate of 0.0001%.

Free withdrawal of funds from the account is provided only with MTBank, RRB-Bank, and Bank Moscow cards. A similar operation in Zepter Bank is charged at a rate of 2.5%, in Technobank - 3-5%, depending on the tariff plan.

Alfa-Bank provides a similar service only to salary card holders. The limit amount is 300% of the average monthly income. The interest rate increases with the length of the loan. When withdrawing funds from the account, a 2% commission is charged.

« Belagroprombank» also offers its clients two programs to choose from. For the first 90 days from the date of signing the agreement, overdraft is provided at 10% per annum. From 91 days the rate of 13% begins to apply. Exceptions include salary project participants and employees of agricultural enterprises. Overdraft is provided to such clients at 12.5% ​​per annum. The initial loan amount is limited to BYN 5,000, and the maximum is 200,000 BYN. The application is reviewed within two days. Funds are transferred to the card that monthly income is received: salary, profit from business activities, pension.

"Belarusbank" provides credits to cards based on income level, but at "BSP-Sberbank" the first overdraft can be obtained for a maximum amount of 10,000 BYN at 16%. The application is reviewed within two working days. You can repay the loan within a year from the date of debt formation. Not only citizens of the Republic of Belarus, but also stateless persons who have a permanent source of income can receive an overdraft.

Conclusion

Overdraft is a good way to get borrowed funds in an emergency, but you need to use this service very carefully. It's even better to activate it only when absolutely necessary. Overdraft is addictive. First, the client takes out borrowed funds “for important needs,” but after a couple of months he can no longer stop, since the limit amount is constantly increasing, and the proceeds are not enough to fully repay the debt.

You can get borrowed funds for current expenses by applying for a credit card or consumer loan. Belarusbank clients do not need to enter into new agreements and pay extra fees; they just need to connect the Belarusbank overdraft to their debit card and use borrowed funds at their own discretion.

What is overdraft and how it works

Overdraft involves short-term lending within the limit established by the bank. For private clients, the service is connected to a debit bank card, as a result, the user receives two banking products in one payment instrument - a card for receiving payments, which receives regular receipts, and a credit card.

Borrowed funds are written off when your own money on plastic runs out. When funds are first received into the account, the credit limit is first restored, which can be used again.

Interest is calculated on the amount of loan funds spent by the client. Belarusbank does not provide additional fees for connecting an overdraft. If the client does not use the overdraft established by the bank, no fees or interest will be charged.

Features of overdraft at Belarusbank

The credit institution offers cards with overdraft lending already connected, for example, the Magnit installment card, on which borrowed funds can be used without interest, and cashback is credited for purchases using your own funds. You can set a credit limit for other payment instruments if there are regular deposits into your account.

Belarusbank clients use an overdraft on a salary card and on payment instruments to receive pensions, benefits, scholarships or alimony.

If the client does not receive regular credits to the card account, but has a deposit with Belarusbank, the credit institution can activate an overdraft as part of the “Free Choice” service, in which case the credit limit will be up to 50% of the deposit with the bank.

Conditions for providing an overdraft at Belarusbank

For clients who wish to connect a credit line to a debit card, Belarusbank offers the following conditions:

For late payment, sanctions are provided, which consist of a fine of 10% per annum and a penalty for late payment of the loan.

The overdraft limit is valid for the period the card is used. Guarantors and other security for the credit limit are not required.

The “overdraft” service is not provided for the BELKART “Agrarnaya” card, for accounts opened in foreign currency, and for non-residents of the country.

What is required to obtain an overdraft

Citizens of the Republic of Belarus who have a source of income and permanently reside in the country can apply for a credit limit for a personal debit card.

To obtain an overdraft, Belarusbank requires the following package of documents:

• Applicant's passport;
• Certificate of income for the last three months or bank account statement;
• The client’s consent to provide reports (credit history) from the National Bank of the Republic of Belarus or independently provide a credit history from the National Bank of the Republic of Belarus;
• Consent to the processing of personal data.

All certificates are valid for 30 days from the date of issue.

Documents are submitted to the Belarusbank office along with an application for the provision of services.

How to apply for an overdraft at Belarusbank

The basis for considering the possibility of connecting a credit limit to a debit card is the client’s application form.

You can submit your application in the following ways:

• At the branch of the credit institution where the debit card was opened;
• Using Belarusbank self-service devices;
• On the official website of the financial company or via the link https://belarusbank.by/ru/fizicheskim_licam/cards/uslugi/overdraft;
• Through your personal account in the system;
• In the mobile application;
• Call customer support at 147.

Based on the questionnaire submitted remotely, the bank makes a preliminary decision, announces it to the client and asks to bring a package of documents to the Belarusbank office.

Via mobile banking

In the mobile application, to apply for an overdraft, you need to complete six steps:

Primary identification occurs by the owner’s card number; if the preliminary decision is positive, a package of documents can be collected.

Using Internet banking

In the personal account on the Belarusbank website, the user can submit an application to connect the service, for this it is necessary:

If the decision is positive, the employee will contact the client and inform about the date and time for providing the original documents.

Overdraft for Velvet card

For pensioners in Belarus, the credit institution offers a range of banking products within the “Velvet” club. Along with loans at a preferential rate, deposits with increased interest and cashback, owners of BELKART-Maestro Velkhat can apply for an overdraft to their debit card.

Before taking out an overdraft from Belarusbank on a pension card, you must fill out an application to transfer your pension to a plastic account. After three months from the date of the first receipts, you can apply for a credit limit.

In the online form, you must indicate the first 9 digits of the Velvet card number; the system will automatically determine the owner, set the amount and conditions of the overdraft.

How to use overdraft

The Bank does not impose restrictions on the intended use of borrowed funds. When the credit limit becomes available, the owner of the plastic card decides for himself what purposes to spend the money on.

When requesting a balance, the total amount of available funds is reflected, so the established overdraft amount must be taken into account when planning financial expenses.

The client must repay the overdraft in full plus interest on it by a certain date specified in the agreement. The minimum period during which you can use the limit is 90 days. The bank informs borrowers via SMS about the amount and date of repayment.

The funds received as payment for the overdraft can be used again, with the exception of the amount of interest that the client pays to the bank.

For the Magnit installment card, the overdraft repayment period depends on which retail outlet the purchases were made at; in any case, if the limit is restored within one month, no interest is accrued.

Pros and cons of overdraft lending

Based on customer reviews about overdraft at Belarusbank, the following can be distinguished:

Benefits of using a credit limit on a debit card:

• Overdraft is linked to a valid card, so there are no additional fees for opening new banking products;
• Rewards are accrued only for funds used; if you do not use the limit, there will be no payment.
• The loan term is limited by the validity period of the card;
• After the limit is restored, the credit money can be spent again.
• There are no restrictions on the intended use of funds.
• Fast registration, a minimum package of documents and the absence of collateral or guarantees.

The negative aspects of connecting short-term borrowing include:

• A small credit limit, which depends on monthly receipts into the account;
• The need to repay the entire loan amount within a minimum period;
• When using credit funds, cashback is not awarded for purchases.

Conclusion

For clients wishing to use borrowed funds in small quantities, an overdraft on a debit card is best suited. Before connecting, you need to find out what a revolving credit limit is and how it works, after which planning your personal budget will become much easier.

Hello, friends!

We continue to improve our financial literacy and at the same time improve our English. Today the foreign term “overdraft” is next in line. Let's find out its meaning, learn to understand and not be afraid.

The number of bank card users is growing every year. Among them are students, pensioners, and even children. Why? It's convenient, practical and safe compared to a wad of money or a mountain of coins in your wallet. We are increasingly using bank cards to receive earned money, make transfers, withdraw cash and pay for goods and services in stores and on the Internet.

Banks are trying to support our desire to use credit cards. After all, solvent clients are the main source of profit and the raison d’être of the financial and credit organization itself. Banks compete with each other, lure us with new banking products and make offers that are difficult to refuse.

We have already dealt with the concept, types and conditions of using debit and credit cards. We learned what, for example, cashback and overdraft are. It is the latter that I want to dwell on in more detail today. Not everyone likes to use credit, but not everyone suspects that they can become a debtor to the bank even without borrowed money. How is this possible? Let's figure it out.

What does the term “overdraft” mean?

The foreign word “overdraft” translated from English means “overspending”, “excess of credit”. We see the familiar word credit, so we think that it applies only to those who like to live on credit. This is not entirely true. An ardent opponent of other people's money can also encounter an overdraft. Reading reviews from bank card holders, I was convinced of this. But first things first.

An overdraft is a short-term loan that is provided by a bank under a bank account agreement to cardholders (usually salary cards). For example, when you do not have enough personal funds to purchase any goods, the bank will be happy to provide the missing amount. But under certain conditions, of course.

The Civil Code of the Russian Federation (Article 850) indicates that if a bank makes payments from a client’s account when there is no money on it, then it thereby gives him a loan with all the ensuing consequences. The loan is issued for a certain period and is not free. This also applies to overdraft.

This raises fair questions: “Do I need an overdraft?”, “How to connect?” and “How is it extinguished?” The answers to them depend on its type and the bank providing this service.

Kinds

There are:

1. allowed,
2. unauthorized (technical) overdraft.

Let's look at them in more detail.

Permitted overdraft

An authorized overdraft is activated upon the personal application of the cardholder. It is provided within the limit set by the bank and at a certain percentage. These conditions differ not only between different banks, but also among different clients of the same financial institution.

Overdraft limit– this is the amount that a bank client can have if there is a lack of own money in the account. It is calculated for a specific person, based on the amount of funds that pass through his card, his credit history and some other factors.

Bank interest rates also vary. For example, Sberbank has established the following:

• 20% within the cash limit,
• 40% – fee for late repayment,
• 40% is a fee for exceeding the limit, but only by the amount of this excess.

Attention! Sberbank does not connect the overdraft service to all cards, but only to debit (salary) cards. But, for example, if you are the owner of “MIR Classic”, “MIR Gold”, “MIR Premium”, then an overdraft limit is not provided. The full list can be found on the bank's website.

In my article about I dwelt in more detail on the issues of tariffs, conditions for receiving and using them. If you haven't read it yet, catch up.

The following conditions apply at Tinkoff Bank:

1. The service is activated at the initiative of the bank and with the consent of the cardholder.
2. If you borrowed no more than RUB 3,000 from the bank, there will be no overdraft fee (provided you repay on time within 25 days).
3. If the loan amount was from 3,000 to 10,000 rubles, then the bank will take 19 rubles. in a day.
4. From 10,000 to 25,000 – 39 rubles. in a day.
5. Over 25,000 – 59 rub. in a day.
6. The fine for late repayment is 990 rubles.

These conditions apply to debit cards; for credit cards, only a technical overdraft is possible.

Read about the terms of use and pitfalls in my article. It can be very useful. Especially if you are on the way to choosing the optimal means of payment.

Unauthorized overdraft

An unauthorized or technical overdraft can occur even if you have never taken out a loan. And this often becomes an unpleasant surprise, which results not only in the occurrence of debt, but also in the accrual of interest and fines for non-payment. To avoid this, you need to know the common causes of debt:

1. Exchange difference. This case may arise when you pay with a ruble card abroad. Due to the nature of the banking system, funds from the account are debited after a few days. If during this period the exchange rate has changed sharply, then you can go into the red if there are insufficient funds on the card.
2. Payment of mandatory payments. For example, bank commissions.
   I will comment on this case using my own example: once a year, in May, a service fee of 450 rubles is automatically deducted from my card. I usually withdraw from the card all the money received on it. Result: in May I went into minus by 450 rubles, i.e. a technical overdraft occurred.
3. Technical error of the bank. For example, a double deposited amount or, conversely, withdrawal of the same amount 2 times. The bank notices the error and corrects it. But the client may not have money in his account, so again it’s a minus.

Avoiding technical overdraft is easy. He who is forewarned is forearmed. If we know about the potential possibility of going into the red, then it is enough to keep a minimum reserve of money on the card or constantly monitor the account status in order to pay off the debt on time. Banks often provide a grace period (usually a month), during which we can repay the entire amount of the debt without interest.

Connection conditions

Let me remind you that overdraft is activated with the client’s consent. Sometimes this service is automatically included in the bank account agreement. Therefore, I never tire of repeating that we carefully read all the documents and ask about any ambiguities. There is a signature in the agreement - it means that we agreed with all the bank’s requirements.

The conditions for connecting to an overdraft service in banks are different, but here is an approximate list of documents that may be needed:

1. Application for connection.
2. Borrower's questionnaire on bank letterhead.
3. Passport.
4. Another document confirming your identity (for example, SNILS, Taxpayer Identification Number, driver’s license).
5. Certificate of income (not all banks require).

As you can see, the set of documents is minimal.

Since the bank agrees to share its money with us, it is understandable that it makes certain demands on potential borrowers. Among them may be:

1. Having a permanent residence permit and living in an area served by the bank.
2. Having a permanent job and work experience.
3. Having an account through which funds regularly flow.
4. Clean credit history.

This is why overdraft is actively connected to salary cards. Often banks themselves call the client and offer this service. Here it would be appropriate to explain how a debit card differs from an overdraft card.

Remember! When you pay with a debit card, you control only your money. And not a penny more. If you have activated an overdraft service, you can borrow the missing amount from the bank. But this is no longer yours, but someone else’s money that needs to be returned.

An overdraft is a short-term loan. Its terms vary from 6 months to 1 year. During this time, you may lose or change your job, move, etc. Therefore, banks require that the contract be renegotiated periodically. This way they reduce the risk of non-return of the money provided to you.

How does an overdraft work: differences from a loan

This service works exactly the same as any loan. I borrowed money, which means that after some time I have to pay it back and pay interest for using someone else’s money.

Although an overdraft is a type of consumer loan, there are still differences between them.

The advantages of overdraft, or what it gives to a competent user

Traditionally, I will consider all the advantages and disadvantages of a card with an overdraft.

Advantages:

1. This is a non-targeted loan, so you can spend it on anything.
2. The amount is constantly renewed. There is no need to go to the bank and apply for a new loan. The main thing is to repay on time.
3. There is no collateral or guarantors.
4. Interest is charged only on the amount you borrowed, not on the entire available limit. If you do not use an overdraft at all, then no interest is charged.
5. You can use the money at any time, regardless of bank opening hours.
6. You can cancel the service at any time.

And, of course, the disadvantages:

1. With all the availability of money, we must not forget that this is a loan. Repayment is mandatory and inevitable.
2. Interest is accrued daily, and the amount is repaid in one payment, automatically when money is received into the account.
3. You have to renew the contract often (usually once a year).
4. Credit limit (usually does not exceed monthly account inflows).
5. High interest rates on loans. In this way, the bank compensates for its risks.
6. The ability to go into a technical overdraft without knowing it.
7. There is a great temptation to get carried away with easily accessible money and lose control over expenses.

How to disable overdraft

To refuse this service, just write a statement about it. The contract will be terminated if there is no debt to the bank.

Please note that if you change jobs, it is not enough to simply throw away your previous employer's salary card. Contact the bank or check yourself to see if there is any debt. Otherwise, you may receive an unpleasant surprise in the form of accrued interest and penalties for late repayment of the debt.

Some banks practice the impossibility of disabling overdraft. This must be included in the contract. In this case, when concluding it, you can specify a zero limit on receiving money.

Conclusion

Everyone chooses for himself what kind of money he will live on, his own or borrowed. There is no need to be afraid of overdraft, but you need to understand how to use it so as not to drive yourself into a debt trap. Keep your finger on the pulse of your finances at all times. Then you will be able to afford a little more than you currently have. Agree, this is sometimes vitally necessary.

I would be glad if you supplement the article with your thoughts on this matter in the comments. Or maybe you have interesting cases from your life? They will give readers the necessary experience and provide invaluable assistance.

Is overdraft a useful financial instrument or a way for a bank to “get a client hooked” on its services and give them a start in consuming more “heavy” banking products?

“Both useful glucose and heroin can drip from the end of the needle.

Both affect health.”

Overdraft, overdraft - how much is combined in this word for the buyer, here you have money, which is always missing, and the belief that your salary will cover the bank loan, and you will not be subject to bank penalties.

But is this really a useful financial instrument or is it a bank’s way of quietly hooking a client on its services and giving them a start in consuming more “heavy” banking products? First, let's figure out what an overdraft is and how it works.

What is an overdraft for individuals

Overdraft is a banking product that adds a certain limit of bank funds to your card account (the amount of which is agreed upon when concluding the agreement). If you do not have enough money when paying for goods, then you get access to the funds provided by the bank.

For using an overdraft, the bank charges a fee in the form of a percentage of the loan amount. The agreement stipulates the period (in most cases this is the first day of the next month after the use of bank funds) when the principal debt and interest must be repaid. If before this time the principal debt or interest is not repaid, then penalties will be applied to the borrower. Basically, this is an increased percentage of the principal debt and remuneration.

Types of overdrafts

Unlike a loan, an overdraft has shorter repayment terms: one, two, three, six and 12 months.

According to the limit, it can be fixed - 10 basic units, if you have been working for less than three months, and also if there is no document confirming your average monthly income for three months. A percentage (from 50 to 600%) of the average monthly income can be set. Nowadays, it is most common for banks to set a limit of 1 to 3 salaries. There are also maximum restrictions on the amount of the limit, for example up to €3,000, but you can apply for a maximum limit if you have full confidence in the bank (positive credit history, are a VIP client, etc.).

Security

Guarantors act as collateral: an individual or legal entity (for example, your employer). As well as a penalty, when, if the debt on the principal or interest is not repaid on time, various types of penalties are triggered. Late payment of debt creates a negative imprint on the credit history of the cardholder.

How to apply for an overdraft

Banks mainly practice placing an overdraft on salary cards; this ensures timely repayment of debt by writing off the required amount from wages. You just need to contact the branch of the banking organization that services your salary card with a request for an overdraft. If you have a long work history and a good credit history, then it is quite possible that bank employees may offer to issue an overdraft on your salary card. It is enough to have a passport and a certificate of the average monthly salary for three months. Typically, the decision to provide an overdraft is made within 2-5 business days. When choosing a limit, the applicant’s salary, work experience and credit history are taken into account. You can also increase your limit over time, but some banks charge a fee for this service.

How does overdraft work?

Demyan Petrovich Loshadkin set up an overdraft on his work card, just in case. With his salary being 800 rubles, he was offered a limit of 1,600 rubles. (two of his salaries).

Debt repayment period is 4 months. The overdraft rate is 27% per annum.

Soon he had the opportunity to use the overdraft. Demyan Petrovich decided to buy himself a new mobile phone, costing 1,200 rubles.

Theoretically, debt repayment within four months would look like this:

Having taken out an overdraft of 1,600, Demyan Petrovich Loshadkin must repay the principal debt of 1,200 rubles plus interest of 27 rubles.

The main difference between an overdraft and other banking products is that the principal and interest are written off from your salary. Therefore, the amount of principal and interest debt should not exceed a month’s salary.

The actual overdraft repayment table will look like this.

As soon as the employer transfers the salary to Demyan Petrovich’s card, his entire debt is extinguished. But at the same time, he remains without a means of subsistence, since his entire salary was spent on repaying the overdraft and he will need to take out a loan again.

At first glance, a very convenient banking product:

1. To receive a card, you must have a bank account and provide a minimum of documents;
2. The principal and interest debt are written off upon receipt of salary;
3. Interest is charged only on the loan, and not on the entire purchase amount;
4. It is enough to pay the principal and interest for use and you can use the overdraft again;
5. Low interest rates for using the product.

But like every coin there is a flip side to overdraft:

1. Limit amounts are strictly limited because they are tied to salary;
2. Terms for payment of debt are limited within 1-12 months;
3. Penalties for late repayment of debt (delayed wages) can be very “painful”;
4. Gradually getting used to the fact that you have extra money that you can spend if you don't have enough money does not contribute to saving.

The last point is very important, because instead of refusing an expensive purchase, wisely deciding that it is better to save money, you use bank funds, for which you will have to pay interest for use. If the overdraft debt completely covers your salary, you will have to use the limit again, and so on ad infinitum.

Let's consider the conditions that Belarusian banks offer for issuing an overdraft on salary cards.

Bank's name

Annual % rate

Repayment term, months

Limit amount

The most favorable offer in terms of interest rate and limit is offered by Belagroprombank - 26% per annum.

Belarusbank uses the most lenient penalties for defaulters - 54% per annum of the total amount for each day of delay.

If the balance on the card is negative, almost all banks stop providing services, so it is impossible to go into the negative. The only thing that can happen is a technical minus (for example, if there is 0 balance on the card and the bank has withdrawn money in advance for using the card), in this case no penalties will be imposed.

The only bank that can have a negative balance is Belarusbank; penalties for an outstanding loan are seriously tightened: 1 month increased interest on the principal debt 40.7% per annum + interest on remuneration (0.5 * 27%). The overall percentage is 54%. For the second and subsequent months 54%+(1*27%)=81% per annum.

None of the banks charge a commission for cashing out overdraft funds if you withdraw money from an ATM of a bank or a partner bank.

We decided to find out the opinion of overdraft users on this product.

Larisa - sales manager

- I’ve been using overdraft for a long time, about seven years. I have an Alfa-Bank salary card. I used to work at Priorbank, and when I changed jobs, I changed banks. Previously there was a limit of five million rubles, now it is one and a half million. The loan repayment period is 12 months. I use overdraft all the time, as soon as the salary on the card runs out. I don’t feel dependent on an overdraft and I don’t intend to use other banking products. I don’t want to increase the limit yet. An overdraft has no negative qualities, only positive aspects: money just in case, low interest on the loan.

Ivan - mechanic

- I have been using Priorbank’s overdraft facility for many years. I don’t remember how long, from the moment I got a job at the plant. Always helps out when the money on the card runs out. I don't know anything about fines. I always pay in advance. Convenient: received a salary, paid it back and can take it again. I want to increase the limit to 500 rubles. I recently purchased a front wing for a car, so the limit helped me a lot, otherwise I wouldn’t have had enough money. True, I feel that if I refuse it, I will initially feel inconvenience, just like when you lose your mobile phone.

The decision to sign up for an overdraft or not is yours, but you should remember the popular saying:

“You take someone else’s, but you always give back your own!”

Overdraft is a short-term type of lending that Belarusbank offers to card account holders. Overdraft can be used by clients who have current or deposit accounts with this bank, or who receive regular income.

Overdraft at Belarusbank makes it possible to make payments if there are insufficient funds on the card account. At the same time, the card holder himself determines at what moments and in what amount he needs the provision of such a service.

Types of overdraft at Belarusbank

The bank provides three types of lending in the form of overdraft:

1. With a monthly repayment period - a limit is set not exceeding the amount of monthly income calculated for the previous 3 months, at 19% per annum;

2. With a repayment period of three months – a limit is provided for one year up to 200% of the monthly income for the past 6 months, at 19.5% per annum;

3. With a repayment period of six months - the limit is provided for a year and can amount to up to 400% of monthly income for the past 6 months, at 20% per annum.

Terms of use of overdraft

To apply for an overdraft service, the card account holder must first enter into an agreement with Belarusbank. The following documents are required:

• passport, identification code;
• certificates of income for the last three months or statements of income from the card account.

The requirements for the client to obtain an overdraft loan are simple - age between 21-60 years and work experience at the last place of work for at least 3 months.

Advantages and disadvantages of overdraft

Overdraft advantages:

• the interest rate on an overdraft is accrued only for the amount actually used, and coverage of both the loan itself and the accrued interest on it is made automatically when funds are credited to the account;
• the overdraft can be used repeatedly, subject to its repayment;
• An overdraft at Belarusbank has no intended purpose and is issued non-cash (invoice, transfer).

Disadvantages of overdraft:

• strict linking of the limit to salary, which means small (compared to consumer loans) loan amounts;
• short-term repayment (3-12 months).

If the overdraft is not repaid on time, Belarusbank applies penalties, which may include: termination of the overdraft, an increase in the annual interest rate, and a decrease in the limit level. Early repayment of the overdraft is also possible.