Overdraft
An overdraft is a facility for short-term financing requirements.
- This facility can be drawn with cheque or other funds debit methods whenever you require it. No prior notice to us is needed.
- This facility is renewable and restricted only in Rupiah. Interest is charged on the amount overdrawn.
- This facility is often used for working capital purposes, such as financing the day-to-day operating costs of your business, including purchases of inventory/supplies, wages of employees, etc.
Revolving Credit Facilities
A Revolving Credit Facility (RCF) is a line of credit commitment that is drawn for a fixed period of time, usually within 1, 3, 6, 9 or 12 months. It is usually charged at a lower interest rate than an overdraft, and provides you with a degree of flexibility by allowing you to draw and repay the amount in a fixed time period. Draw-down of the facility is set in motion against your commitment with the current interest rates and the period determined in accordance to your business requirements. This facility does not have a fixed repayment schedule of the principal, as there is no set principal amount borrowed at any given time.
Product Features
- A RCF is usually used for financing the short-term operating costs of your business.
- The facility can be applied when short-term financing is needed to fund its working capital requirements.
Term Loan A term loan facility is a fixed-term loan with a fixed periodic repayments schedule. Term loan facilities must be drawn in full during the draw-down period. Each payment of principal reduces the balance of principal remaining and the subsequent interest is calculated on this reducing balance. Interest is payable on a monthly, quarterly, semi-annual, or annual basis. In order to achieve lower-than-normal interest rates for term loans, we can also offer you financial structures that help you reduce interest. |