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Advantages and disadvantages of overdraft?

The main advantage of having overdraft protection is that if you accidently go over your available funds it will cover the cost with no additional fees. The main disadvantage is that you may find yourself abusing the overdraft protection to get things you do not have enough money for.


What are the disadvantages of a overdraft?

Some disadvantages include: 1. Rate of interest charged on the overdraft amount used 2. We do not keep a check on our expenses. because of the availability of overdraft we may overspend when compared to our income.


What are the disadvantages of bank overdraft?

Some of the disadvantages of a bank overdraft facility are:you keep spending money even when you don't have enough cash to meet your spendingyou pay an interest on the money you utilize as part of the overdraft


What are the Advantages and disadvantages of a bank overdraft?

Advantages of a bank overdraft include avoiding the embarrassment of a charge or check being declined, as well as avoiding potential fees that some places charged if a transaction bounces. The main disadvantage of an overdraft is the cost, which can be higher than a bounced check fee. Overdrafts may make it harder for someone experiencing financial trouble to catch up.


What are the advantages and disadvantages of banks overdraft?

Advantages of a bank overdraft include avoiding the embarrassment of a charge or check being declined, as well as avoiding potential fees that some places charged if a transaction bounces. The main disadvantage of an overdraft is the cost, which can be higher than a bounced check fee. Overdrafts may make it harder for someone experiencing financial trouble to catch up.


Advantage of overdraft?

Having overdraft protection on your account helps you avoid excessive fees. When the money isn't in your main account, your overdraft account will protect you by providing the money for the charges.


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