Cc a/c vs od a/c
This query is : Resolved
25 April 2012
what is the major difference in a Current Account and Overdraft Account......???
26 April 2012
If you open an account with a bank with some money and earn no interest since there are large number of transactions on any day, it is called a current account. If the bank is willing to allow you to draw some more money over your balance, it is called an overdraft account.
Example. I deposited Rs 10,000 with PNB and the balance is Rs 10,000 at the end of today, April 25, 2012. It is a current account.
For whatever reason, the bank, Punjab National Bank is willing to allow me to draw Rs15,000 from my above account. Then,the above current account has become an overdraft account. The bank may execute special loan documents
or take whatever precautions to safeguard its interest.
Example. I deposited Rs 10,000 with PNB and the balance is Rs 10,000 at the end of today, April 25, 2012. It is a current account.
For whatever reason, the bank, Punjab National Bank is willing to allow me to draw Rs15,000 from my above account. Then,the above current account has become an overdraft account. The bank may execute special loan documents
or take whatever precautions to safeguard its interest.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- STCG....................................................
- Supply through E-commerce Operators
- Sales return eway bill
- Relief u/s Section 89
- AMOUNT RECEIVED UNDER COMPULOSRY ACQUISITION OF AGRICULTURAL LAND
- TAN for Partnership
- STCG on ETF gold & silver
- Is E Way Bill Valid If Transport ID Not Mentioned in PART A But Vehicle details mentioned in PART B
- Loan by Partnership Firm
- Is it compulsory to File 10E if Income including Pension Arrears is below 12 Lakh for the F Y 25 26
- Section 54F - Exemption on LTCG in 2026 for HP purchased in 2023
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- Nomination of Bank for refund in itr 2
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
