If you want to learn about the Absa overdraft cheque account in South Africa, this is the right place. Check out this guide.
What Is An Overdraft
This is a revolving credit facility loaded into your cheque account and gives you access to additional cash to cover any emergency expenses.
You should make a regular deposit to your cheque account to keep it up to date as the credit facility is reviewed every year.
The facility has a flexible repayment plan that suits everyone’s needs.
Now that you understand what an overdraft is, we will go ahead and show you how the Absa overdraft cheque account works in South Africa.
Absa Overdraft Cheque Account
You are charged a once-off initiation fee of up to R1207.50.
The monthly service is only R69.00 and a personalized monthly interest rate of up to 10.5% of the portion you have used.
This means that you only pay interest for what you use.
With this account, you can take a credit protection plan which covers you in case of disability, loss of income, critical illness, or even death.
The account helps you avoid debit reversals due to insufficient funds, thus maintaining a good credit history.
The account requires you to make timely payments to avoid late payment penalties.
This is exactly how an Absa overdraft cheque account works in South Africa.
We will now show you the requirements to qualify for the account.
What Are The Requirements In South Africa
Below are the basic requirements to open an Absa overdraft cheque account:
- You must be 18 years or older
- A valid South African ID or smart card
- Proof of original residence not older or more than three months
- You must have your latest payslips or three months bank statement as proof of income
- You need to have a cheque account into which your monthly income is paid
- You need a minimum monthly income of R2 000.
These are the requirements to open an Absa overdraft cheque account in South Africa.
Now that you know the requirements, we will show you how to apply for the account.
How To Apply For Absa Overdraft Cheque Account
You can log in to your Absa online account and apply for the overdraft
for existing Absa customers.
You need first to open a cheque account for new customers and then apply for the overdraft facility.
To apply, visit any Absa branch near you or contact Absa through 0860 100 372.
This is all you need to know about the Absa overdraft cheque account in South Africa.
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