Friday December 06,2019

Personal Overdraft

Personal Overdraft is a  product to meet your immediate and contingent fund requirements. The loan processes are simplified and includes features of convenient payback facilities together with reinstating credit lines.

Features of Personal Overdraft

  • Attractive & competitive interest rate
  • Loan size up to NPR 5 million
  • Annually renewable
  • Personal counseling throughout the process
  • Simplified documentation requirements
  • Quick approval and transparent loan processing
  • Loan processing from wide range of branch networks

Terms & Conditions

  • 50% of Distress value of the property is required in margin
  • Interest to be served on a monthly basis whereas principal to be serviced on an annual basis if not renewed at maturity/expiry.
  • Loan Repayment obligation of the borrower should not exceed 80% of the borrower’s Uncommitted monthly income (i.e. net saving after all expenses except EMI)
  • Disclosed income must be substantiated by the transaction volume of the Bank account
  • In-case of existence of building or construction financing, the building to be insured against Fire, Earthquake, terrorism, etc as applicable with the Banker’s Clause for full value
  • The property proposed for the mortgage should have at least 8 feet wide motorable access. if the property is 1 ropani or above in area 10 feet wide motorable access is required

Frequently Asked Questions (FAQs)


Fees & Charges

Particulars Charges

Loan Administration Fee and renewal

1% of the loan amount

Commitment Fee

1% of the unutilized limit

Prepayment Fee

2% of outstanding in case the loan is taken over by other Banks or FIs

Valuation Charge

0.125% of Fair Market Value or NPR 5,000 whichever is higher

Penal Charge

Penal interest




Principal Default


@ 3% p.a. for overdue principal amount for delayed


Interest Default


@ 15% p.a. for overdue interest amount for delayed

CIC Charge

On Actual Basis

Late Payment Fee

NPR 500 each in case of principal and/or interest default