Quick Answer: What Is CC Account In Bank?

What is CC account?

A Cash Credit (CC) is a short-term source of financing for a company.

It enables a company to withdraw money from a bank account without keeping a credit balance.

The account is limited to only borrowing up to the borrowing limit.

Also, interest..

What is the difference between current account and cc account?

15 October 2009 Current account is open by a person for operation of his business i.e. he issue cheque from this account and deposit cheque for collection where as cash credit account is a credit facility given by bank and it is type of short term loan given by bank on the hypothication of stock.

Which bank is best for CC account?

Best Bank for Current AccountBankZero Balance Current AccountsICICI BankNew Start Up Current AccountExploreICICI BankShubhAarambh Current AccountExploreAxis BankLocal Current AccountExplore

What is cc limit?

Cash credit limit or CC limit is a kind of current account with cheque book facility. … CC limit holders offers stock and debtors as primary security to the bank. A CC limit or cash credit limit allows you to withdraw money or issue cheque up to the approved CC limit, even if there is no balance in the account.

What are the types of current account?

Let’s take a look at the different types of current accounts there are, which are based on the different requirements you might have.Premium Current Account.Standard Current Account:Foreign Currency Account:Packaged Current Account:Single Column Cash Book.

What is the benefit of current account?

Cheques, pay-orders, or demand-drafts can be issued via a current account for making direct payments to creditors. Overdraft facilities are also available for current account holders. The presence of small interest earnings on account balance makes a current account all the more attractive for its users.

What documents are required for cash credit?

Documents RequiredDuly filled application form.Business plan.PAN card.Passport-sized photographs of the applicant.Identity Proof: Passport, Driving License, Voter’s ID card.Residence Proof: Voter’s ID card, Driving License, Passport, Ration Card, Telephone Bill.More items…•

What does cash credit line mean?

The cash credit line is a portion of the total credit available on your credit card, and is the maximum available credit for Bank Cash Advance transactions. … Your cash credit line available is the amount of money on your credit card that is currently available for you to use for bank cash advance transactions.

What is CC and OD in banking?

Cash Credit (CC) is a short-term loan offered to businesses to meet their working capital requirements, whereas Overdraft facility is funding offered by banks to individuals or companies to withdraw money from the banks even if their account balance is low, zero or below.

What is cc account and how it works?

A cash credit loan allows a company to withdraw money from a bank account. You can withdraw as many times, but up to its withdrawal limit. The borrowing limit is decided on the basis of the applicant’s credit history or creditworthiness, which is based on the company’s structure of the current assets and liability.

Can we withdraw cash from CC account?

Credit card cash advance is the technical term for credit card cash withdrawal facility. It allows credit cardholders to withdraw cash using their credit cards at the bank’s ATM. As credit cards are typically used for card transactions, the cash withdrawal facility is an additional feature offered by the banks.

What is BLG in banking?

Relationship Manager – Business Loans Group. Job Description. • BLG is part of Self Employed Segment (SES) providing. working capital and Term Loan facilities upto Rs. 20 crores to MSME customers through dedicated Business Banking Branches.

What is CC account in HDFC?

Cash Credit / Overdraft facilities are provided on assessing working capital requirements. Borrower needs to provide three -year financial statements to the bank for assessing the requirement.

What is the rate of interest for cash credit?

Comparison of best cash credit loans in 2020Banks/LenderInterest RateMaximum Loan TenureICICI Bank10.4% to 11.5% p.a.As per the discretion of the bankHDFC BankContact the bank for detailsContact the bank for detailsIDBI BankContact the bank for detailsContact the bank for detailsBajaj Finserv18% p.a. onwards96 months

What are the 4 types of loans?

There are 4 main types of personal loans available, each of which has their own pros and cons.Unsecured Personal Loans. Unsecured personal loans are offered without any collateral. … Secured Personal Loans. Secured personal loans are backed by collateral. … Fixed-Rate Loans. … Variable-Rate Loans.

What is OD limit?

Overdraft limit is basically the money value permitted by the bank which can be withdrawn additional to the credit bank balance. Moreover, the bank also charges extra fees if a customer exceeds his/her overdraft limit, or for bounced payments.

What is OD interest rate?

In other words, overdraft is a credit arrangement allowed by the banks to individuals for using or withdrawing more money from their respective accounts even when it is below zero. … Some banks charge the interest rate on the amount withdrawn for use or charge on the reducing balance basis.

What is dropline limit?

Dropline overdraft limit is a facility granted to you where you can overdraw your current account up to an agreed limit. Overdraft is an efficient form of borrowing as you pay interest only for the time you use the money. … Dropline overdraft comes with an advantage over a simple overdraft.

How is CC interest calculated?

How to calculate credit card interestConvert annual rate to daily rate. Your interest rate is identified on your statement as the annual percentage rate, or APR. … Determine your average daily balance. Your statement will tell you which days are included in the billing period. … Put it all together.

What is SBI cc account?

State Bank of India, the country’s largest lender, has cut the interest rate for cash credit (CC) and overdraft (OD) accounts with limits above Rs 1 lakh. … “We will introduce repo-linked home loans from July 1,” SBI said in a statement.