Overdraft

Meaning

An overdraft is a form of bank credit that helps businesses cover unforeseen expenses by borrowing money from the bank.

Key points

• Overdraft appears frequently in invoicing, payment handling, and bookkeeping workflows.
• The term improves clarity between clients, suppliers, and accounting teams.
• Consistent use supports cleaner documentation and better reporting quality.

Practical use

In Nexbal workflows, overdraft is used to keep invoice and payment operations structured and auditable.