According to the spokesperson for Ural Bank for Reconstruction and Development, the bank started offering the small and medium-scale businesses the new overdraft schemes on December 18, 2006.

‘An overdraft is providing loans via a client’s bank account within a certain limit even though there is currently no money in this account. On December 18, the overdraft became available to the local businesses, and the service will be extended to all the offices and subsidiaries of the bank that offer loans to small and medium businesses,’ says the spokesperson.

‘The bank offers three types of overdraft, which makes it easy for any company to choose the most suitable type of service for them. The enterprises need no corollary to sign the agreement, and the overdraft limit can range from 100,000 RUR to 1,000,000 RUR. The bank may need up to three days to consider the application. The annual interest rate comes to 15% to 19%, depending on the type of the overdraft. If our client has some nice credit record obtained in any bank, they are offered a 3% discount. The commission on the loans is determined by the bank’s tariffs.’

‘The service is available to sole traders and companies whose monthly turnover comes to no more than 15m RUR, in addition, they have to be on the market for no fewer than six months and have some good credit record with Ural Bank for Reconstruction and Development or use the bank’s account,’ the spokesperson explained.