Back سحب على المكشوف Arabic Overdraft Azerbaijani Овэрдрафт BE-X-OLD Kontokorent Czech Überziehung German Sobregiro Spanish Zorpeko Basque بیشبرداشت Persian Ouverture de crédit French ઓવરડ્રાફટ Gujarati
Cartoon from Punch Magazine Vol. 152, June 27, 1917
An overdraft occurs when something is withdrawn in excess of what is in a current account. For financial systems, this can be funds in a bank account. In these situations the account is said to be "overdrawn". In the economic system, if there is a prior agreement with the account provider for an overdraft, and the amount overdrawn is within the authorized overdraft limit, then interest is normally charged at the agreed rate. If the negative balance exceeds the agreed terms, then additional fees may be charged and higher interest rates may apply.
By analogy, overdrafting of an aquifer refers to extraction of water faster than it will be replenished.