- The definition of an overdraft is taking out more money than is in your account, or a draft of air that moves over a fire.
- An example of an overdraft is to write a check for $40 when you only have $20 in your account.
- An example of an overdraft is the air that passes over the fuel in a furnace.
overdraft definition by Webster's New World
- a withdrawal of money from a bank in excess of the amount credited to the drawer
- the amount withdrawn in excess
- a draft, or current of air, passed over a fire, as in a furnace, or passing down through a kiln
overdraft definition by American Heritage Dictionary
- a. The act of overdrawing a bank account.b. Abbr. OD or o/d The amount overdrawn.c. The maximum amount of credit extended to a customer.
- also o·ver·draught a. A current of air made to pass over the ignited fuel in a furnace.b. A series of flues in a brick kiln designed to force air down from the top.c. The air so forced.
overdraft - Business Definition
overdraft - Cultural Definition
The amount by which a check exceeds the funds on deposit to cover it.
overdraft - Investment & Finance Definition
Credit issued by a bank if a check is written on an account that does not have sufficient money to cover it and the bank chooses to approve the check. Often banks link a customer’s savings account or credit card to the checking account to cover overdrafts, and an overdraft fee will be charged.