overdraft checking account - Business Definition
overdraft checking account - Investment & Finance Definition
A checking account that allows the account holder to write checks for more than the actual balance in the account. A finance charge, which may be quite expensive, is assessed on the amount of the overdraft. Sometimes overdraft checking accounts draw money from a linked credit card, in which case a debit to the credit card puts cash in the checking account and increases the amount of money owed on the credit card.Webster's New World Finance and Investment Dictionary Copyright © 2010 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.