ICICI Bank to offer instant OD facility upto Rs 25 lakh to Amazon sellers
One of the key features of 'InstaOD' by ICICI Bank is that the sellers only need to pay interest on the amount of OD utilised by them.
announced that it is partnering with Amazon India to provide overdraft (OD) facility up to Rs 25 lakh to individual sellers and small businesses registered on the ecommerce platform. The partnership aims to enable the sellers to instantly avail the facility via digital means, irrespective of whether they are customers of ICICI or not.
The sellers will have to follow a few steps to utilise 'InstaOD'. First, they will have to find an offer on their Amazon Seller Central account on the Amazon website. After clicking on the banner, they will be redirected to ICICI Bank’s ‘InstaOD’ platform, and will then be required to fill in some details.
Upon confirmation of the amount, the OD will be instantly sanctioned. If the seller already has a current account with the bank, then they can immediately start using the OD.
Speaking on the initiative, Pankaj Gadgil, Head of Self Employed Segment, SME and Merchant Ecosystem, ICICI Bank said, “We have specially curated a new way of assessing credit worthiness of the sellers on the basis of their Credit Bureau score as well as their transaction history on Amazon. This new and improved process will help the sellers, who may otherwise not get access to adequate credit when assessed in the traditional way of using only balance sheets, bank statements and tax returns."
He further added that this new proposition will help in "developing path-breaking innovations for micro, small and medium enterprise (MSME) customers and will empower them with new avenues of business expansion."
Moreover, one of the key features of this new development is that the sellers only need to pay interest on the amount of OD utilised by them. Additionally, the OD can be renewed annually on the basis of their repayment track record.
Edited by Kanishk Singh
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