A customer is granted an overdraft by the bank subject to his operating a?

Answer Details

When a customer is granted an overdraft by the bank subject to his operating a current account, it means that the bank allows the customer to withdraw more money than they have in their account, up to a specified limit. The customer can use this overdraft to cover expenses or make purchases even when there is not enough money in their account. The customer will be charged interest on the amount they have overdrawn until they pay it back to the bank. It's important to note that overdrafts are typically granted for short-term borrowing only and can be an expensive way to borrow money over a long period.