# Overdraft

*Borrowing & Credit — Finicade finance glossary*

Spending more than your account holds, with the bank covering the gap — for a fee or steep interest. A convenient safety net that quietly becomes one of the most expensive ways to borrow.

**Related terms:** [Debt](https://finicade.com/glossary/debt), [APR (Annual Percentage Rate)](https://finicade.com/glossary/apr), [Credit Card](https://finicade.com/glossary/credit-card)

Source: https://finicade.com/glossary/overdraft