Overdraft Utilization Ratio represents percentage or ratio used to assess overdraft utilization ratio in financial, collateral, or facility analysis. It helps compare the borrower against policy norms, peer benchmarks, and historical trends. Define numerator, denominator, period, and acceptable threshold. In MSME underwriting, it is read along with financial statements, bank statements, GST data and existing obligations to judge cash-flow strength and repayment capacity. It should be reviewed with the borrower’s actual cash flows, existing exposure, repayment behaviour and the purpose for which the facility is being used. For example, a borrower temporarily exceeding the approved limit may be a one-off operational issue or an early sign of liquidity stress. It matters because financial interpretation can change the view on leverage, liquidity, profitability, debt-service ability and the borrower’s real operating strength. The common caution is to check calculation basis, period, exceptional items, related-party entries and consistency with GST, bank statement and audit data.