TOD is the temporary overdraft allowed for a short period beyond regular sanctioned arrangements. It is used for short-term mismatches but should be tightly controlled. Frequent TOD usage can indicate liquidity stress. In MSME lending, it shapes how the facility is structured, priced, documented, disbursed and monitored after sanction. 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, frequent temporary overdrawing can be justified by seasonality, but repeated unauthorised dependence may show cash-flow stress. It matters because facility terms influence cash-flow burden, utilisation behaviour, approval authority, documentation and customer communication. The common caution is to verify the amount, tenor, repayment cycle, moratorium, security, renewal terms and approval conditions instead of reading the field in isolation.