Guide To Credit Cards In India – Popular Providers, Fees, Charges And How To Apply
Credit cards have emerged as the most useful solution when it comes to getting quick, easy, and swift payment facilities. These cards are mostly a facility associated with the banking sector and cannot be issued by any other organisation except RBI-registered banks. However, e-commerce platforms like Amazon, Flipkart, etc., also issue credit cards in India but are integrated with banks like ICICI, AXIS Bank, etc.
Credit cards issued from authorised banks offer several benefits on dining, travel, wellness, shopping, entertainment, etc. Hence, to avail yourself of a plethora of alluring advantages, get your credit cards from reputed banks. Here, we have presented comprehensive information on credit cards, their charges, providers, and fees.
Popular Providers Of Credit Cards
There are two major sources of credit cards: banks and online shopping sites partnered with banks. We will look at the various credit card benefits offered by these providers.
● RBI Registered Banks
Most banks under this category offer incredible and competitive offers along with providing convenient usage. However, all of them are loaded with additional benefits and advantages. They have collaborated with major organisations like EaseMy Trip, Yatra, Swiggy, Zomato, Dominoes, Ajio, Myntra, TATA 1MG, and more.
The annual income must exceed three lakhs to avail of these cards. Moreover, most of the cards are lifetime-free and have no conditions applied. However, in the case of the outstanding amount, the monthly interest is 0.75 – 3.65%, and the annual range is 9 – 43.8%. The interest rate on Minimum Amount Due is 3.99% monthly and 47.88% yearly.
● E-Commerce Sites
The two huge and most popular online shopping platforms, Amazon and Flipkart, have collaborated with ICICI and Axis Banks to offer credit cards. These cards are advantageous, especially if you are an Amazon Prime and Flipkart Plus member. Both of them offer a 3 – 5% discount on every purchase.
Only the ICICI Prime card is free, whereas you need to pay an annual fee of 500 for the other. This interest rate of the former will vary from 3.5 – 3.8% per month, and the latter has a fixed rate of 3.6%. These are advantageous only if you are inclined toward online shopping. However, they do not offer benefits like lounge access.
How To Apply For A Credit Card
The application procedure is very easy; it just requires three easy steps.
- Various credit cards come with different guidelines and specifications. Hence, it is crucial to check through the details and, most importantly, the terms and conditions of major credit cards to choose the most suitable one.
- Once you have, check the eligibility criteria stated for the card. The fundamental parameters included a minimum age (18 or 21), annual income (mostly above 3 lakhs), a good credit score (above 700), employment status, and source of income.
- After checking the conditions, fill in the application form, usually present on the bank app or website, and wait for verification and approval. You will be informed after the approval, and the card will be delivered to your doorstep within a few days.
But do you know how to use credit card? No worries, activate it and make your first purchase with just two steps,
- Download the bank’s mobile app and create your online account by providing basic details. You can usually activate the card and set the pin from the app or inquire in the bank if that is not the case.
- After setting the pin, you must set your transaction settings according to your preference. Learn about the different rewards provided with the card and make your first transaction.
Conclusion
There are other CC providers, but the benefits are much less than the credit card offers provided by reputed banks. Hence, it is always advised to opt for credit cards from banks.
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