- HOW IT WORKS?
- Credit Score & Report
- Credit Bureaus
Issued by bank, credit card is a small plastic card and respective credit card holder can purchase goods or services on credit and with a promise in paying back within a specified period of time. In simple terms, to make your purchases, credit card allows you to borrow money and it really doesn’t matter if it is a buying a chocolate or a trip to Paris. You don’t have to pay any extra amount as long as you pay back the money you borrowed within grace period provided by the card issuer.
The usage of credit card has been rising over a period of years, reason being its importance and excellent features. Credit card helps you to track any purchases you made and helps in budgeting. With credit card, it is very easy to use instead of carrying a big cash in your wallet and you can build your credit score that will help you to get credit in the long run.
In this present modern era of technology and virtual transactions it is not required to carry cash, not only because of security perspective but also as per your convenience. Credit cards rewards on your expenses made and also serve as alternative to cash. There are different types of credit cards with plethora of varied features.
Why Choose a Credit Card?
Credit Card usage has been considerably increasing over last decades in many developing countries reason being of its utility and features. Credit cards are much useful in case of any emergencies and when you need cash urgently. Apart from these there are features which are as follows.
- Cash Back feature – Many credit card issuing companies offer cash back for example if you sign up the right credit card you can earn around 1-5 percent on your purchases.
- Many Investment Rewards – Some credit card companies offer investment rewards, if you opt for any investments with your credit cards.
- Special offers on purchases – Due to increase in e-commerce many credit card companies are competing to provide at best prices for the customers to buy the products.
- Reward Points – Reward Points are some of the important reasons for choosing a credit card. When you use your credit card in a right way and paying your bill on time, all these will help you in earning reward points and you can redeem your points by opting for any purchases. Furthermore you can also get gift card, holiday cards etc. based on your transactions you do on your credit card.
- Element of Safety – The safety has been considerably increasing on the usage of credit card. Instead of large amounts of cash it is safe to carry your credit card which is of highest safety standards. However when your credit is fraudulently used you don’t have to pay for the transactions that you didn’t made as credit card company may resolve the matter in due time.
Features of Credit Card
- Credit History – Credit history can be built with the use of credit card usage and it enables to improve your credit score.
- Grace Period – When any individual uses credit card he is a given a minimum days or a grace period where in the cardholder can pay for his credit card bill without any financial charges or incurring any interest.
- Currency – The Credit card holder can pay in domestic currency as well as in foreign currency. Usage of credit card includes some common charges like annual fee, duplicate statement fee, late payment charge, cash withdrawal, over limit fee, foreign currency transactions and service tax.
- Cash Withdrawal – By using credit card you can withdraw cash from the ATM. If the credit card holder goes for any cash withdrawal, the fees are charged higher than the normal credit transactions. There is a credit limit on cash withdrawals and credit limit for purchases with credit cards.
- Credit Card balance Transfer – Credit Card balance transfer is one of the important feature of credit cards. As per this the credit balance can be transferred from one credit card to another.
- Credit Limit – Every credit card holder is entitled a credit limit that is set on the credit card after analysing the creditworthiness of the respective individual.
- Attractive Offers – Credit cards offers features of various types that include gift coupons, reward points, cash back vouchers and any extra discount on your purchases.
- Multiple Network payment – Depending upon the network payment and card provider user there are various types of credit card like Visa Credit Cards, Master and RuPay Credit.
- EMI Conversion – On Credit cards EMI facility is offered wherein the holder of credit card has the option to convert the credit card purchases into EMIs depending on each bank.
Benefits of a Credit Card
- At times of Emergencies – At the times of urgency cash requirement or any other medical emergencies credit card can provide help by providing credit at the right time.
- A good alternative to cash – A Credit card is convenient and safe to carry rather than carrying cash and it also helpful in shopping online or offline.
- Building your Credit Score – You can build your credit score by owning a credit card and it is easy to build your credit history. Having a good credit history helps you to get credit when you need it.
- Surprise welcome offers – Many credit card issuers offer rewards or exciting credit card schemes in the form of discounts, free reward points or gifts.
- Cash back or reward Points – To your account, you receive a few cash back or reward points, every time you make any purchase on credit card. Cash back rewards directly applies to your credit card account while reward points will be accumulated to avail various free gifts.
- Helps in tracking your purchases – It is easy to keep a track on your credit card unlike it is difficult to keep a track on your cash expenditure. Furthermore with credit card you can generate monthly statement that will enable you to get a clear picture on your overall expenditure.
- Credit Card Secure Transactions – Latest credit cards feature chip and pin system that adds more security features for the credit card. Furthermore credit cards are always safer than carrying bundles of cash. Added to this, in case of any online transaction a secret password or OTP is also required this is triggered to your mobile phone or email to complete transaction.
Types of Credit Cards in India
Credit card helps you to buy goods and services on credit and you can repay it back on or before the stipulated period of every month. You can pay minimum due where in, the interest would be charged for the balance amount and if you pay the full amount within the period of time, there will be no interest. The credit limit is provided by the credit card provider.
- Basic Credit Cards – These are the most basic cards and have low and minimum credit limit. Many credit issuer’s offers reward that will help these card holders to improve their credit limit
- Silver Cards – The criteria to be eligible for Silver is higher than Basic Credit Cards, as these cards have higher credit limits and also have other benefits. Individuals that have at least 4 to 5 years of experience are eligible for these cards. Membership fees is low for this type of cards.
- Gold Cards – When compared to silver cards and basic regular cards, Gold cards are provided at higher credit limit and the have higher eligibility criteria and these cards are for higher income group. Some of the features of these cards include
- The credit limit is higher
- Higher withdrawal limit related to cash
- There is a facility to opt for Add-on card
- Other benefits include cash back offers, reward points, travel insurance etc.
- Titanium or Platinum Cards – Similar to gold credit cards, these types of cards enjoy much larger benefits. Though the features of these cards may vary from bank to bank but some of them features include
- Theft or credit card loss protection
- Personal accident cover
- No annual fee
- Comprehensive protection against fraudulent online transactions
- Rewards Credit Cards – These cards are more popular, reason being these awards are associated with the usage of the card. Some of the various types of cards include
- Airline credit cards
- Fuel credit cards
- Lifestyle Credit Cards
- Credit cards for Women
- Rewards Credit Cards
- Cash back Credit Cards
- Entertainment Credit Cards
- Co-Branded Credit Cards
- Premium Credit Cards – These cards have high joining and annual fees and designed for high income and net-worth individuals. The rewards in these cards are designed to provide high rewards.
- Kisan Credit Cards – Kisan credit cards are provided to farmers in rural India to ensure they get access to credit at best or preferred interest rates and these cards are offered by leading market players.
- International Credit Cards – If you are someone who often travels a lot to different countries, choosing international card is the best choice. You can make transactions in the overseas during your travels to distant and different destinations globally.
Top Banks providing credit cards in India:
Almost all major banks provide credit cards in India. Every credit card has their own unique features though there are some common features and some differ.
|American Express||Points related to Membership – For 1 transaction 1 Point and on joining you will get bonus points up to 11000. Points related to PAYBACK – On transactions Up to 5 Points. JPMiles – On transactions up to 16 miles||Up to Rs.50,000|
|HDFC Bank||Points related to Reward – Per transaction Up to 8 points. Regarding points related to bonus a year there are more than 2,880. Jp Miles – Up to 30,000 Miles related to Bonus. Per transaction there are up to 18 miles. You will get Point related to JP Tier – On reaching milestone that is certain you will get 1 Point. On Certain cards Discount and Cashback offers are amazing.||Up to Rs 10,000|
|State Bank of India||On achieving milestone you will Empower Points Up To 500 and reward points – On Transactions up to 20 Points and also yearly bonus points includes upto 1,00,000||Up to 4,999|
|Kotak Mahindra Bank||Points related to Reward – Per transaction Up to 10 Points. Points related to Savings – Per Transaction Up to 10 Points. Points related to Dining Per transaction Up to 10 Points||Up to 5,000|
|IndusInd Bank||Points related to Reward – Per Transaction Up to 4 Points. Partner Miles and Spend Miles – 3 Per transaction Up to 3. JPMiles – In a year Up to 75,000 Miles. Flight Miles – This is based on the percentage related to ticket price. Point related to Savings – Per Transaction there are Up to 4 Points.||Up to Rs 4,000|
|Citibank||Rewards related to Travel – Per transaction there are Up to 10 miles and in a year Up to 10,000 bonus miles. Points related to Reward – Per transaction there are Up to 10Points. Points related to First Citizen – Per Transaction Up to 7 Points. Points related to Turbo – Per transaction Up to 4 Points and on transaction Up to 5 % cashback.||Up to Rs 20,000|
|Axis Bank||Points related to Rewards -On spends you will receive up to 20 Points. Points related to eDGE Reward – On spend – Up to 20 points. Points related to CV – On spends, there are Up to 6 Points – Miles related to Award – On spends there are up to 6 Miles.||Up to 30,000|
Credit Score & Report for Credit Card
Using credit cards help individuals to build credit history or who have limited credit history. If you are planning to build your credit history opting a good credit card is the best idea. Responsibly using of credit card by timely payments helps not only to improve your credit score but also helps to get new credit cards and loans.
Following are the important aspects that you have to keep in mind when you are planning to apply for a credit card to build your credit score.
- Avoid applying for the credit limit of the card that you not qualify.
- Initially focus less on reward points or any other benefits, instead just focus on simple credit card that I will work for you.
- After some timely payments of your credit card bill, helps you to build your credit score.
Credit Cards for Employee and Business Professionals with Minimum Income
Annual income of the employee or Self-Employed businessman is one of the deciding factors for the issuers of the credit card. There are more chances of getting a credit card that has more income when compared to others who gets low income.
|Name of the Bank||Credit Card Name||Annual Income of the employee or businessman|
|Axis Bank||Axis Bank Gold Card||Rs 180000 Per Annum|
|HSBC||HSBC Gold||Rs 250000 Per Annum|
|Bank of India||India Card||Rs 75000 Per Annum and above|
|Vijaya Bank||Master Global||Rs 1,20,0000 Per Annum|
|Corporation Bank||Gold & Classic Card||Rs 2,00,000 Per Annum|
|Bank of Baroda||Visa Gold Card||Rs 15.00,00 Per Annum|
|Andhra Bank||Visa Gold card||Rs 2,5000 Per Annum|
|Kotak Bank||Fortune and Trump Gold Card||Rs 3,00,0000 Per Annum|
|HDFC||Silver & Gold Card||Rs 2,00,000 Per Annum|
|ICICI Bank||HPCL Credit Card||Rs 144,000 Per Annum|
|Canara Bank||MasterCard Standard Card/Visa Classic||Rs 1,00,0000 Per Annum|
|Axis Bank||Insta Easy Card||Requires no income proof, only fixed deposit is needed with a minimum amount of Rs 20,000 and the maximum is 25,00,000|
|Andhra Bank||MasterCard / Visa Classic||1,80,000|
How to Apply for a Credit Card Online?
Applying for a credit card online is just simple and easy all it takes is just few minutes. Here is the procedure.
Before you start applying for a credit card try to understand your credit requirements and plan accordingly. After deciding the type of credit card and the credit card issuer, you have to just fill your basic information that is required.
- Where do you live currently?
- Your date of birth
- Type and nature of your employment
- Do you already have a credit card?
- Based on your requirement choose the credit card that suits you the best and finally upload the required documents.
Things You Should Be Aware Before Submitting Your Credit Card Application
- Know more about credit cards – By using your credit card you can buy any product or service, and when you opt for a credit card, you are opting a loan that is very short-term. The amount of interest related to this type of short term loan depends on the time when you pay back. One of the best feature of credit card is that if you pay before due date no interest is applicable.
- Need for a credit card? – There are number of benefits using credit cards. It helps to build your credit score and a good credit score helps to obtain loan at best interest rates at the time you need the most. Furthermore, there are various types of credit cards that provide discounts and benefits related to shopping etc.
- Interest Rate – If the respective credit card holder does not pay the full amount of the credit card bill before the due date it will attract interest. Furthermore if you are using your credit card for any new spending without paying the amount in full this type of spending also will attract new interest.
- Reward schemes – Many credit cards offers reward points. Choose a credit that provides reward points based on the patterns of your spending.
- Cash Back – This type of feature is available with many credit cards and you have to consider this feature in selection of your credit card.
- Interest Rates – It is always important check and rechecks the interest rates of different credit cards before choosing the best.
What Are the Reasons That Your Credit Card Application Gets Rejected?
- Income Ineligibility – Most of the credit card has their requirement for the minimum income of the applicant. If the applicant does not meet the minimum requirement, the application related to credit card may get rejected. It is always better to check the minimum requirement before applying for any credit card to avoid any sort of rejection on this type of factors.
- Providing Incorrect Information – If you provide any incomplete and wrong information the bank and credit card issuing company will straight away rejects the application even without communicating you. It is always advisable to fill the credit card application with the correct information without any errors.
- Residence & Office Location – Though it is surprising, banks or credit card issuing companies consider the location of your Office and residence. They have list of areas that are blacklisted and if any applicants residing in those locations, the credit card will not get approved.
- Credit History – If the applicant has excessive credit usage, many loans, credit default or applied for too many credit card companies or banks, the chances of getting the rejection of the credit card is higher.
Application Process for Credit Card
Undoubtedly, Credit cards have become essential aspect of our financial life. Credit cards are more convenient to carry when compared to cash. The application process includes following stages
- The initial stage Application – You can apply online or offline by visiting the concerned person in the bank or at any promotional stalls. You have to fill the application form and submit documents like Address and ID Proof, income proofs and PAN Card for both self-employed and salaried individuals.
- Verification Stage – In this stage, the bank check the applicant’s credentials to check whether they are legitimate. After processing the application they are sent for verification. The field agent will check by reaching the credit card applicant doorstep or the applicant may get a customer care call and in order to verify your credentials.
- Check on your credit history – In this stage the credit card applicants history related to employment and income details are checked and most importantly the applicant credit score is checked. Based on the applicant’s current income, credit card limit is determined. It is important to have a good credit score by having a good repayment record.
- Evaluation of the application – Based on all the above related process decision is made by the credit card issuer whether to issue credit card or not.
- Track your credit card application status – You can track your credit card application status online by entering the respective application number online in that particular credit card issuer website.
Credit Card Interest Rates
Credit Cards help at the time you need to pay immediate cash and during in any emergency. With so many benefits credit cards are of immense use and has many offers like cash back offers, reward points etc. Interest rates related to credit card vary from one credit card issuer to the other. It all depends on the type of credit card you have opted as per your requirements like travel; shopping card etc.
Understand the Factors That Affect Credit Card Interest Rate
Your credit score is taken into consideration before calculating the interest rate on your credit card that you would bear.
Following are the some of the factors that are responsible for deciding the interest rate related to credit card.
- Age of your Credit History – The age of your Credit History influences your credit score for example how long you have been using the credit elements. It also takes into consideration what is the average of all your accounts and how old is your credit account. If you are maintaining a good credit score over a period of time by prompt payments then your credit history will help you to get at lower interest rates. If you are totally new in building your credit score at least a short credit history can help you to get at good interest rates.
- Owed Amount – It reflects the amount of credit you owe. On the basis of your total credit that is available and which has been used is taken into consideration in calculation. The lender checks in this way as if you borrow money, you are financially stable and responsible enough to pay it back and this one of the way the lender tracks your repayment habit. Furthermore, your credit used on specific types of accounts such an installment accounts, credit cards, auto loans, types of accounts such as mortgage are also taken into consideration. Having a good mix of different types of credit and managing them responsibly helps you to get the credit card at best interest rates.
- Payment history – The borrower or lender can see if you have paid your bills on time. If your credit score is good you would be required to pay less interest rate, on the contrary if you have any defaults in the payment there is a possibility to pay a higher interest rate.
Credit Card against Fixed Deposit, PPF, Loan
Several banks provide credit cards against fixed deposit. Irrespective of your credit history and score you are given credit card against your fixed deposit. The documentation required is very less and banks provide many benefits that include cash back offers and reward points.
Some banks provide credit card against Public provident fund account. It is a simple and hassle-free process and all you need to have a PPF deposit at least two years old. The parameters of providing Credit card against PPF account depends from one bank to another.
How to close Credit Card?
After deciding to close your credit card following are the steps to be followed.
- Pay off your balance, before your close your credit card
- Contact the customer care of your credit card company and place a request to close your credit card.
- Write to the credit card company that you want to close your credit card and also send the details of your call with the customer service.
- After getting confirmation from the bank that your credit card is closed across the magnetic strip of your credit card cut it into small pieces and this completes the closing process.
What Happens After I Swipe My Credit Card at a Merchant’s POS Machine?
In any transactions related to credit card customers swipe their respective cards and the transaction is said to be complete. Signing the receipt after swipe the card are the two procedures that are only seen and looks simple. There are several aspects working behind all these scenes. It involves the stages that are multiple. We will try to understand the process related to transaction of your credit card. First it is important to understand the Credit Card Transaction Participants.
- Merchant – Merchant is known as the vendor selling goods and services. The merchant accepts the payments related to customer’s credit card and sends the information related to card and requests authorization of payment from the issuing bank of the cardholder.
- Cardholder – In this, there are two types of cardholders. One is known as “revolver” who repays only a portion of the amount balance and the rest accrues interest and other is known as “transactor” who repays the credit card balance in full.
- Service Provider/ Acquiring Processor – The Service Providers provides a device or service that enables to accept credit cards by merchants and send the details related to credit card payment to the credit card network and then forward the authorization related to the acquiring bank for payment
- Merchant’s Bank / Acquiring Bank – For receiving payment authorization requests from the merchant, the acquiring bank is responsible. It sends them to the issuing bank through channels.
- Association Member/ Network related to Credit Card – These Association members process payments related to credit card globally and operate the networks and govern the interchange fees. Master card, Visa is some of the examples related to payments of credit card. The network related to credit receives the payment related to credit card from the service provider.
- Credit card issuer/Issuing Bank – The credit card network sends the authorization related to payment and it will either declines or approves transaction.
Credit Card Reward Points
With using your credit card you can earn points on every purchase as part of a rewards program. You will earn points on credit card expenditure category such as fuel, dining and shopping etc. Based on the card issuer, you can earn between 1-5 reward points for every transaction spent on your card. Most of the credit card companies provide options to earn bonus reward points as part of the special occasion and on some season campaigns.
With reward points you have collected on your credit card, the next question is what you can do. Every card issuer has their own redemption point system. For certain number of reward points you can avail specific reward. Mostly credit card companies allow you to make the requests related to redemption online and there are no processing fees. You have to read carefully each reward programs in the agreement related to credit card and going through it in detail will help you to make the best choice.
The Concept of EMI on Credit Cards
Undoubtedly every month installment is one of important facility that is provided in the usage of credit card. If you want to buy any apparel, electronics or accessories related to home of high cost there are Options related to flexible payment and Equated Monthly Instalments.
There are two types of options
- Equated Monthly Installment- For example if you buy an product worth Rs 50,000 in the year 2017 and opt for the finance on the product that can be completed payment within one year of time. You can pay 18000 – 20000(estimated) and rest is converted to Equated Monthly Installment. The structure related to payment will depend on the number of months is selected for payment.
- Flexible Payment – As per this option, you have to pay entire amount with the credit card and pay the balance that is purchased will be converted in EMI and there is interest and processing fee. Based on the offers and other fees charged, you must opt for credit card on the schemes related to EMI.
Not all banks and credit card companies have schemes related to EMI Conversion –
- It always better to check with your respective bank or Credit Card Company prior to planning for an any big purchase through your credit card.
- On your credit card, you can opt for EMIs only on a certain amount that is spent.
- Generally for most of the bank’s amount is between 3000 – 60001-. Your request related to EMI will not be processed if your EMI on your purchase is under the prescribed value.
Reduction in your credit limit
- If you are using the option of EMI the limit related to credit card will gets reduced by the amount you have spent on the value of your purchased product. For example, if you have the credit limit of Rs 50,000 and you have purchased a product worth rs 25,000/ and after you gets converted to EMI, then your limit related to available credit will be Rs 25,000/-
From bank to bank interest rate varies
- Before opting for any EMI conversion regarding your credit cards, the interest rates have to be taken into consideration.
Loan on Credit Card
Customers can get a loan on their credit card if they have a good track record with their Credit Card transactions, spends and payment history. Some customers get pre-approved loans based on their credit card history while some customers have to apply for it. Policies and procedures differ from one bank to another.
Credit Card Payment
The options for Credit card payment are many. You can pay your Credit card bill online or offline. You can pay your credit card bill online through Online Banking, Debit Cards, NEFT/IMPS, and Mobile Apps. Furthermore you can also pay your credit card payment by cheque or cash.
Service Charges & Fees for Credit Card
Services Charges & Fees for Credit card differs from one credit card issuer to another. It also depends on the type of credit card you have chosen as per your requirements.
Track Your Credit Card Application Status
You can track your credit card application status online by entering the respective application number online in that particular credit card issuer website.
Comparison of Top Banks providing Credit Cards in India
|Bank||Min – Max ( Tenure)||Interest rates related to Regular Deposit|
|HDFC Bank||Per month it is upto 3.4%|
|Kotak Mahindra Bank||Per month up to 3.5% Per Month||Up to Rs. 19,999|
|IndusInd Bank||46 % Per annum & 3.83% per month||Up to Rs. 1,00,000|
|Citibank||It usually ranges between 37.2% Per annum and 42% Per annum|
|Axis Bank||Per month it is up to 3.25%||Up to Rs. 30,000|
|State Bank of India||Per month it is up to 3.35%|
|American Express||Per month it is up to 3.5% per month|
Lowest Interest Rate Credit Cards in India
Before opting for any credit card it is always better to take into consideration the charges, fees and off course the most important is interest rate that is monthly. Credit cards that charge low interest are important for the credit card holders who sometimes pay late. Always making payment that is maximum or full is important to avoid interest rates and also to improve your credit score.
|Name of the Card||Bank that issues Credit Card||Interest Rates (Monthly)|
|Smart Gold||Deutsche Bank||2.25 %|
|UBI Advantage||State Bank of India ( SBI)||1.75 %|
|Best Price||Kotak Mahindra Bank||1.50%|
|Classic||Union Bank of India||1.90 %|
|Advantage Plus||State Bank of India||2.25|
|Aqua Gold||Kotak Mahindra Bank||2.99%|
|Platinum||Bank of Baroda||2.60 %|
|Advantage Gold Card||State Bank of India||2.25%|
|Titanium||Bank of Baroda||2.60|
|Signature||Bank of Baroda||2.60%|
|Easy Gold Credit Card||Axis Bank||1.95%|
Credit Card FAQ’s
1. What is Credit Card?
Issued by the Bank or financial company, at a POS (Point of Sale) providing the credit card holder the facility to borrow funds. You can buy any products and services. For example you can pay for Food, Travel, Shopping, buy groceries at any time. If you are making any online transactions credit cards comes very handy. Prior to the starting of the next billing cycle you can pay the bill without paying interest. You have to pay the minimum due that includes the interest and some charges if you do not pay on time related to billing cycle.
2. What is credit card balance transfer?
In this process, the card holder owes the debt to the issuer of the second card and no longer owes money to the original card issuer. When you transfer the balance of one credit card to another, a balance transfer is said to be done.
3. What is an important factor that needs to be checked before opting for a credit card?
- Credit Card Limit
- Annual Fee and fee-related to card cancellation.
- Billing cycle and payment methods related to bill
- Customer support and late fees.
4. What are those documents required for the bank to issue credit card?
- Latest Certificate/Salary slips for at least 3 months
- Documents related to Income tax return
- Bank statement that its latest reflecting salary credited for at least 3 months
- For employee the minimum salary of Rs 20,000 and if he or she is a self-employed the minimum income annually must be of 3 lakhs and not lesser and it should reflect in the latest document related to Income tax Returns.
5. What is the checklist related to Credit Card Application?
- Proof related to Identity – One primary Photograph passport or driver’s license. Two non-photos Identity proofs for example birth certificate, bank card
- Statement related to Privacy and consent
- Salary or Wage income proof
- If the applicant is self-employed, the latest business and personal tax return.
- Sign the declaration related to credit card application
- PAN Card
- One Photograph.
6. How does debit card differ from your credit card?
Money you use from your debit card is the money which exists in your savings account and that debited in your bank account. The amount of money you spent by purchases of goods or services or cash withdrawn from credit card is the loan that is granted by credit card issuing company or entity. All the transactions that you do on your credit card will be converted into the bill that is consolidated to be a billing cycle.
7. What are MasterCard and VISA?
MasterCard and Visa are one of the technology companies in payment that connect businesses, consumers and banks in more than two hundred countries that enable them use currency of digital type instead of using checks, drafts, cash etc. Added to MasterCard and Visa there are other leading companies related to payment technology related to payment include Diners Club, Discover and American Express.
8. What do you understand by the term Co-Branded Credit Card?
The Credit Card contains merchant’s name/logo as one of the co-promoter related to particular credit card with the issuer of card. In our country merchants those sponsor credit cards that are co-branded include shopping websites that are online, airlines and others.
9. Who are eligible for getting a Credit Card?
Eligibility for getting credit cards depends on from one banker to another
Following are some of the criteria:
- The applicant should not be less than eighteen years old.
- Having a Valid address proof
- Either Self-employed or salaried (ITR/Salary proof)
- Has to qualify for the requirement related to income that has set by issuer of the credit card.
- At least one savings account in any Indian Bank
10. What is an add-on/supplementary card?
The add-on card/supplementary card here refers to credit cards that are one or more and this is issued to the members related to the family of the card holder that is primary. Credit limit related to account related to primary card is shared by the add-on cards and it has all the features same as primary card. Furthermore points of reward that are earned through the use of supplementary cards are provided to the card account related to primary.
11. What are the number of add on/supplementary cards I can use and also the charges that are involved.
Having supplementary cards depends on the issuer of the credit card, at maximum cases you are eligible to apply up to three add-on cards. For your members related to family like parents, siblings, spouse and children
12. If I lost my credit card or is stolen, what to do?
The foremost thing to do block your credit card when your credit card is stolen as this will prevent unauthorized transactions. By calling to customer care and communicating them you can get replacement of the card.
13. What is Grace Period on Credit Card?
Between due dates related to payment and credit card statement, the number of days and where the interest do not increases in the period of time is known as Grace Period. This grace period is also known as the time, during the customer owes money to the bank or credit card issuing company for any new purchases that are made related to the last billing cycle and no interest is charged at this point of time. Furthermore, the grace period is applicable if the customer has paid the previous billing cycle card bill on time and in full amount.
14. What are the dining benefits I can get credit card?
Discounts on dining bills, offers related to cash-back through dining benefits you are eligible on some of your credit cards. Many basic and standard cards are currently providing the benefits though benefits of this sort are reserved for credit cards that are premium.
15. What are the privileges related to travel when you use credit card?
Some of the well-known credit cards, as a complementary feature provide benefits related to travel. Such benefits are in the form of discount on hotels, bus/flight tickets that are booked through some websites, hotel or airline chain. For premium card holders their features are designed for pay out related to missed flights, complimentary travel insurance, Air accident insurance, medical emergency costs, trip cancellations etc.
16. What are some of the charges that are related to credit cards?
- Fees related to Joining – This fee is paid in the beginning of opting for a credit card
- Annual Fee – Individuals who have credit card have some amount that is pre-specified and paid annually.
- Cash withdrawal – Interest may be charged if you are withdrawing cash against credit card.
- Late Payment charge – If the payments are not made on time you have to pay interest charges that are over and above.
- Charge related to Cheque Return or ECS– In the case of failure of cheque bounce or ECS transfer failure, a fixed amount paid by the card.
- Fee that is Over-Limit – If the fee exceeds your credit limit or charged at the time of your purchases or finance charges are over limit, fee is charged.
17. What is Annual Fee?
Each year, a yearly fee is charged by the company related to credit card for the usage of credit card and this related fee depends from one credit card company to another and if there is a waiver clause on your credit card agreement. Furthermore, there are credit cards that are available with annual fees that are zero.
18. How my limit related to credit is decided by the card issuer.
The card issuer of the bank or financial institution will decide the limit of the member’s Credit card and also the limit of cash withdrawal. Some of the important elements that will influence the card issuer’s decision include credit score like CIBIL score, the capacity related to repayment coupled with other norms related to internal underwriting.
19. What is the impact when my expenditure related to credit card exceeds the credit limit that is assigned?
Fees related to over limit coupled with taxes that are applicable will be charged,
20. Is there any option to increase limit related to credit card?
Yes there is a option to increase your credit limit by placing a request to the issuer of the credit card. You may require providing any additional documents to complete the process and bank will decide to the credit limit increase. History of your credit card payment, loan repayment will play an important role in increasing the credit card limit.
21. What are the ways you can pay your credit card bills?
The various modes of payments include:
NEFT/RTGS – Using IFSC code provided by your card issuer, you can make payments toward your credit card through NEFT/RTGS fund transfer mode,
Net Banking: You have to register the required credit card that is Net Banking -enabled account, to pay your credit card bills.
Cash – You can pay by cash, but paying by cash has additional charge.
Cheque/Draft – You can pay your credit card bill by draft/cheque.
22. What are the EMI conversions of Credit Card Debt?
The interest and tenure of the Credit Card Debt depends on the decision of the bank. Some of the banks give option to convert big purchases transactions to EMI payments on credit card.
23. on my credit card, how to avail loan?
Many banks offer pre-approved loans or loans on your credit card and it depends on the banks and it is also depends on the decision of concerned bank that offers loan on your credit card.
24. What is cash advance in context of Credit Card usage?
When any credit card holder uses his/her card for withdrawal of cash at any ATMs in that country or overseas is cash advance. Interest is charged on the cash advance right away from the time of withdrawal of the amount. Furthermore, for cash withdrawals there is no eligibility for any reward points.
25. How much can credit limit be used for the transactions related to Cash Advance?
Cash advances related to your credit card can be from 30% to 40% on total credit limit. Again it depends on the discretion of the particular bank and also it will be written in your agreement related to credit card.
26. What do you understand by revolving credit?
In Contrast to installment credit (EMI), revolving credit refers a credit that doesn’t have payments related to fixed number. Revolving credit example are Credit Card to pay the balance that is due, the credit card holder can pay as required. If the customer pays the minimum due or partially then amount that is balance will be to next billing cycle is going to carried forward.
27. What is the concept of Charge Back?
After the filing of the dispute, appearing on the statement related to credit card, reversal or a chargeback may be made which is return funds to the credit card holder’s account. This instance happens only when the money is charged to account of the credit card and credit back is done when the customer makes an official complaint a chargeback option with the issuer of the credit card.
28. “Zero lost card liability” what does it mean?
If the credit card is stolen or lost, for any fraudulent transactions made the card member is not liable. At any instance transactions that get charged to the card holder’s account once the card is lost or stolen the amount will be written off by the issuer.
29. What is CVV number in Credit Card?
It is known as (Card Verification Value) mentioned on the back side of the credit card, it is a 3 digit number, at the right side of the signature panel. It is also known as CVV2, this 3 digit number is used for verification process when you are making any online transactions. Furthermore it is important to keep this number confidential.
30. What is Minimum Payment Due?
As the name signifies, you have to pay minimum amount before or on due date and the amount is computed as 5% of the total amount. By the credit card issuer, you are not charged any late fees if you are paying the minimum due on time, however it is better to pay the maximum credit card bill.
31. Do I need to pay interest on the purchases you make using your credit card?
You won’t have to pay any interest if you are paying off the balance of your credit card in full in each billing cycle.
32. What are the reasons your credit card sometimes are declined?
Sometimes it might be a nightmare coming true, when your credit card get declined. Some of the reasons include
- Credit Limit – Sometimes it so happens you might forgot the amount you spent by using your credit card. Overshooting your credit card limit will lead to failed in transactions.
- Keying the Correct Pin – Don’t ever guess your Password Pin when swiping your credit card as it provides the chance of three. Any attempt above 3 times would block your card.
- Fraud Protection – Sometimes you may use your credit for only bill payments and if by a instance you were shopping and if the issuer of credit card is noticing the change in the payment stream they might block your card to keep your transactions safe from the usage of fraud.
- Travelling abroad – If you are travelling overseas it is important to communicate to issuer of the card the same, to avoid any chances of getting rejected.
33. How to manage your credit cards expenses better?
There are simple and effective ways to manage your credit card expenses better
- Email Alerts / Text Message – Keeping a regular check of your texts and emails from your credit card issuer helps you to beware of unusual/fraud activities.
- Online Checking – Registering for online banking helps you to keep an eye on your credit card expenses and it is easy to login and it’s simple.
- Multiple Credit cards – It’s important you talk to your different bank and request to set their payment due dates far from each other bank credit card dates.
- Rely and trust on Technology – Using internet, mobile applications will pave way for swift and effective management of your credit cards.
34. Mistakes to avoid while using Credit Cards.
In Modern Era, where plastic money is much more used, avoiding credit cards mistakes helps.
- Avoid Maximum Use – Avoid maximum use of your credit card and focus on using not more than 40% of your credit limit so that you can impact your credit score positively and not negatively.
- Avoid closing your credit card account – The older your account the better your credit score.
- Avoid many credit cards – Sometimes having too many credit cards increase the chances of over spending and falling under the trap of debt.
- Monthly Payments – Never miss your monthly credit card bills or missing minimum payments as you would be charged late fees.
- Avoid Impulse purchases – Making purchases impulsively are one of the factors that may land you into a debt trap and affects your credit score.
35. Comparing credit cards from Different Banks
Selecting your credit card that suits as per your needs and requirements depends on your choice of purchases. There are several categories that you have to compare while making a choice for a credit card that include
- Cash Back
- Service Charges & Fees for credit card
36. Documentation needed to apply for a credit card
If you are applying for credit whether online or offline following are the required documents that include
- Identity Proof that includes any Photo Passport, Photo Ration Card, Voter ID card, Pan Card Address Proof (Any one): Telephone Bill, Rental Agreement, Electricity Bill Ration Card, Life/Medical Insurance policy,
- Apartment Allotment Letter, Passport etc.
- If you are a salaried person, you have to provide latest one month salary slip.
- If you are a Businessman and Self Employed you have to submit the latest IT Returns
37. Credit Card Eligibility in India
If you are opting for any card there are certain criteria for each type of credit card for example
- Above 21 years and not older than 65 years
- Annual income should be at least 2 lakh
- He or she should have savings account in his or in her name
- Should have a good credit score for example good CIBIL score
- Citizen of India
- Annual fees
There are other factors also, which depends on each bank requirements that are unique.
38. What are the Service Charges & Fees for credit card?
Services Charges & Fees for Credit card differs from one credit card issuer to another. It also depends on the type of credit card you have chosen as per your requirements.
39. What are the options for Credit Card payment?
The options for Credit card payment are many. You can pay your Credit card bill online or offline. You can pay your credit card bill online through Online Banking, Debit Cards, NEFT/IMPS and Mobile Apps. Furthermore you can also pay your credit card payment by cheque or cash.
40. Why sometimes transactions related to Credit Card Gets Declined?
Sometimes it is embarrassing to get Credit Card Transaction getting declines at the most urgent times. You may need to call the customer care to resolve the problem.
If you credit card get declines below are some of the most common issues.
- Insufficient funds
- Expiration date or incorrect credit number
- International charges are sometimes get rejected by some credit card companies
- The credit card company or issuing bank sometimes may experience technical issues in process of your transaction being processed.
- Sometimes as a fraud-prevention measure as some banks will reject transactions when the customer makes large number of online purchases at a very short period of time.
41. Eligibility and Documents of Self-employed required for Credit Card
Almost all banks and credit card companies offer credit cards with best features to the self-employed. Though each bank has its own criteria related to eligibility, features, benefits and terms & conditions.
- 18 years is the minimum age
- Having a good credit history and score. The individual should not be a credit or a debt defaulter
- The Banks need the individuals to open a bank account and which should be active for at least one year.
- Identification proof like election card and PAN Card
- Address Proof like passport, telephone bill & Ration card.
42. Which are the credit card companies or banks that offer credit cards for self-employed persons?
- Axis Bank Gold Credit Card
- American Express- Platinum Reserve card, Platinum Card
- HDFC Gold and Silver credit card.
- Bajaj Finserv Platinum and World card
- HSBC Gold Credit Card
43. In India what types of cards are available to choose?
In India, Master Card, Visa and American Express are the three types of cards that are popular.
44. Though I have cash for payment, is there any benefit of using a Credit Card for payment?
As there is a grace period available upto 50 days. Furthermore there are sometimes cash back offers and you will be provided a discount on your annual charges if you make any payments as specified.
45. Documents that is required for Employed when applying for a credit card?
- Filling up the form related to application and submitting the documents
- Income tax returns ( Latest One)
- Proof related to ID and address.
- Colour Photograph of the applicant.
- PAN Card
46. What types of Insurance cover are available for Credit Cards?
The insurance Cover that is provided depends on the types of credit card you own. For example if it is Silver, Executive or gold credit card. Gold card has the highest insurance cover. Air Accident insurance, Baggage Cover and Personal Accident insurance are other types of insurance covers.
48. What is the Credit card Eligibility for Self Employed or Employee?
|Eligibility for Self Employed||Eligibility for Salaried|
|Age||Minimum age – 25 years
Maximum age – 65 years
|Minimum age – 21 years
Maximum age – 58 years
|Income||Minimum income from business annually – 5 Lakh||Minimum Salary Annually – 1.8 Lakh|
48. When you are applying for Credit Card what are the documents that are required?
|Documents needed for Self Employed||Documents needed for Employee|
Previous year’s Income tax returns. A bank statement related to savings account from last 6 months
Registration copy of the business
|Continuity of Job Proof.
Certificate related to Current employment
Appointment letter from the company.
Experience certificates from previous employers
Last 2 years Form 16
Salary slip of last 3 month
KYC documents that are required are Aadhar Card, PAN Card, Utility Bill and Voter ID.
49. What are the cautions to be followed while using Credit Card?
In Modern times credit cards usage has become integral part of our everyday life. If the usage of your credit card is not done with care, you will find it difficult while managing. It is important to have a complete control on the usage of your credit card in the following ways.
- Never keep more than two Credit Cards – The more number of credit cards you have, the more chances of spending more and sometimes it is difficult to keep a complete control on your expenditure.
- Cash Advances – In urgent and emergency circumstances you may draw money from ATM with your credit Card. The interest rate is not only high but also the interest is charged right from the day of drawn amount date. It is always better to avoid cash advances.
- Reward Points – Reward Points that you earn from the usage of credit cards are worth but sometimes if you are spending on the items that are not necessary you have to pay big bills.
- Always pay more than minimum balance – When you are in financial crises it is always better to pay off monthly payment. Pay maximum amount of bill and by managing your finances effectively, focus on your paying your credit card bill on priority.
50. Do’s and Don’ts while using the credit card.
Always your focus should be avoided falling into a trap of debt.
Do’s while using the credit card
- Earning Reward Points – There are many offers on the reward programs. While some of the credit card offer points and some others provide cash back when you pay for any products and services using your credit card. Sometimes you can earn in hundreds and sometimes even in thousands in form of reward points each year and again it all depends on your right usage of your credit card.
- The concept of purchase protection – Many credit card companies provide purchase protection and also provide extended warranty when you buy the products with your credit card.
- Security when travelling -There are more chances of vulnerability to fraud when you travel. If your card is stolen or lost, the credit card can be replaced with just a phone call.
The Don’ts of using a credit card
- The Overuse of Credit Card – Sometimes if you intend to buy any products or services that you can’t afford, its best that you don’t buy it. Never buy any products and services that you don’t actually need it.
- Credit card utilization – If your credit card utilization is going high then your creditworthiness decreases and there will be lesser chances of getting any new loan.
- Balanced carried forward – If you are having a debt related to your credit card, it is better not to use your credit card until you clear the balance. This step will prevent in the risk of stucking in debt.
51. What to do when you miss the Credit Card Deadline?
Many of us, sometimes or other miss paying the credit card payment on time. Late payments not only attract penalties but also affect your credit score.
Following are the consequences that arise when you miss paying your credit card payments on time.
- Decrease in your Credit Score – Late payments has an impact on your credit score and decreases the possibility of getting loan.
- Fees related to late payment – For any missed payments, the fee will be included in the next billing cycle and the late fees depends, whether it’s the first time or anytime you have missed the payments in the last six months.
- Impact on your Credit Report – When you miss any payment for more than 30 days, such information is added to your credit report and will reflect for seven years.
It is always better to keep a regular track of your credit card payment dates to avoid any late fees and any credit report and score related issues. Using Credit card wisely paves the way for better utilization of the card without any trouble.
52. What the numbers on the credit card reflect?
When you see a credit card there are 16 digits. The first digit on the credit card reflects its system. The number 5 means for MasterCard, 4 means for Visa and 6 means for Discover Card. The structure of card number varies as per the system. Example 37 is the American Express cards and 38 are for Diners Club.
53. What are the benefits that using Premium Card?
Premier Cards have spending limits that are best and includes offers related to cashback Access to VIP lounge, lifestyle privileges and insurance cover that is complimentary.
Furthermore, it has benefits like
- Access to the cash globally
- Fuel Surcharge Waiver
- Cover related to fraud liability
- Emergency Card Replacement.
- Balance transfer on EMI
- Flexi pay
- Add-on Cards
54. What are the features of Business Credit Card?
It includes facility related to lounge access, higher credit limit, globally accepted, cash advance and business savings plan.
55. How to check the balance that is available on credit cards?
Credit card holders can check their statements that are sent to them monthly. In modern times credit card companies and banks send SMS alerts to the customer’s respective phones and also email alerts are sent.
56. What do you understand by Purchase Introductory rate?
In the credit card usage context, purchase introductory rate includes the low interest that is provided during the initial months of the usage related to credit card. This type of introductory rate is provided only to the customers that have very good credit scores. This offer is applicable only to balance transfers or to purchase transactions done by the customer.
57. Are credit cards provided only with certain amount of cash limits related to withdrawal?
Most of the credit cards have pre-set withdrawal limits related to cash. This is communicated to the customer at the time of providing approval of credit card and there are some charges that are levied, if the money is withdrawn in India or globally.
58. How to own a credit card?
Customer can apply a credit card both offline and online. For applying offline he or she has to visit the bank or contact the executive of the bank and provide all the documents that a required. The bank will then process the application based on the credit score of the individual and then the card is approved.
59. What are the interest rates charged by banks on the credit cards in India?
Highest rate of interest is charged by the banks in India and it is generally from 34 % to 42 % annually. Customers with regular payments and good credit score gets the best deals on the credit card rates related to interest.
60. In India for the transactions related to credit, what are different payment networks that are utilized by banks?
To process the payments related to credit cards, banks have tied up with American Express, MasterCard and Visa.
61. What is APR in the context of a Credit Card?
It is the cost that is incurred when the customer opts for the credit from the bank and it is the rate related to simple interest that is charged by the bank for using a credit card in a year.
62. Are any charges levied by the banks for the late payment of bills related to credit Card?
Yes, banks charge late payment fees and also increase the interest rates. If you are paying your credit card bill late, sometimes it so happens that you will end up paying more than your amount that you used for buying any product or service.
63. If you are a frequent traveller, how does a global card help you?
Global credit cards provide the facility of spending in any part of the world and in any currency worldwide. A customer can avoid carrying cash that is huge and also traveller’s cheques.
64. What type of reward programs does credit card offer?
Certain numbers of points are awarded to the customer based on his or her expenditure for buying any products and services. The points so accumulated can be reclaimed for certain gifts and discounts by the customers as per the guidelines of the bank.
65. To avoid credit card fraud what type of measures are taken by Indian banks?
When customer using credit card makes any online purchases, the authentication at multiple levels from the banks is made mandated by Reserve Bank of India. Furthermore, the customers are advised by the banks to use their respective credentials related to their credit cards carefully and confidentially to avoid any type of transactions related to fraud.
66. How does the facility of cash advance help the Indian customer using credit card?
Credit cards can also be used as ATM cards and withdraw the amount of cash which provided by the bank as cash advance. Though with this facility you may get cash but right from the day you withdraw cash, high interest rates are charged.
67. What are the important things you have to keep in mind while shopping with Credit Card?
Some of the factors to be considered while shopping with the credit card
- Grace Period – The number of days you will get to pay your bill related to credit card is from the date you have used your card or respective billing cycle. Generally the grace period is provided from 30-50 days.
- Annual Fees – Check your annual charges, as some of the charges related to cash advances, requests for increased limit related to balance transfer, late payment penalty charges are included as a part of annual fee.
- Cash Withdrawal – Credit cards comes with a PIN that can be used in the ATMS to withdraw cash, remember always that the amount withdrawn cash charges interest that is high.
- Interest Rates – Yearly interest is charged and for using the credit card you have to pay this fee. It is always beneficial to choose a credit card that has fixed interest rate and for every month, it remains the same.
68. What is airline credit card?
If you are frequent travelers then Airline credit cards are a good choice for you. You must have a good credit score for getting this Airline credit card. Generally there is an annual fee which is one time and also there is a renewal fee which is Per annum. You will get reward points in the form of welcome gifts and also there are attractive offers when you reach the target of your Reward Points.
69. What is fuel credit card?
In India this type of cards were introduced in the year 2001. Fuel credit cards can save your money when you refuel your vehicles. Fuel credit cards help you to earn on the transaction that you make while using this card. You can earn payback points on every transaction limit that is prescribed by the bank. There are also features like zero fuel surcharge and cashback.
70. What is lifestyle credit card?
This type of card is designed to reward on the lifestyle expenditures that you make while using this card. These types of cards help you to save your money when you do shopping. This card provides special discount deals and you can redeem your reward points in the form of gifts that you accumulate over a period of time. This card is suitable who love dining, travel and who explore entertainment aspects.
71. What is entertainment credit card?
This type of cards is suitable for people who are active in experiencing entertainment and luxurious lifestyle. There are lot of exclusive rewards on video games, movie tickets, shows, concerts, music and sporting events. Furthermore, some of the entertainment cards provide cash back on shopping and traveling expenses, golf courses etc. You can enjoy shopping with good reward points.
72. What are credit cards for Women?
This card was introduced to encourage women to opt for credit cards and this type of card are dedicated and designed for women. There are some redemption offers provided on this type of cards and you can claim the reward points earned and can be used at different offers or in mobile recharges, movie tickets, Air Miles etc. When you do shopping, you will get attractive rebates.
73. What is Reward Credit Card?
With every day purchase, a reward credit card helps you by providing facility to earn reward points related to travel and also on cash back.
74. Do all credit cards have annual fee and joining fee?
Some banks and credit card companies offer credit cards with annual fee and with no joining fee and some banks even waive off annual fee, if you are maintaining your credit card transactions as per the banks or credit card companies guidelines and procedure.
75. Can my credit limit increased later on?
Yes, by placing a request with the credit card issuer, you can increase your credit limit. At its sole discretion, the bank or credit issuer increases the credit limit. Your history related to previous repayment of credit cards and loans are taken into consideration.
76. What is EMI conversion of credit card debt?
Generally most of the banks and credit card issuing companies provide EMI conversions on the big purchases and some banks provide EMI conversions on the entire amount which is outstanding. You have to be very careful and contact your respective bank or credit card company customer care before opting for any EMI conversions.
77. Can I prepay my EMI Conversions?
It is always good to reduce your burden related to debt whenever you get a chance. Banks and Credit Card companies may impose charges related to prepayment. The credit card member should contact the customer care of the concerned bank or Credit Card Company for making prepayment.
78. How long does it take to apply and receive a Credit Card?
If you are applying credit card online it will take just few minutes. You have to fill the online form and submit the scanned documents that are required and your application will be processed within two weeks of time. If you provide your documentation as suggested the respective bank or the credit issuing company will issue the credit card within 7 working days. You will receive the timely SMS alerts and emails from the bank or credit card issuing company.
79. What is the difference between Charge card and Credit Card?
|Charge Card||Credit Card|
Charge cards do not have credit limits
|Credit Cards have a certain limit and it is known as Credit Limit|
|Using Charge card one has to pay total outstanding at the end of the month and no balance carried forward is allowed.||Using Credit Card, customer has an option to make the part payment related to the amount that is outstanding|
|This type of card are either provided by American Express or Diners Club||This type of cards are provided by either MasterCard or Visa|
GST effect: Insurance premiums, credit cards get costlier
12 July 2017: New Delhi: After the implementation of Goods and Services Tax (GST) acro the s country, financial services like insurance premiums and credit cards have become dearer as they fall in the tax slab of 18% GST.
Earlier, the tax charged on these services included service tax and VAT which totaled up to 15% however, with GST the revised tax slab puts these services in the 18% bracket.
Premium banks like SBI, HDFC and Standard Chartered have already started informing their customers regarding the revised tax rates through messages and mails. The revised rates are applicable from July 1, 2017.
Pay your Rent Using Credit Card
16 June 2017: If you are the one who struggles to pay your rent on time due to a cash crunch, your credit card can now be your saving grace. The UK- London-based company RedGiraffe’s fin-tech platform called RentPay now allows you to pay your rent through credit card. At present credit card holders from banks namely SBI, HDFC, ICICI, IndusInd, Axis, Kotak Mahindra and Yes Bank can avail this service.
How Does It Work:
- Register to RentPay using the RedGiraffe website
- Upload the rent agreement and fill in the landlord details
- Once the above process is complete, you would receive a RedGiraffe Id
- Register this ID with the respective credit card issuer
- Once the registration and linking process is complete, your landlord will start receiving regular rent each month on the specified date.
- This service is chargeable. The transaction fee is 0.39% which means 39 rupees on INR 10000, excluding service tax.
Buy Now Pay Later Service For Train Tickets
07 June 2017: IRCTC is to launch a new feature for train tickets that enables one to buy tickets now and pay for them later. For people who want to book tickets, but is short of cash this is a blessing in disguise. The intention is to let customers buy the tickets in advance if they have a confirmed plan and do not delay it for the scarcity of cash. Using Credit Cards is one of the best options for this. The customer then gets 40-45 days to arrange for the money. They do not have to wait for the last moment tatkal tickets and be sure of their plan.