What is a credit card? A credit card lets you borrow funds whenever you want with a simple swipe. That means you can use the bank’s money instead of your own to pay for a product or a service. You need to repay this amount within the stipulated period. In addition, it allows you to gain instant access to credit in addition to amazing features such as emergency loans and interest-free cash withdrawals from ATMs.
Charges
There are various charges which are associated with a credit card which vary from one lender to the other and on the type of card being opted for. These include maintenance charges, interest charges, late payment charges, and charges for ATM withdrawals. It is thus essential to check these charges before applying.
Minimum Repayment
At the end of a credit cycle, the total amount of all the purchases which had been made using the credit card needs to be repaid back. However, these days, many lenders have started providing the option of paying the minimum amount which is a
This is an endless debate on which is a better choice a debit card or a credit card. There are people who love credit cards for various reasons and some say the debit card is best to use due to various reasons. Along with this, you will also find people who say you should not use any of them. When it comes to spending, you need to understand your financial capacity and spending nature. This will help to decide whether your needs can be best met by a debit card only or you require a credit card to enjoy life even when you are short of money.
What is the right choice for you? This depends on various factors and different cases for each individual. For this, you should know the difference between credit card and debit card, available funds in each of them, your spending nature, security and protection, liability policies, access to cash, etc. Along with this, know the risks involved in both debit and credit card and ways they can benefit when you require in different situations. Analyse
In India, credit cards are soon becoming one of the most preferred modes of transactions. Between January 2017 and 2018, almost 7.39 million new cards were issued to customers. People prefer credit cards over other types of cashless mediums because of the convenience they offer. However, credit cards are debt products and everytime you swipe it, you basically take a short-term loan from the credit card company. This means, you’ll have to pay back the availed loan before the due date in order to avoid penalty and interest charges. Apart from that, if you fail to do so, your credit score is likely to go down affecting your credit eligibility for a very long time.
So, if you are using a credit card, it’s better if you pay the debts on time. Talking about how, you can use NEFT for credit card payment.
What is NEFT?
NEFT refers to National Electronic Funds Transfer System and has been in existence for a very long time. In fact, it is one of the most common methods of credit card bill
The first thing that comes to your mind when you're faced with financial difficulties is a personal loan as it offers funding without collateral. But you can also opt for a loan against credit card, where a portion of your card limit is offered as a loan. Here are some differences between both the loans which will help you to make sound decisions while opting for a loan.
Ease of documentation
While you have to furnish the required documents from scratch while applying for a personal loan; you need not do the same with credit card loans as they are pre-approved loans. This accelerates the application process.
Securities and eligibility
Both the loans are unsecured. But as opposed to personal loans; a loan against credit card is tougher to obtain as you have to prove your capabilities with a good CIBIL score and stable income.
Interest rate
Personal loans have a higher interest rate than credit card loans.
Loan amount and end use
You can get personal loans up to Rs.25 lakh. But the sanctioned
The number of credit card users in India can easily be somewhere in millions and each year the number of users is still rising. However, this number still falls short when compared to debit cards which are issued to almost every savings account holder.
The lesser number of credit card holders can primarily be attributed to two factors - the lack of knowledge about credit cards and the fact that most of the people think that the interest rates on credit cards are high. However, the truth is that the interest rates on credit cards are not that high anymore and moreover such interest gets levied only when the bill is not paid by the due date.
What people do not know about or tend to overlook is the fact that they offer a wide range of benefits which debit cards don’t and the fact that you do not need to have money in your account to make a purchase.
If you are planning to opt for a online credit card, then here are some of the types of credit cards that you can opt for -
Secured
These are the
Applying for a first credit card is very exciting as it gives one a sense of liberation and a financial solution which can cater to a lot of our needs. This is why an increasing number of individuals these days are now applying for a credit card despite having an already existing debit card. A big reason behind this trend is also because of the fact that a credit card offers features and benefits which a debit card is unable to.
If you are applying for a credit card for the first time, then there are a few important aspects which you must remember. Mentioned below are a few of them -
Stable Income Source
A stable source of income is one of the biggest parameters which a lenders checks in an applicant when considering the credit card application. This is because it is used to ascertain whether or not you will be able to repay back the amount which will be spent. For the same reason, businessmen and salaried individuals have different eligibility criteria for the same credit cards.
Don’t
Today is the age of plastic money. So, everyone should know about the usage of credit card which is also a plastic money. Let’s see here how to avail credit card and use it wisely.
A Credit Card is a plastic currency that comes with a credit limit up to which you can utilise the same. It is nothing but a loan which comes with certain charges and monthly repayments with interest. A credit card helps you in meeting short term financial requirements which need not have to wait till you get your salary. It is a cushion for you as in case of emergency you need not go tapping the door after the door for the money and can repay it once you get the money. Now-a-days, it comes with EMIs so that a fixed amount could be repaid every month.
You can even withdraw cash from your credit card from the ATM. But before credit card apply online, one must thoroughly know about what are all the charges involved in it.
Joining fees which is a one-time fee
Annual fees which is charged annually for the
Many companies and financial institutions are offering instant credit card facilities to users in India. Some of these cards can even be customised as per the users’ requirement and credit limit. Moreover, many discounts, reward points, and cashback offers are provided on your transactions through the credit cards.
Another amazing benefit of having a credit card is that you get to see your credit card application status easily, as well as your CIBIL score is increased. And, a higher credit score means you can easily avail for unsecured loans, as well as more credit cards without any issue.
But you must be wondering which one is the best credit card in India and what features it has to offer?
Well, Bajaj Finserv RBL Bank SuperCard is considered the best credit card for your regular expenses. Given below are some of the superb features that it provides to the users:
1. Industry-first features by the SuperCard:
Your Bajaj Finserv SuperCard offers two industry-first features:
I. Any
Credit cards are today no longer found in the wallets of those who have an enviable pay package. Most salaried people also prefer using a credit card. This is because it offers a number of benefits the most important of which is that it allows purchases made to be repaid back in EMIs over a comfortable tenor.
What this essentially means is that you can make purchases even in situations when you do not have balance in your account. Despite this, there are many individuals who do not know how to take advantage of their credit cards to the fullest. If you too are unaware of it, then read on to find out -
Asking for a Higher Credit Limit
The credit limit that is sanctioned on each credit card is different which may or may not be enough for your needs. For this reason, it is essential to ask your credit card lender to increase your credit card limit.
Apart from allowing you to spend more, a higher credit limit also helps better your credit score. Furthermore, if you have a high credit score
Credit card is nothing less than a magical financing option as it increases the affordability of items which were not possible earlier. Shoppers can literally buy things they like and pay for them as per their convenience.
Additionally, the credit card offers a host of benefits to its users, as well, as mentioned below -
Convenience: the credit card converts the price of the purchase into instant monthly installments. This makes it easier to pay for items which are slightly out of the budget too. It helps to shop for things without having to depend on liquid cash which thus makes it a rather convenient tool to shop with.
Redeemable rewards: credit card from leading NBFCs offer periodic reward points, milestones, bonus, MRP discounts to its users. This makes the purchase or bookings more affordable and enjoyable for the buyer.
Easy repayment: as it converts the price into monthly instalments all the buyer must make sure is to pay off the due amount on the due month each month without any
