Top 5 banks offering Credit Card against Fixed Deposit

Credit Cards has become the need of every professional. Emergency does not come according to the financial situation. But it may push a person to the corner during an adverse economic situation. Sometime monetary help from others in such critical situations becomes next to impossible.

However, Credit Card gives the instant access to money whenever required without any issue. In the present days, many Banks are providing the Credit Cards to the customers to avail that facility. They charge interest rate on the money but give the access to instant money. But, the limit might be a problem for some people. The limit for Credit Card might be an issue and that opens up a new window of opportunity.

Banks have started providing the access to larger amount of Credit with the Credit Card provided you take it against the Fixed Deposit. Ideally, the bank provides almost 80-90 percent of the Fixed Deposit available as the Credit. This has been largely termed as the Secured Credit Card. The benefits of the Credit Card against the Fixed Deposits are huge. You can avail the emergency amount as loan and can repay it with general procedure.

credit card on fixed deposit

However, the amount will be larger than normal conditions. There is no risk associated with the money as well, as you have secured your loan already with the bank. Moreover, you can keep on earning the interest from the fixed deposits as well, which compensate the Credit Card Interest.

The interest rate of the Credit Card against the Fixed Deposit is also lesser than the normal Credit Card. This new procedure of the Credit Card has not been implemented by every bank. However, many banks have started the scheme to accommodate the needs of the customers. Here are the top 5 banks in India that provide Credit Card against the Fixed Deposits.

1. State Bank of India

SBI has started the service to ensure quality customer service. India’s largest bank has come up with the facility to provide Credit Cards against FD. The credit card against FD has certain rules like the FD has to be with the SBI bank and keep a minimum balance. The Bank also works towards the improve Credit Rating of the customer.

The Credit Card is easily get able and also requires minimum documentation. The interest rate of the Credit Card is also lesser than the normal scenario like all other banks. SBI has the largest network in the country and that makes Credit Card against FD even better for the customer. Check out procedure to apply for credit card in sbi.

2. HDFC Bank

HDFC Bank, another crucial player in the financial market provides the option for the customers. They have a large customer base and offer the service for the people. One needs to have minimum FD Balance and existing FD account with the bank. However, the facility might get terminated if the customer freezes the Fixed Deposit. Here is article on how to apply for Hdfc credit card.

3. ICICI Bank

One of the largest banks in India, ICIC Bank was one of the earliest banks to start off the feature. It is very easy for the bank to start the procedure which has global presence. ICICI has listed out list of benefits for the customers with the Credit Card against the Fixed Deposits. The Credit Rating of the customer which becomes a very crucial thing for the loan purpose also improves with that.

The bank also gets one customer which will have both Fixed Deposit and Credit Card. The Easy Deposit Card of ICICI Bank is exclusive for the Fixed Deposit Customers. Also, the bank does not charge anything for the card and it remains valid till the FD is active of the customer. However, the customer needs to maintain a minimum balance of INR 20,000 for that. The bank provides 85% of the fixed deposit as Credit.

4. Axis Bank

Axis Bank on the other hand has some added features to the existing procedure. The bank has created different slabs for the customers and they offer the Credit Card on the same basis. They offer Platinum Card for Fixed Deposit above 1, 25,000, Gold Card for above 40,000 and Silver Card above 20,000. Axis Bank also provides free service to the customer and ensures maximization of profit.

5. Kotak Mahindra Bank

Kotak Mahindra Bank also has the same facility for the customers. The bank is rapidly expanding and attracting more customers. They have added many facilities due to the lack of presence in the market. However, the bank has started the expansion push after acquiring the ING Vyasa and offering Credit Card against FD. The bank generally offers 90 percent of the FD amount as Credit. However, that depends upon multiple criteria.

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