Credit Card Faqs

Frequently Asked Questions

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Why a Credit Card is Important?

Don’t be put off by the term ‘credit’. If used wisely, credit cards are a convenient tool to manage your short-term financing needs. A credit card is a financial tool that lets you borrow a certain sum of money and repay it back later in instalments. An interest is charged only if the credit amount is not repaid within the grace period which usually ranges between 20 to 60 days. Whether you want to make online payments or swipe the card at a restaurant, everything is possible with a credit card. Besides allowing you to borrow funds conveniently, credit cards also offer a host of benefits such as reward points, cashbacks, frequent flyer miles, credit score etc. A credit card is certainly a must-have item in your wallet. 

What Are the Benefits of a Credit Card?

  • Reward Points
    You can earn reward points with every purchase made using credit cards. Subsequently, the accumulated reward points can be redeemed to make another purchase.

 
  • Enhances Your Credit Rating
    Paying back your credit card bills on time is the easiest way to build your credit rating. If you have a high credit score, you can avail loans easily at a low-interest rate.
  • Cash-Backs and Discounts
    By making purchases through credit cards, you can also earn cash-backs on select purchases. Some merchants also offer special discounts on credit card purchases.
  • Frequent Flyer Miles
    As a credit card holder, you can earn frequent flyer miles with every air ticket purchase. Ultimately, the frequent flyer miles can be redeemed against the price of another ticket.
  • Universal Acceptance
    At times, debit cards even from reputed banks may be turned down when you travel abroad. On the other hand, a credit card is universally accepted as a convenient mode of payment across the world.

Why Should you apply for a Kotak Bank Credit Card?

At Kotak Mahindra Bank, we understand the diversity of our customer’s needs. Hence Kotak Bank offers a wide range of credit cards based on your buying preferences. We have categorized our credit card rewards centred on your preferences such as entertainment, shopping, dining, travel and lounge access. Depending on your purchase inclinations, you are free to choose a credit card that earns you extra points on the things that matter the most to you. So go ahead, explore and compare our wide assortment of credit cards in order to find the perfect match. Once you find the right credit card, you will be able to earn as you spend!

What is a Credit Card?

A credit card is a transactional card that enables the holder to make purchases of goods and services or withdraw advance cash on credit. It is issued by banks and financial institutions to bring convenience of payment. Credit cards act as a micro loan tool where the individual makes purchases under the condition of paying off the same within a specific time period. There are no interest payouts if the due amount is paid within a specific time (interest-free period). A custom borrowing limit is pre-set by the issuer and this determines the maximum amount of credit a user can spend from a credit card. Credit card brings users the opportunity to save big through discounts and deals, making it a popular choice.

What is the difference between a credit card and a debit card?

A debit card lets you withdraw money that you have previously deposited into your bank account. It is linked to your account and is offered as an add-on facility by banks and financial institutions. A credit card on the other hand, lets you make spends on the terms of a short term loan. The bank enables you to make transactions to a given limit. Rather than having to make repayments on per use basis, there is a bill generated of the total repayment due at the end of each billing cycle.

Am I eligible for a Credit Card?

The eligibility criteria for a kotak credit card will vary for every applicant. However, there are some criteria that remain uniform and these include:

 

  • For Royale Signature Credit card, League Platinum Credit card, Delight Platinum Credit card, Essentia Platinum Credit card, PVR Platinum Credit card, PVR Gold Credit card, Urbane Gold Credit card primary applicant must be in the age bracket of 21 – 65 years.
  • For 811 Dream different Credit card, NRI Royale Signature Credit card the primary applicant should be in the age bracket of 18 years to 75 years.
  • Must be an Indian resident
  • Must be a salaried employee or self-employed (With income proof)
  • Must meet the income requirement set by the bank
  • Must be a resident of the serviceable locations within India

What are the steps to apply for a Credit Card?

Applying for a credit card is a fairly simple process. The steps to follow include:

  • Clicking the "Apply Now" icon in the section of the credit card that you wish to avail Alternatively, you can visit the bank branch or get in touch with an official representative
  • Submit applicant details such as name, age, birthdate, residential address, net income, PAN and others
  • Must provide proof of personal documents, PAN Card,  KYC documents, proof of address and proof of income or employment status
  • Keep track of application status

What are reward points and how I can use them?

When you use your credit cards to purchase certain products, you can earn reward points. The amount of points you earn through a purchase will depend upon the category and the type of credit card held by the individual. Accumulated reward points can be redeemed against purchases made at selective merchant outlets or can be converted into Easy Points to be redeemed against Airline tickets, Mobile recharge, Movie tickets, Cash and Branded merchandise.

When can I redeem my reward points?

Reward points can be redeemed as soon as the point balance reflects in your credit card account. You must note that some reward points come with an expiry date. This means that they must be used within the stated time frame or they may become invalid. Thus, it is essential to carefully read through the credit card agreement and know of the validity and expiry of the reward points.

Can I use my credit card for international transactions?

Credit cards can be actively used for international transactions. However, you will incur a transaction fee that is known as Foreign Currency Markup Fee. The fee is about 3.5 % + GST. Additionally, you will have to contact the bank for enabling or disabling usage of your card at the time of international travel.

What is an add-on credit card and how can I avail it?

The add-on credit card facility is offered by the issuer to the primary applicant. It can be used by the relatives of the card holder including the spouse, child, parents and siblings. The add-on credit holder must be 18 years of age and above. It includes all the benefits as provided with the primary credit-card and the primary applicant can set a credit-limit for the card.

What should you do in the case of theft or loss of your credit card?

The first course of action in the case of theft or loss of your credit card is getting it blocked by contacting the bank. This prevents the risk of an unauthorized transaction. You can use the customer care number to inform the official representatives of the loss or theft. Upon doing this, they will block the existing card and begin the procedure for issuing a new credit card.

How is my credit card limit decided?

The credit card purchasing and withdrawal limit is determined by the bank at its sole discretion. The pre-determined limit is stated on the agreement letter and communicated to the consumer at the time of card delivery. Some of the standard aspects reviewed when deciding the limit include the income of the applicant, credit history and outstanding debts/loans/EMI payable.

What is a credit card balance transfer?

Credit card balance transfer is the process of transferring owed balance from one credit card account to another. Upon carrying out this process, the debt is owed to the new card issuer as opposed to the original card issuer.

How should I pay my credit card bills?

The credit bill payments can be made with ease using multiple payment options. These include:

  • Mobile Banking
  • Net Banking
  • WebPAY
  • NEFT/IMPS
  • Auto Debit
  • VISA Payment
  • Phone Banking
  • Over the Branch Counter
  • Cheque Payment