Allahabad Bank Credit Card

Allahabad Bank was established in India on 24th April, 1865 and it is one of the oldest Joint Stock Banks in India. It focuses on key areas such as Trade, Organized industry and Banking. Allahabad Bank was nationalized in the year 1969 and it currently has around 151 bank branches across India. This Bank has had various achievements and milestones in its century’s old existence in India, and one among them being the formation of its subsidiary AllBank Finance Ltd. in 1991.

Allahabad Bank places great priority in Micro Small and Medium Enterprise (MSME) Banking and offers credit facilities to artisans, weavers, and other workers involved in allied activities so that they can achieve economic growth. One among its many schemes aimed towards this goal is the credit card schemes such as Allahabad Bank Laghu Udhyami Credit Card (LUCC), Allahabad Bank Weavers Credit Card (WCC) and Allahabad Bank Artisan Credit Card (ACC).

Why Choose Allahabad Bank Credit Cards?

Allahabad Bank Credit Cards aims at providing credit back-up for weaker sections of society who fall under the category of Micro Small and Medium Enterprise (MSME). Through its unique credit card schemes, the bank aims to provide a host of benefits to artisans, weavers, and those involved in Retail Trade and Small Business, Self-employed and Professionals, Micro & Small Enterprises, etc. It offers credit to support working capital, purchase of equipment and raw material, etc. and also offers loan against these credit cards to meet their immediate cash requirements.

Features and Benefits of Allahabad Bank Credit Cards:

• Loan Margin:

  Allahabad Bank Artisan Credit Card (ACC) provides a loan margin of 20% for Working Capital and a 10% loan margin for project cost. Allahabad Bank Laghu Udhyami Credit Card (LUCC) scheme provides a loan margin of 25% and Allahabad Bank Weavers Credit Card offers a loan margin of 20% for an amount worth more than Rs. 25,000 and no margin is placed on an amount less than Rs. 25000.0

• Loan Quantum:

  The maximum loan amount that can be availed under the Allahabad Bank Artisan Credit Card (ACC) scheme and the Allahabad Bank Weavers Credit Card scheme is Rs 2,00,000. Under the Allahabad Bank Laghu Udhyami Credit Card (LUCC) scheme the maximum loan amount that can be availed for Retail Trade and Small Businesses is 20% of the annual turnover, for Self-employed and Professionals it is 50% of their gross annual income and for Micro & Small Enterprises the maximum loan amount is determined by the Bank based on the recommendations of the Nayak Committee.

• Collateral/Security:

  The Bank has to be provided a security/collateral and this will be determined according to the borrower’s profile, the loan amount he/she has applied for, etc. and it is subject to the guidelines set by the Government of India.

• Primary Security:

  The primary security that has to be provided for availing credit for working capital is the hypothecation of current assets including book debts, stocks, etc. If the cardholder wishes to avail a term loan under this scheme, the primary security that has to be pledged with the bank is the hypothecation of their assets like plant and machinery, which was purchased using the financial assistance offered by the Bank.

• Accessibility:

  Eligible individuals can apply for an Allahabad Bank Credit Card from any semi-urban and rural branches of Allahabad Bank.s

Allahabad Bank Credit Card Charges and Interest:

Allahabad Bank Credit Card Eligibility:

The eligibility criteria for each credit card offered by Allahabad Bank is as follows:

Allahabad Bank Artisan Credit Card (ACC):

In order to be eligible for the Allahabad Bank Artisan Credit Card (ACC):

• The applicant should be an artisan and an existing customer of Allahabad Bank, with a credit facility of Rs 2.00 lakh and a satisfactory transaction history and banking record with the Bank.
• The applicant should be an artisan, who is involved in the manufacture, production and/ or other allied activities in order to be eligible for availing these credit facilities.
• Priority is given by the Bank to those who are registered with the Handicrafts Development Commission as artisans.
• Primary importance is given for artisans belonging to groups like SHGs or other clusters, when the Bank processes credit card requests.
• The Bank does not extend this credit card scheme to artisans who have taken a term loan under the provisions of another Government sponsored Scheme.

Allahabad Bank Weavers Credit Card:

• Weavers and other ancillary workers involved in weaving activities can avail this credit scheme.
• Weavers recognized as per the 3rd Census of Handloom weavers conducted by the Development Commissioner of Handlooms, is given preference by Allahabad Bank.
• Weavers and ancillary workers who are members of Joint Liability Groups, SHGs, Consortia, Producer Companies, Societies, etc. are provided finance under this scheme.
• The existing customers of Allahabad Bank who have availed credit facilities and has a good banking history are eligible to apply for this credit card.

Allahabad Bank Laghu Udhyami Credit Card (LUCC):

Those who are eligible to avail the Allahabad Bank Laghu Udhyami Credit Card (LUCC) are: Existing customers of the Bank who fall under the category of Industries, Services & Business (ISB) sector who have a credit history with the bank. They should have a good transaction record with the Bank for at least three years (latest) and must hold a credit limit of maximum Rs. 10 lakh.

List of Allahabad Bank Credit Cards:

• Allahabad Bank Weavers Credit Card (WCC) - Allahabad Bank Weavers Credit Card (WCC) for the benefit of all weavers and other small-scale ancillary workers. Also, those who are a part of groups/ institutions such as SHGs/ Societies/Consortia/Joint Liability Groups/ Producer Companies, etc. can avail credit under this scheme, to purchase assets such as plants and machinery and more.
• Allahabad Bank Laghu Udhyami Credit Card (LUCC) - The Allahabad Bank Laghu Udhyami Credit Card (LUCC) is offered to borrowers who fall under the category of Retail Trade and Small Business, Self-employed and Professionals, Micro & Small Enterprises, etc. in order to meet their working capital needs for financing the purchase of equipment, raw materials and more. The credit cardholder can also avail a loan against his/her credit card for the purpose of purchasing all necessary things to assist the process of production. With the Allahabad Bank Laghu Udhyami Credit Card (LUCC) Scheme, cardholders can also avail a loan from the purpose of improving their annual turnover.
• Allahabad Bank Artisan Credit Card (ACC) - Allahabad Bank Artisan Credit Card (ACC) scheme. It provides credit to make up for Working Capital for the purchase of equipment, raw materials, etc. and also provides loan against this credit card for the purpose of buying necessary items to assist the production process.

Allahabad Bank Credit Card FAQs:

1. What is the repayment period available on the Allahabad Bank credit cards for working capital?

   The repayment period will be specified by the Bank, for credit availed towards working capital on the Allahabad Bank credit cards. This is open for yearly reviews by the bank.

2. What is the validity of the Allahabad Bank credit cards?

   The validity of the credit cards offered by Allahabad Bank is 3 years. However, it is advised to check with a representative of the bank by contacting their customer care number.

3. What is the tenure for which you can take a term loan against the Allahabad Bank credit cards?

   The tenure of the term loan taken against the Allahabad Bank credit cards can range from 5 years to 7 years.

4. Where can I apply for Allahabad Bank credit cards?

   You can apply for any of the Allahabad Bank credit cards from any branch of the bank.

5. What is the minimum balance for the Allahabad Bank credit card?

   There is no minimum balance for a credit card by Allahabad Bank. However, the maximum limit for the credit card will be decided by the bank depending on many factors such as the credit score of the applicant, the repayment habits of past debts, etc.

6. Can I get an Allahabad Bank credit card in one day?

   No, to process the applications and the documents submitted by the applicant and verify them, it takes a certain amount of time by the bank. Once the form is submitted along with the documents, it can take up to 7 working days for the credit card to be sent to your registered address.

7. How can you apply for an Allahabad Bank credit card?

   You can apply for a credit card from Allahabad Bank either by visiting the nearest branch of the bank and request to apply for a card. A form is required to be filled out by the applicant and a representative of the bank will help you in the process of filing of the form.

8. Is it possible to apply for an Allahabad Bank credit card online?

   Yes, to apply for a credit card from Allahabad Bank online, the applicant must hold a savings or salary account from the bank as well. Apart from this, an application form must be filled out by the applicant which contains details such as Aadhaar number, PAN, date of birth, Passport details, etc.