It is important to pay your credit card bill on time and duly every month. Learning the best way for you to pay your bill will help you avoid missing the payment due date and incurring penalties. Paying your credit card bill can be a hassle if you don’t know what you’re doing. Banks usually offer a variety of payment modes for customers to make payments. Some of the instruments you can use to pay your credit card bills are cheques, demand drafts, cash, debit cards, and other bank’s credit cards. You can make payments via the following methods which include Internet banking, NEFT, ATMs, drop-boxes, bank branches, post, and other online portals.
The Internet has simplified the way we bank. Making payments on your credit card has never been easier. Almost all banks in India have the facility of Internet Banking, and the smaller banks who do not are jumping on the bandwagon to provide the same convenience to its customers. The following are the online credit card payment options:
To pay credit card bill by online banking follow the below steps
This option is available with some banks such as ICICI Bank via its portal Click to Pay. With this facility, customers can select their card type, enter the card number and verify the payment through a payment gateway. The transaction is processed immediately.
You can login to any other bank’s online banking service and make a transfer of money using the National Electronic Funds Transfer (NEFT) or Immediate Payment Service (IMPS). You cannot use RTGS to make a credit card payment. NEFT and IMPS are accepted all over India and is one of the easiest ways to make a payment.
Banks have special applications on browsers as well as their own mobile banking app which can be used to make payments towards the credit card bill. These are also considered online portals. Mobile apps are convenient as you can make payments from anywhere and at any time. Simply login to the app, select credit cards and make the payment.
You can set standing instructions online with your bank to automatically debit the credit card payment amount from your savings account. You can choose to always pay the bill in full or pay just the minimum amount due.
Banks may have tie ups with other companies to provide you convenient ways to pay your credit card bill. Visa Money Transfer is one such portal which usually takes about 2 working days to be processed. Billdesk is another portal used by many major banks.
Paying your credit card bill is quick and easy. It saves a lot of time which you would’ve otherwise spent on visiting the bank or ATM.
Online payments can be done from the comfort of your own home or office. You can also make payments through your mobile or computer from anywhere around the world.
Online Banking is secure with the IPIN or other ways of authenticating your identity. Banks provide safety features that ensures your privacy and identity are protected. It eliminates the risk of losing money or information in the mail or anywhere else.
When you use online banking facilities, everything is recorded instantly and is available for your review anytime you need. All your information is automatically organised and available at one place. This makes it convenient when you’re budgeting and filing taxes.
You can choose to pay the minimum due, the full amount or any amount that you desire when you pay your credit card bill online. You can change your choice with each bill.
Making payments online saves paper, cheques, envelopes, stamps, and receipts. It also eliminates clutter when you receive all your statements and receipts electronically.
Important tips while making online payments:
You can set standing instructions with your bank or any other bank to make payment towards your credit card every month. The payment will be made towards the minimum amount due or the total amount due as per your preference.
You can use your debit card at the bank’s ATM to clear your credit card dues. Simply select the option of Bill Payment and follow the instructions of the ATM.
The money will be debited from your savings or current account.
You can visit any branch of the bank and pay your bill over the counter in cash. A fee is usually charged for this service.
You can write out a cheque favouring your credit card and deposit it in either a drop box or a cheque payment machine. These are available at the bank’s ATMs or branches.
A few banks have the facility to send an SMS to a designated number. The SMS should contain the whole or part of your savings or current account number and your credit card number. This facility usually has a ceiling limit on the amount you can pay.
Your credit card statement is a letter containing your credit card activity for the current month. Your purchases will be recorded and charged in your statement. You can see the total amount you owe, the minimum amount due and the due date. Credit card statements will give you a breakdown of the expenditure and the interest charged, if any. This statement is generated on the stipulated billing date and will be sent to you via post or email. The statement should reach you within 7-10 days. If you do not receive your statement, you should contact the bank immediately. Credit Card Statements are a record of your expenditure on your credit card and can help you analyse your purchases and budget better in future.
Currently there are no offers available on Credit Card Payments.
Earlier offers included HDFC SmartPay and ICICI bank.
Look out for more credit card payment offers.
For more information on individual bank’s credit card payments, please click on the links below.
You should never miss paying at least the minimum amount due on your credit card. If you do miss a payment, a fee will be levied. The bank may also increase your interest rate. If you continue to miss payments after notifications and reminders, this could result in your card being blocked till the payment is made in full. Upon continuous default, the bank will list you as a defaulter and report you to CIBIL which will impact your credit score and hamper future credit opportunities. Banks also have the right to impose legal action to recover the dues.
Each bank sets different credit card billing dates. For example, if the billing date on your credit card is the 20th of every month, the bill will be generated on 20th and sent to you. The payment due date will normally be 10 days later. Your statement will be sent via post or email, as per your preference.
Not necessarily. If you haven’t spent on your credit card, you may not receive a statement for that month. If you recall spending on your credit card or you are not sure, and you do not receive a statement, please call your bank’s customer service to ensure that there is no payment to be made. The bill is generated on an assigned date and will be mailed to you via post or email. If you do not receive your statement, it will be your responsibility to check your online banking account, your email or call the bank for clarifications.
The fastest method depends on how long your bank takes to process the payment. Generally, the fastest mode of bill payment is online banking where the process is completed immediately or on the same day. IMPS bank transfers are also done instantly.
Cheque payments can take up to 7 working days. You must take into account weekends and holidays, and the cheque collection timings. Ensure your cheque is deposited ahead of the due date to avoid missing the payment. Also double check the information you have provided in the cheque to make sure it does not get rejected due to any errors or missed signatures. Also ensure your bank account has sufficient balance for the cheque to clear.
With the launch of GST on July 1st, 2017, a number of rumours and theories have been flying around regarding the revised taxation structure. One such rumour circulated on WhatsApp urging people to use alternate means to pay their utility bills as the government would be levying GST on the utility bill as well as on the credit card bill. The message further stated that this would result in customers paying GST twice.
The Revenue Secretary debunked this story, issuing a notification on the same where he stated that GST would only be levied once, on the utility bill.
The credit card bill would not have any additional charge. It is to be noted that GST will be payable at 18% only on interest payments, EMI’s and annual charges.
10th July 2017
Now, all the cash payments of more than Rs.2 lakhs that were made during demonetization to pay credit card bills and repay loans have to be disclosed in the new 1 page ITR form. This step has been taken after it was pointed out that unaccounted cash might have been used to clear off loans or pay credit card bills. Also, the new cash deposits column that was introduced in the ITR from November 9 to December 30, 2016 will not be present from next year.
12th April 2017
According to sources within the government, the MDR (merchant discount rate) will be now be borne by the Centre, shifting the cost from the oil companies. The MDR is an additional cost levied on card transactions at fuel outlets, which is 1% on credit cards and 0.25%-1% on debit cards. The charge is passed on to the banks as a convenience fee and had been waived since demonetisation in an effort to encourage cashless transactions at fuel outlets.
Banks began asking the oil companies to pay MDR costs from January 1st, 2017, a request that was declined. Following the threat of blocking card payments at petrol pumps, Hindustan Petroleum, Indian Oil and Bharat Petroleum had initially agreed to absorb the MDR cost until a decision on who would be footing the bill was taken.
However, after both cardholders and oil companies objected to paying the additional fee, the government has ruled that they will be bearing the cost from March 31st, 2017.
Sources from within the 3 companies have stated that they will be petitioning for retrospective compensation of the MDR cost borne by them since demonetisation was implemented.
16th March 2017
In a recent interview, it was announced that the banking giant J.P. Morgan is planning to invest more in their credit card business. The bank has already been investing and spending a lot of money to boost their credit card business from past few many years, this announcement was made specific to the technological upgrades and investment that will help the bank secure a larger market share. J.P. Morgan is one of the biggest banks and credit card issuers in the United States of America, the bank offers credit cards that offers great benefits compared to their competitors. It has been observed that though the bank has been increasing their investments in the credit card business, they are doing extremely well in the credit card market.
9th March 2016
In yet another customer-friendly move, railways has decided to withdraw the service charge of Rs.30 which is charged when a customer makes payment using his/her debit/credit card on any Public Reservation Ticket (PRT) counter across the country.
June 1st, 2016 onwards customers do not need to pay this excess fee of Rs.30 if they are booking tickets via their credit or debit card. Circulars regarding the same have been issued by the railway ministry to all railway zonal heads and the same is expected to be implemented across all counters in the country. The idea is to facilitate debit/credit card payments at ticket counters so as to counter competition faced by the web booking platform, IRCTC.
9th June 2016
Transfast Remittance and Kerala based private sector lender Federal Bank have announced that they will be working together to speed up online inward remittances to India. The decision was taken to enable the bank’s NRI customers in the United States to transfer money in Rupees to their accounts in India. The tie-up between the two firms will enable faster remittances to NRI accounts based in India from the NRI’s bank accounts in the US, and can even be done through both their debit and credit cards. Customers in the US can now send money to India simply by creating an account on https://transfast.com/send-money-to-india or by downloading Transfast App on their iOS/android mobiles.
19th May 2016
The well-known note-taking app, Evernote has now announced localized credit card payments along with discounted pricing for the Indian market. Localized payments are currently available to MasterCard and VISA credit cardholders. Customers will be able to pay in INR (Indian National Rupees) for Evernote Plus and premium subscriptions using their credit cards. Evernote will also make other payment options available along with Evernote Business. To subscribe to Evernote, the company is offering welcome discounts. Yearly subscriptions are available at Rs. 850. Evernote Premium is available at Rs. 1,500. Evernote has 150 million registered users worldwide, and about 5 million users in the India. This step will help provide a good experience for the users.
26th April 2016
As per the proposal approved by the Union Cabinet, the surcharges levied on credit card transactions involving the purchase of railway tickets and fuel, will be waived off in the near future. The convenience fee applicable on all digital transactions will be withdrawn. This is applicable for credit cards, debit cards, mobile wallets, pre-paid cards and so on. This is another step forward on the “Digital India” scheme with the aim of restricting the circulation of black money.
6th April 2016
FreeCharge has partnered with Mumbai based payments solution provider, ePaisa to offer offline payments services for ePaisa’s vast network comprising of retailers, stores, restaurants and home delivery companies. FreeCharge wallet users will be able to get discounts and offers through this partnership along with incentives from certain merchants. ePaisa users can make payments without requiring internet and with the 'On the Go' pin from FreeCharge, this facility is further simplified. FreeCharge intends to provide both offline and online payments for customers. The company has tied-up with McDonalds to offer offline payment solutions and with MasterCard and Yes Bank to offer online payment solutions using the FreeCharge Go virtual card. ePaisa has also developed a mobile based interface to enable small businesses to make debit card and credit card payments using tablets and smartphones.
3rd March 2016
NPCI, the National Payments Corporation of India, escalated its paid-up capital by Rs. 37 crore. This takes its paid-up capital from Rs. 100 crore to Rs. 137 crore. It achieved this by broad-basing its stakeholders over private sector banks and public sector banks. Earlier, 10 banks shared the stake in NPCI which included 2 private banks, 6 public sector banks and 2 foreign banks. Though NPCI is a non-listed entity with no dividend declarations, 46 more banks joined NPCI as shareholders bringing the total number of shareholders to 56. The 46 banks include private banks, public sector banks, foreign banks, cooperative banks and RRBs (Railway Recruitment Boards).
This increase in stakeholders is the first expansion of NPCI and it is predicted that the next phase will begin soon.
By June or July 2016, NPCI plans on launching Rupay credit cards. Also from September, two foreign credit cards will be accepted in India from the Japan Credit Bureau and China UnionPay.
25th February 2016