NRI Credit Cards

Features of NRI Credit Cards

Reward Points:

• Certain NRI Credit Cards provide double the rewards points for any transactions made abroad. Reward points are provided for transactions made in India as well. However, depending on the bank, a minimum amount of money will need to be spent to earn reward points.
• NRIs will be allowed to spend on travel, luxury, as well as buy items when they are in India or abroad. The payments for these transactions can also be completed in Indian rupee just like a normal credit card.
• NRI Credit Cards cannot be used to buy racing tickets, sweepstakes ticket purchases, lottery ticket purchases, etc. The rules of the credit card will be provided by the bank at the time of issuance of the card.
• Individuals must also have an NRE/NRO account in order to be eligible to opt for the NRI Credit Card. Few banks will also need a minimum balance to be maintained in the account to opt for an NRI Credit Card.

Charges and fees:

• NRI Credit Cards come with basic charges and fees such as a tax fee, withdrawal fees, annual fee, joining fee, etc. Depending on the bank, the fee may vary.

Rate of interest:

• Since credit cards are more like loans that are offered by banks, interest will be charged for any transactions that are made. Depending on the bank, the interest that is being levied will vary. The interest charges are calculated from the date the withdrawal has been made.

Eligibility Criteria for NRI Credit Card

The eligibility criteria to opt for an NRI Credit Card are mentioned below:

• NRIs must have a Non-Resident Ordinary (NRO) or Non-Resident External Rupee (NRE) account. This is the most important eligibility criteria that are requested by most banks. The credit limit of the credit card depends on the balance that is available in the account.
• Certain banks may require a minimum amount of money invested in fixed deposit.
• Few banks require a minimum balance to be maintained in the account. This is mainly done to determine whether the individual can repay the money.

Documents Required for NRI Credit Card

The process to apply for an NRI Credit Card is simple. Individuals can apply for the card on the bank's official website or by visiting the bank. The documents that must be submitted to apply for an NRI Credit Card are mentioned below:

• Photocopy of the passport
• Any official document with a signature present on it must be submitted.
• A self-cheque from a bank that is located abroad.
• The application form which contains details such as the income, bank account, office address, residential address must be filled and submitted.
• In case the individual cannot visit the bank, he/she must upload the documents online.

Important points to consider when choosing an NRI Credit Card

Some of the important points that must be considered when choosing an NRI Credit Card are mentioned below:

• Joining fees
• Rate of interest
• Whether the card is accepted in different countries
• If card protection is provided in case of loss of card
• In case protection is provided against fraud in case the card is stolen or lost
• The charges that are levied in case of late payments
• The various types of payment options that are available. Payment options can be in the form of IMPS/NEFT/Cheque/Cash.
• If 24/7 Customer Service is provided
• Annual fees
• Processing fees
• If cash can be withdrawn at different banks
• The custom duty that is charged in case the card is used in a different country
• If the process to make payments is easy in case it is made from another bank
• Cancellation charges that will be levied

Banks that offer NRI Credit Card

The list of banks that offer NRI Credit Cards are mentioned below:

• HDFC Credit Card
• Kotak Bank Credit Card
• Yes Bank Credit Card
• Axis Bank Credit Card
• SBI Credit Card

FAQs on NRI Credit Cards

1. Can an NRI apply for credit card?

   NRIs can use such credit cards to make travel bookings, purchases, online payments, bill payments, etc. Individuals who own NRI Credit Cards do not have to go through the hassles of currency conversion and can make their payments in rupees.

2. What is proof of NRI status?

   NRI status and residence proof. The applicant has to provide proof of residence abroad in the form of employment details, student status, dependent visa status, or a copy of resident permit in the overseas destination.

3. Can I have 2 NRI accounts?

   Yes, an NRI can more open more than one NRE, NRO or FCNR accounts with different banks in India.

4. What is difference between NRE and NRI?

   An NRE account is a bank account opened in India in the name of an NRI, to park his foreign earnings; whereas, an NRO account is a bank account opened in India in the name of an NRI, to manage the income earned by him in India.