Santa Claus comes around just once a year. In the meantime, there are Credit Cards.
Canara Bank is among the top banks in the country offering a variety of financial services to its customers. Canara Bank offers credit cards that come with a host of benefits and features across different categories such as rewards, cashback, lifestyle, entertainment, travel, etc.
The Canara Bank credit cards also carry fees and charges, that includes an interest rate. The interest rate of your card is added to your transactions and is included under the ‘Total Amount Due’ in your credit card statement.
An interest rate on the credit card is applicable if you have not paid your total outstanding amount or paid only a portion of your total outstanding amount as the minimum amount due.
For example, suppose the total outstanding amount on your card is Rs.20,000 and you paid Rs.10,000 as a partial payment. The remaining Rs.10,000 will be carried forward to next month’s statement and will attract a certain rate of interest.
If you have paid off your total outstanding amount, Canara Bank will not charge an interest rate on your credit card.
The bank calculates the rate of interest through the Annual Percentage Rate or APR. It is the total rate of interest applicable on your credit card per year.
Canara Bank charges a monthly rate of interest on the due amount daily. You can calculate the Daily Periodic Rate by dividing the Annual Percentage Rate by the total number of days in the year.
For example, if the monthly interest rate charged on your Canara Bank credit card is 2%, the formula used to calculate the interest rate you land up paying on an average daily balance method is as follows:
Interest Rate = [(Total Outstanding Amount x 2% per month x 12 months) X number of days] / 365 days.
| Canara Bank Credit Cards | Monthly Interest Rate | Annual Rate |
|---|---|---|
| Canara Bank Classic Credit Card | 2.5% | 30% |
| Canara Bank Standard Credit Card | 2.5% | 30% |
| Canara Bank Gold Credit Card | 2.5% | 30% |
| Canara Bank Corporate Credit Card | N/A | N/A |
| Canara MasterCard WORLD | 2.5% | 30% |
| Canara RuPay Select Card | 2.5% | 30% |
| Canara RuPay Platinum Card | 2.5% | 30% |
| Canara Bank Secured Credit Card | 2.5% | 30% |
Interest charges on credit cards are applied by Canara Bank not only for the inability to pay the total due amount within the due date but also on other activities and transactions. Some of them are as follows:
The Canara Bank offers an interest-free period of up to 50 days. This does depend on the date of the transaction, and the interest-free credit period will be only applicable if you have paid your total outstanding amount in full for the previous month.
The interest rate charged by the bank will be from the date of transaction date till the previous total balance is paid in full, in case your total amount due is not paid.
You can always contact the customer care of the bank at 1800 425 0018, in case you have any questions or doubts about your credit card charges.
If you are not able to pay your total amount due, the bank will contact you regarding non-payment, and if still not paid, your credit card may be cancelled.
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