Best Credit Cards in India 2020

News About Credit Cards

• Users of Yes Bank can make payments of over Rs.2 lakh from other bank accounts

  On Wednesday, Yes Bank has mentioned that its RTGS services will be enabled in order to allow its customers to make payments towards their credit card dues and loan applications from their bank accounts.

  This announcement has come one day after its customers could make IMPS and NEFT transactions for the same purpose. RTGS payments can be used to make payments of more than Rs.2 lakh. In a tweet, the bank mentioned that the RTGS services have been enabled and making payments towards Yes Bank credit card dues and loans will be available from other bank accounts.

  However, the bank mentioned that the online remittances which include NEFT and RTGS will be still suspended. Any kind of clearing activities will be suspended and the EMIs will be deducted up to the prescribed limit.

  On 5 March, the bank mentioned that the customers will not be allowed to withdraw more than Rs.50,000. Besides the withdrawal limit, the bank also allowed its customers to withdraw money from its own ATMs along with other banks.

  Yes Bank will not able to grant or renew any kind of loan or advance, incur any liability or make any investments. Not only so, but the bank also cannot agree to disburse any payment during the moratorium period either. The Reserve Bank of India has set things in motion for a draft reconstruction scheme for the bank where the State Bank of India will be investing in the bank and will own 49% of the stake. The bailout plan includes infusing of capital amount to Rs.2,450 crore.

  14 March 2020

• Zomato steps foot into the Fintech space, launches credit cards

  The food delivery titan, Zomato has entered the fintech space and is now rolling out co-branded credit cards for their customers. This has been facilitated via the company’s partnership with Master Card and RBL.

  With a target of issuing 1 million credit cards within the first year, this is an effort to help boost the Zomato Gold membership. Under this move, there are two credit cards to choose from: Edition Classic and Edition Card.

  Starting off with a Rs.500 annual membership, the Edition Classic gives you Zomato credit for every purchase. This can then be redeemed at all Zomato-partnered restaurants. The Edition card has been priced at Rs.3,000 and will give the user lounge access at a few domestic airports.

  3 March 2020

• Round-the-clock NEFT payments facilitate last-minute credit card bill payments without late fees

  The Reserve Bank of India has now opened up NEFT payments round the clock, making it easier for credit card holders to pay their bills even at the last minute without having to worry about late payment charges anymore. Most users choose the NEFT payment mode to transfer the due amount from theirs savings accounts to their credit card. When done on the last day, and through NEFT which was not open 24x7 before, the payment would only get credited on the next business day, thus attracting late payment fees which could be as high as 20% of the of the due amount. This late payment also negatively affects credit scores. While this will help to facilitate faster payments of credit card due amounts, the NEFT transactions are likely to take place in one-hour batches that start at 12:30 am and end at 11:30 pm, so these last-minute transactions to credit card bill payments should be avoided between 11:30 pm and 12:30 am. A positive confirmation message will be sent by banks for all NEFT transactions. In most cases, NEFT transactions are free of cost whereas Immediate Payment Service (IMPS) transactions between Rs.10,000 and Rs.1 lakh cost a fee plus GST. Fund transfers through NEFT can be done for up to Rs.2 lakh.

  18 December 2019

• Visa partners with fintech startup FPL for the launch of a mobile-first credit card

  Visa, the global card payments company, has entered into a partnership with First Principle Labs Technologies (FPL Tech), a fintech startup based in Pune, for the launch of mobile-first credit cards in India. A mobile application will also be launched in association with this in order to support customers in managing their credit card payment cycles. The credit cards will be issued by FPL in association with various banks. Visa’s global footprint and technology will be leveraged to increase its usage and acceptability across a wide range of merchants and places. In September 2019, FPL had raised $4.5 million from several investors which included Sequoia Capital and Matrix Partners. In July 2019, the OneScore mobile application was launched by the company to help customers manage and understand credit scores. FPL Tech was founded in September 2018.

  16 December 2019

• LIC waives of convenience fees on credit card transactions

  Life Insurance Corporation (LIC) of India has waived of convenience fees on credit card transactions by policyholders in its bid to boost digital transactions.

  If the policyholder uses their credit card to renew their policy, repayment of loan, loan interest, or make the payment of advance premium, the LIC will not charge any convenience fees on the transaction.

  The insurance company said that all the digital collection will be free of charges. The initiative will allow the LIC customers to make online transactions in a seamless manner, fee of charges. The initiative came into effect from 1 December.

  2 December 2019

• Credit card dues increase by 24.4% compared to last year

  As of 31 August 2019, credit card dues have increased by 24.4% and hit Rs.97,650 crore. Credit card dues were at Rs.78,499 crore at the same time last year. Credit card dues have risen despite the sluggish credit offtake and the slowdown in the economy.

  According to the data provided by the Reserve Bank of India (RBI), credit card dues have increased by 71% when compared to 2017. In August 2017, the credit card dues were at Rs.57,100 crore. According to bankers, credit card growth has seen a decrease in the last 5 months. The usage of credit cards increased after November 2016’s demonetisation. During the five-month period that ended on 31 August 2019, credit card dues have increased by 10.6%. However, the increase in dues had reduced by 37.4% in the period that ended in August 2018. According to an analyst from an investment bank, credit cards are mainly used only at PoS terminals of establishments and shops. On the other hand, customers can use debit cards to withdraw cash in ATMs as well. For the month of August 2019, Rs.59,601 crore worth of credit card transactions were done at PoS terminals while cash withdrawals were at Rs.410 crore. According to the data provided by RBI, cash withdrawals using a debit card were at Rs.287,452 crore for the month of August 2019 and transactions at PoS terminals were at Rs.58,040 crore.

  28 October 2019

• Diwali offers on SBI credit cards

  There bumper Diwali offers waiting for State Bank of India’s credit card customers. Numerous deals have been struck with leading brands for these special offers for customers. Branded as SBI’s India ka Diwali Offer, the topmost spender of the credit card wins a MakeMyTrip holiday worth Rs.1 lakh. There also hourly prizes, daily prizes, weekly prizes, and mega prizes. Some of the prizes include Rs.1000 gift voucher from Puma in the hourly category, Rs.7000 worth wireless headphones in the daily prize category, Rs.17,499 worth Mi A3 smartphone in the weekly category, etc. The bank has also partnered with Amazon during the Amazon Great Indian Festival Sale to offer its customers up to 10% instant discount on online shopping at the site. The Diwali bumper offer is available till 30 October 2019.

  10 October 2019

• RuPay credit cards to be launched by SBI Cards

  Rupay credit cards will soon be launched by SBI Cards. It is a pioneer in the domestic credit card and debit card payment network. It is developed by the National Payment Corporation of India (NPCI) which operates settlement systems and retail payments. RuPay cards are currently accepted internationally in select countries such as the UAE, Bhutan, and Singapore.

  In order to expand its acceptance internationally, RuPay is also tying up with the Japan Credit Bureau, Discover, and China Union Pay. A chatbot called ‘ILA’ which stands for Interactive Live Assistance. It was launched on the SBI Card mobile platform to enhance customer experience. It has more than 40 features which provides a host of self-service functionalities to customers. So far, 14 million queries have been resolved with 97%+ accuracy. SBI Card had a market share of 17.9% by the end of July with 90 lakh customers with an addition of 3 lakh cards every month since December 2018.

  4 September 2019

• Jharkhand Witnesses A Rise In Digital Transactions

  The eastern state of Jharkhand is witnessing an impressive growth in the number of digital transactions that has increased by over 4 lakh in the past one year. As per a report of the State Level Bankers Committee (SLBC), by the end of December 2018, the number of net banking users went up to 24.37 lakh as compared to the 20.34 lakh at end of December 2017. 

  In terms of the number of net banking users, government banks are comfortably ahead of the private players in the state. One of the largest banks, the State Bank of India (SBI) boasts of as many as 14,96,934 net banking users and is followed by the Bank of India which has 2,89,461 users. 

  In terms of credit card, debit card, and ATM users, the number has grown from 1.54 crore to 2.12 crore from December 2017 to December 2018. It’s particularly impressive that the number of credit cards has gone up from 3.54 lakh to 4.12 lakh during the period. 

  The growth is a result of the intense promotion of digital payments by the Central government of the country and the banks. 

  11 March 2019