Breaking Down The Fine Print – Understanding Credit Card Terms And Conditions!

Posted on Monday, August 21st, 2023 | By IndusInd Bank

Credit cards are convenient and rewarding financial tools that can help you manage your expenses, earn rewards, and build your credit score. However, credit cards also come with certain terms and conditions that you need to be aware of before applying for one. These terms and conditions are the legal agreement between you and the credit card issuer that define your rights and obligations as a cardholder. They also contain important information about the fees, charges, interest rates, and benefits of your credit card. In this blog, we will help you understand some of the key terms and conditions that you should look for when choosing a credit card.  

What are the key terms and conditions of a credit card? 

Some of the key terms related to a credit card that you should be aware of are: 
 

• Joining Fee: As the term suggests, the Joining Fee is what you will pay if your application forms for a credit card are accepted. It’s going to vary from bank to bank, and depending on the kind of card you are applying for. 

• Annual Fee and Renewal Fee: These are the fees that you have to pay every year to use your credit card. Some credit cards are also Lifetime Free Cards where you have to pay No Joining, Annual or Renewal Fees. 
   
• Interest Rate and Annual Percentage Rate (APR): These are the rates that determine how much interest you have to pay on your outstanding balance if you do not pay your bill in full by the due date. The Interest Rate is usually expressed as a monthly percentage rate, while the APR is the annualized rate that includes other charges such as processing fees or service tax. 
   
• Credit Limit: This is the maximum amount that you can spend on your credit card at any given time. Your credit limit depends on various factors such as your income, credit score, repayment history, and other debts. You should not exceed your credit limit as it may attract over-limit fees and affect your credit score negatively. 
   
• Minimum Amount Due: This is the minimum amount that you have to pay every month to avoid late payment fees. . The Minimum Amount Due is usually a percentage of your total outstanding balance or a fixed amount, whichever is higher. Paying only the Minimum Amount Due will not reduce your interest burden and may prolong your debt repayment. 
   
• Cash Advance: This is a feature that allows you to withdraw cash from an ATM using your credit card. However, Cash Advances are usually subject to higher interest rates and cash advance fees. Therefore, you should use this feature only in case of emergencies and repay it as soon as possible. 
   
• Reward Points: These are the points that you earn on your credit card transactions based on the reward plan that you choose. You can redeem these points for various options such as air miles, gift vouchers, cash credit etc. Some credit cards also offer accelerated rewards on certain categories or merchants. 
   
• Fuel Surcharge Waiver: This is a benefit that allows you to save on the fuel surcharge that is levied on fuel transactions at petrol pumps. The fuel surcharge waiver may vary from card to card and may have certain limits or conditions. 
   
• Insurance Cover: This is a benefit that provides you with insurance coverage for various scenarios such as lost or stolen cards, fraudulent transactions, personal accident, travel inconvenience, or purchase protection. The insurance cover may vary from card to card and may have certain limits or exclusions. 

Why should you choose IndusInd Bank Credit Cards? 

IndusInd Bank Credit Cards cater to different lifestyle needs and reward you for spending. Some of the reasons why you should choose IndusInd Bank credit cards are: 
 

• Lifetime Free Cards: IndusInd Bank offers lifetime free cards with no annual or joining fees. This means that you can enjoy the benefits of your credit card without worrying about paying any extra charges every year. For example, the IndusInd Bank Platinum Visa Credit Card is a lifetime free card, that offers 1.5 Reward points for every ₹150 spent. 

• Flexible Reward Plans: The reward points you earn with your IndusInd Bank credit cards never expire. It means you can redeem them anytime across various options such as air miles, gift vouchers, cash credit etc. With IndusInd Bank Platinum Aura Edge Credit Card, you have the flexibility to choose your preferred reward plan and earn up to 8X reward points on select merchant categories. 
   
• Exclusive benefits: IndusInd Bank offers exclusive benefits across various categories such as travel, dining, entertainment, shopping, wellness, and more. You can enjoy complimentary lounge access, movie tickets, concierge service, discounts, and offers from various partner brands. For instance, IndusInd Bank EazyDiner Credit Card offers you Postcard Hotel stay voucher worth ₹5,000 at picturesque locations across India and the world. 
   
• Low foreign currency mark-up: IndusInd Bank offers low foreign currency mark-up on international transactions with some of the cards. This means that you can save on the exchange rate difference when you use your card abroad. To give you an idea, IndusInd Bank Club Vistara Explorer Credit Card offers you ZERO forex markup on all international transactions along with a host of travel benefits. 

How can you apply for IndusInd Bank Credit Cards? 

You can apply for a credit card from IndusInd Bank in four easy steps:   

Step 1: Enter your mobile number and PAN  

Step 2: Confirm your address  

Step 3: Select the desired credit card  

Step 4: Complete Video KYC  

You do not need to provide physical documents. All you need is:  

• Aadhaar and PAN number for quick verification  
• Residential proof if the address mentioned in Aadhaar is different from your current address. Once the application is completed, your credit card will be delivered within 2-3 days. 

Conclusion 

If you are looking for a credit card that offers convenience, rewards, and benefits, you should consider applying for an IndusInd Bank credit card online. So, what are you waiting for? Apply for an IndusInd Bank credit card today and experience the difference. 

Apply Now 

Disclaimer: The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. Hence, you are advised to consult your financial advisor before making any financial decision. IndusInd Bank Limited (IBL) does not influence the views of the author in any way. IBL and the author shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information.