Credit Card Loan
Credit Card is very useful now a days, through which one can make payments right from groceries, to bills. If you urgently need cash then you can apply for loan against your credit card. A Credit Card Loan is a pre-approved loan. CC Loan is a type of Personal loan offered against your credit card, where you can get the loan amount credited to your bank account. If you are in urgent need of cash then you can avail for this loan which can be very useful in case of financial emergency. You can use the loan amount for your personal use such as shopping, wedding, education etc. To avail this loan you don’t need extensive documentation. You can avail for the loan on your credit card based on your credit score.
Credit Card Loan as Comparison to Banks
In this post we are going to discuss in details about the various benefits and features of Credit Card Loans, How to avail for the loan as per comparison to banks etc. I hope this post is going to be help for you if you are thinking to avail a loan against your credit cards.
Also Read: Toyota Finance Car Loan
Benefits and Features of Credit Card Loan
Some of the benefits of CC loan are as follows:
- No extra documentation only minimum documentation required to avail for the loan
- Disbursement of the loan is very quick
- Flexible loan repayment tenure
- Ongoing revolving credit balance that only charges interest when funds are used
- Offers benefits like 0% introductory interest rates on rewards etc.
1. HDFC Bank
HDFC Bank provides pre-approved credit card loans to its customers against your credit limit. Customers can avail HDFC Credit Card Loans facility with zero documentation and preclosure/foreclosure facilities. This loan comes with attractive interest rates[1].
HDFC offers loans on Credit Cards in two ways
- Insta Loan: Insta loan is pre-approved loan on credit card which is given against your allotted credit limit.
- Insta Jumbo Loan: Jumbo loan is given over and above the limit.
HDFC Bank Credit Card Loan Interest Rates
| Interest Rates | Ranges from 1.25% per month |
| Loan Amount | Insta Loan: within the available credit limit.Insta Jumbo Loan: Jumbo loan is given over and above the available credit limit. |
| Repayment Tenure | 1 to 5 years |
| Processing Fees | Up to Rs 999 excluding GST |
| Preclosure Charges | 3% of the principal outstanding amount + GST |
How to Apply for the Loan
- Log in to HDFC credit card net banking account
- Select on credit cards
- Select on Insta Loan
- You can also call your on customer care number of your bank and can avail for the loan
2. SBI Loan against Credit Card
Customers can avail loan on SBI Credit Card with zero documentation and foreclosure charges[1]. SBI CC loan is a pre-approved credit loan offered to its existing SBI credit card holders from 11% p.a. onwards with repayment tenure up to 4 years.
| Interest Rate | 11% to 20% p.a. |
| Loan Amount | Minimum loan up to Rs 25,000 and maximum amount over and above the available credit limit on the loan borrowers credit card |
| Loan Repayment Tenure | Based on the loan applicant’s eligibility |
| Processing Fee | 2% of the loan amount (Min of Rs 499 and Max of Rs 3,000 + GST) |
| Foreclosure Fee | 3% of the principal outstanding amount + GST |
Types of SBI Credit Card Loan
Encash Inline
Encash Inline facility is provided for the bank’s existing credit card holders for loan amount up to their availing credit limit.
| Loan Amount | Minimum Rs 25,000 Maximum amount up to the cardholders availing credit card limit |
| Loan Tenure | Up to 4 years |
Encash
The SBI Encash CC loan is offers to the SBI card holders for loan amounts over and above their availing credit limit.
| Loan Amount | Minimum Rs 25,000 Maximum amount up to the cardholders availing credit card limit |
| Loan Tenure | Up to 4 years |
How to Apply for the Loan
One can apply for the loan through net banking or mobile banking. To apply for the loan existing SBI credit card holders have to log in to their net banking account through bank’s website and can apply for the CC loan.
Customers can also SMS ‘Encash’ to 56767 to check their SBI credit card loan eligibility.
3. Axis Bank
One can avail Credit Card loans from Axis Bank and meet their financial needs in times of emergencies. One can avail for this loan with minimal documentation and flexible loan repayment tenure[1]. Axis Bank offers instant credit card loans to its existing credit card holders. This facility is often termed as ‘Axis Bank Personal Loan on Credit Card.’ The loan amount applied for is directly credited to the savings account of the customer.
| Interest Rate | 12.60% to 22.20% p.a. |
| Processing Fee | Rs 500 or 2% (whichever is higher) |
| Foreclosure Charges | 3% of the outstanding principal or Rs 300, whichever is higher |
Repayment of the Loan
One can repay the availed loan monthly in the form of EMIs. The amount will be added to the customers monthly credit card statement.
How to Apply for an Instant Loan on Credit Card
To apply you must –
- SMS to +918691000002/56161600
- You can log in into Internet Banking to apply for the loan
- Can also apply through Axis Mobile App
4. Loan on IndusInd Bank Credit Card
IndusInd Bank offers loan on credit cards if you are in urgent need of cash. The bank offers loans with low processing fees, and flexible loan repayment tenures. IndusInd Bank offers two types of loans against your IndusInd credit cards. These are:
Indus Easy Loan
You can avail cash with Indus Easy Loan instantly when you are in urgent need of cash. On availing credit card and depending on the credit limit, the bank will offer you pre-approved loan on your credit card.
| Interest Rate | Varies from customer to customer |
| Loan Amount | Rs 5000 and above |
| Loan Tenure | Flexible loan tenure |
| Processing Fee | 2.50% or Rs 250 (whichever is higher) |
Indus Easy EMI
Under this scheme you can convert your credit card purchases into easy and flexible EMIs. If you have spent Rs 2,00 and above within 45 days of the issuance of the credit cards, then you can convert your spends into easy EMIs.
| Interest Rate | Varies from customer to customer |
| Loan Amount | Rs 2000 or above |
| Loan Tenure | 1 year 2 months |
5. ICICI Bank
ICICI Bank offers a credit loan if one urgently needs a cash. You can request a loan against your card from the bank and the bank will directly credit the amount to your savings account if you are eligible. ICICI Bank credit card loan interest rates ranges from 2.49% to 3.67% per month. ICICI Bank offers personal loans on credit cards with an amount of Rs 20 lakh. The credit limit of your card will be your loan amount. However, ICICI Bank will give the loan against the cards to selected customers who meets the basic eligibility criteria.
| Interest Rate | 2.49% to 3.67% p.m. (14.99% to 44% p.a.) |
| Loan Amount | Up to Rs 20 lakh |
| Loan Tenure | Up to 5 years |
ICICI Bank CC Loan Interest Rate as per the Schemes
| ICICI Credit Card Schemes | Interest Rate (per annum) |
| ICICI Bank Instant Platinum Credit Card/ ICICI Bank Instant Gold Credit Card/ Fixed Deposit Instant Credit Card | Ranges from 2.49% p.m. (29.88% p.a.) |
| Inter Miles ICICI Bank Credit Cards/ MakeMyTrip ICICI Bank Credit Cards/ ICICI Bank HPCL Super Saver Credit Card/ Amazon Pay ICICI Bank Credit Card | 3.50% p.m. (42% p.a.) |
| Manchester United Credit Cards/ Emirates Skywards ICICI Bank Emeralde Credit Card/ Emirates Skywards ICICI Bank Sapphiro Credit Card/ Emirates Skywards ICICI Bank Rubyx Credit Card | 3.67% p.m. (44% p.a.) |
| Other Credit Cards | 3.40% p.m. (40.80% p.a.) |
Eligibility
- To be eligible for the loan you should have
- A good payment history and transaction pattern
- A good track record with the bank with respect to your credit card spends.
How to Apply for CC Loan on ICICI Bank
- You can apply via net banking by logging into your net banking account you can apply for the loan against the card.
- You can also log in into your iMobile Pay app and apply for the loan in Credit Card section
- You can also call customer care number
- You can also give misses call on 08045936070
6. IDBI Bank General Credit Card Loan
IDBI is one of the popular banks in India and one of the largest public sector banks in India. IDBI offers a wide range of commercial, banking services and credit products to the customers. IDBI offers credit card loans with competitive interest rates. IDBI General credit card loans are offered to non-farm entrepreneurs.
Features and Benefits of IDBI Loan on Credit Card
There are various features of IDBI CC Loan.
- One can avail loan amount up to Rs 50,000
- It comes with a cash credit margin of 25%
- It comes with a term loan margin of 25%
| Facility | Term Loan Cash Credit |
| Maximum Loan Amount | Up to Rs 5 lakhs |
| Loan Repayment Tenure | Up to 5 years |
| Pricing | Linked to Bank Base Rate |
How to Apply for the Loan
To apply for the loan against credit card you must follow the certain steps
- Visit the IDBI website
- Fill up the form
- Submit the form along with your documents
7. Kotak Mahindra Bank
Avail Instant Credit Card Loan from Kotak. Instant funds transfer and no documentation required to avail CC loan from Kotak and you will also get exclusive benefits from Kotak Mahinda Bank. If you require urgent need of cash you can get instant personal loan on your credit card, and can use the amount for your desired requirements. To apply for the loan you must contact the bank, the bank will check your eligibility for the loan against credit whether you are eligible or not and then sanction it. It offers attractive interest rate against credit card loan.
| Interest Rate | Attractive rate of interest (contact the bank) |
| Loan Amount | Up to Rs 5 lakh |
| Loan Tenure | Up to 4 years |
How to Apply for the Loan
To apply for the loan through net banking you need to follow certain steps
- Login to www.kotak.com
- Click on the ‘Net Banking’ option
- Enter your customer ID and the password to log in into your account
- Click on the option of Credit Card
- Select the Loan on Card option
To apply via mobile banking you need to follow the certain steps
- Download Kotak Mobile Banking App
- Log in to Mobile Banking app by entering the customer ID and MPIN
- Click on the credit card option
- Choose the ‘Loan on Credit Card’ option.
8. Citi Bank Credit Card Loan
Unlike other banks Citi Bank also provides you with instant loan against credit cards which can be used by the credit card holders. Avail CC loan from Citi Bank and get amount above your credit limit and repay your loan amount in easy instalments of up to 48 months. No paperwork needed, avail instantly via Citi Mobile App or Citibank Online. For further details contact the bank.
How to Apply for the Loan
To apply for the loan from Citi Mobile App. You need to follow the certain steps –
- Open your Citi Mobile App
- Choose Loan on Credit Card
- Choose the amount you wish to avail
- Pick the repayment tenure that works for you
- The amount will be sanctioned to your account
9. Kisan CC Loan (Indian Bank)
Indian Bank offers Kisan Credit Card Loans for Agricultural beneficiaries to meet the short term credit requirements for cultivation of crops, post-harvest expenses, requirements of farmer households etc. Validity of KCC is up to 5 years and no margin is required, an additional 10% of the crop loan component increase in scale of finance for every successive year. The account holders of KCC can operate their account through bank branch, ATM, PoS machines.
| Rate of Interest | Up to 3 lakhs 7% (wherever interest subvention is available) |
| Loan Amount | Up to 3 lakhs |
| Loan Tenure | Up to 12 months |
| Processing Fees | NIL up to Rs 3 lakh |
Eligibility
- All Farmers
- Tenant Farmers, Oral Lessees and Share Croppers
- Share Croppers etc.
10. HSBC Loan on Credit Card
HSBC Bank is a multinational bank that offers exclusive financial services such as cash management, retail banking, credit cards and various other banking facilities. HSBC provides CC loan to its customers holding credit cards. The card holders can avail the loan to pay of their expenses. Get your CC loan from HSBC and shop till you drop and make low interest repayments. With HSBC get access to cash instantly through NEFT or draft facility.
| Rate of Interest | 15% to 21% per annum |
| Loan Amount | 4 to 5 lakhs |
| Loan Tenure | Up to 24 months |
| Processing Fees | 2 to 3 % (minimum of Rs 200, whichever is applicable) |
How to Apply for the Loan
- Login to HSBC India Mobile Banking App and apply for the loan through your phone
- Select transaction of your choice
- Select the repayment option
- Provide all your basic details such as email id, mobile number etc
- Submit the application form
FAQs
1. What do you mean by Credit Card Loan?
Ans: CC Loan is a type of Personal loan offered against your credit card, where you can get the loan amount credited to your bank account. If you are in urgent need of cash then you can avail for this loan which can be very useful in case of financial emergency.
2. Can every person can apply for a CC loan?
Ans: No, the facility is offered to only selected card holders, you need to be eligible for this loan based on your credit payment history and should have a good track record with the bank with respect to your credit card spends.
3. Name some of the advantages and disadvantages of CC Loan?
Ans: Some of the advantages and disadvantages of CC loan are as follows:
| Advantage | Disadvantage |
| Quick access to cash | Higher interest rates than personal loan |
| One of the most convenient forms of borrowing | Credit card limit may be blocked |
| No additional documents required | Not all card holders are eligible for the loan |
4. What are the documents required to apply for the CC loan?
Ans: Most of the loans on credit cards are pre-approved and required no collateral. No additional documents are required while applying for a loan on credit card.
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