Credit cards are a thin rectangular piece of plastic or metal issued by banks or financial service companies, that allows cardholders to borrow money or funds with which they can pay for goods and services with merchants that accept credit cards for payment. Credit cards mandate cardholders to repay the borrowed funds or funds, plus any applicable interest and any other agreements. It is a financial instrument issued by the banks with a pre-set credit limit.

Application of credit cards can be done by

Credit card apply online and credit card apply offline

• Eligibility and Documents Required to do a Credit Card apply online

Eligibility criteria are as follows:

1. Age: You should be at least 18 years and above.
2. Income: Your earnings should match the minimum income required for each credit card.
3. Occupation: Credit cards are available for self-employed and salaried individuals.
4. Credit score: You need a good score to get a credit card.

You will need to furnish the following documents to credit card apply online:

1. Identity proof
2. Age proof
3. Address proof
4. Income proof or employment details
5. PAN Card

• How can a Credit Card apply Online works?

Here are some of the steps in which you can apply for a credit card:

1. Visit the credit card section of a Bank’s website
2. Compare and study the available credit cards and choose one which suits your needs the most.
3. Read the benefits and features of the credit card, its eligibility parameters, the documents needed, and the charge structure.
4. Once you have the complete information about the shortlisted card, click on ‘Apply Now’.
5. Fill in the details required for credit card apply online form. Documents need are your name, age, residential address, date of birth, net monthly income, type of employment, PAN card details, etc.
6. Submit the online application form and your documents like the KYC documents, income proof, PAN card, employment details, etc.
7. Once your application is submitted, you can keep track of your application status online through the Bank’s website.
8. The bank will check your online application and the documents. If you meet the eligibility parameters and your documents pass verification, you would get approval for the card.

• How to Use a Credit Card?

The following are some of the important tips on how to use credit cards in India:

1. Use of the right credit card for the right purchase

If you have many credit cards in India, make sure that you are using the right one based on your needs. For instance, use a travel credit card if you spend part of your income on travel such as booking flight tickets, hotels, and more. This can help you to earn reward points which can be redeemed later on.

2. Shop online using reward points

Credit cards in India offer 2x reward points when you purchase online.

3. Pay the bills into EMIs by using credit cards

The best way to use credit cards is to convert your purchases into EMIs and repay the bills as per your benefit.

4. Opting for a personal loan during emergencies

 Credit card users are allowed by many lenders to convert their unutilized credit limits into personal loans at a nominal interest. This helps credit card users to meet their urgent needs in a limited amount of time.

5. Redeem your reward points

Banks allow their credit card users to redeem their reward points to get an ample amount of discounts on hotel bookings, flight tickets, etc. These reward points provide special shopping vouchers, cashback, and recharge vouchers to credit card users.