Kerala Gramin Bank Credit Card Against FD

What is Kerala Gramin Bank Credit Card Against FD?

A Kerala Gramin Bank Credit Card against FD is issued by placing a lien on an existing or new fixed deposit with the bank. Since the FD serves as collateral, approval is easier and does not require income proof or a high credit score. For deposits below ₹1 crore, the Kerala Gramin Bank FD rates range from 3.25% to 6.90% per annum for general citizens and 3.75% to 7.40% per annum for senior citizens, as of October 1, 2025. The card can be used for everyday expenses like bill payments and shopping, just like any other credit card. 

Kerala Gramin Bank Credit Card Against Fixed Deposit Features

Kerala Gramin Bank offers FD-backed credit cards with easy accessibility and minimal documentation. The following are the key features of this facility:

• Safety and Earnings: The FD remains secure and continues to earn interest at the prevailing FD interest rates.
• No Income Proof Required: Providing income or credit history proof might not be necessary.
• Eligibility: This card is available to students, homemakers, and new credit applicants.
• Easy Documentation: Unlike other unsecured cards, this requires less paperwork and is processed more quickly.
• Credit Score Improvement: Timely repayment helps improve your CIBIL score.
• Low Risk for the Bank: Security of FD minimises the risk for the bank. 

Pros and Cons of Kerala Gramin Bank Credit Card Against FD

The table below highlights the key pros and cons of the Kerala Gramin Bank Credit Card on FD for easy comparison:

Application Process for Kerala Gramin Bank Credit Card Against FD

Applying for a Kerala Gramin Bank Credit Card against FD can be done online and offline.

Online Application Process

Users can follow the steps below if they want to apply for the Kerala Gramin Bank Credit Card against FD via the online method:

• Visit the Official Website: Go to the Kerala Gramin Bank's Website.
• Access Credit Card Services: Go to the credit card services under the FD-backed product section.
• Open or Link FD Account: Open a new or link to the existing FD account.
• Complete the Application Form: Finish the digital application form with personal and FD details.
• Upload Required Documents: Upload the required documents, including PAN Card, Identity proof, and FD receipt. 
• Verification and Card Dispatch: The bank will verify the details before dispatching the credit card.

Offline Application Process

Applicants who wish to apply Kerala Gramin Bank Credit Card against FD offline by visiting the branch can follow these steps:

• Visit the Nearest Branch: Visit the nearest Kerala Gramin Bank branch.
• Collect the Application Form: Collect the physical application form of FD-backed credit cards.
• Open or Link FD Account: Open a new or link the existing FD account.  
• Attach Required Documents: Attach your PAN, Identity Proof, and the FD certificate.
• Submit for Verification: Submit documents for the verification process.
• Wait for Approval: The bank will verify the details provided by you, and after the successful verification process, the card will be dispatched.

Closure Process for Kerala Gramin Bank Credit Card Against FD

You can close the Kerala Gramin Bank Credit Card against FD by following these simple steps:

• Clear Outstanding Dues: Settle all the dues on the credit card account.
• Submit Closure Request: Submit a closure request via the branch, helpline, or official website.
• Bank Review and Lien Removal: The bank reviews and processes the request, removing the lien from the FD.
• Dues Recovery from FD (If Any): If dues are not cleared, the bank has the right to recover from the FD.
• Restore the Deposit to Full Liquidity: After closure, the FD is restored to full liquidity and continues normally until the maturity period.

Who Should Consider Kerala Gramin Bank Credit Card Against FD?

Kerala Gramin Bank Credit Card against FD suits the following customer profiles:

• Existing FD Holders Seeking Liquidity: Useful for depositors who prefer short-term spending access without breaking their FDs.
• First-Time or Low-Credit Applicants: Suitable for customers building credit profiles or preferring a secured card option.
• Self-Employed or Irregular-Income Segments: Offers access to a credit facility without strict income proofs or high-risk assessment.
• Emergency Credit Users: Acts as a standby line for medical, travel, or unforeseen needs, while FDs remain intact.
• Relationship Customers of KGB: Convenient for those maintaining large deposits and seeking an integrated banking-card experience.

Key Takeaways

Kerala Gramin Bank offers secured credit card services against FD by lien-marking deposits. With a maximum limit of 90% of their value, deposits continue earning interest as per Kerala Gramin Bank FD rates. The card facility applies to students without proof of income, homemakers, and first-time credit users. Compared to other unsecured credit cards, it offers fewer benefits but contributes to a higher credit score. The bank may recoup unpaid debts owed to the FD.