Kotak Mahindra Bank Credit Card Against FD

What is a Kotak Credit Card Against FD?

Kotak FD credit cards are secured credit cards issued against a fixed deposit. These Kotak credit cards are easy to obtain, making them a great option for individuals without a credit score or credit history. These card is linked to your FD, which continues to earn interest at the applicable Kotak Mahindra Bank FD interest rate.

Kotak811 Dream Different Credit offers a credit limit of up to 80-90% of the deposit, which can be as low as ₹10,000. This card is linked to your fixed deposit, allowing you to access credit without needing proof of income or a credit history. Your FDs linked to a Kotak811 Dream Different card stay active and eligible for applicable fixed deposit interest rates even while serving as collateral for the card.

Kotak811 Dream Different Credit Card

The Kotak 811 Dream Different Credit Card is a popular credit card offered by Kotak Mahindra Bank. Some of the main features of the Kotak 811 Dream Different card are mentioned below.

• The minimum FD amount is Rs. 10,000 for non-811 savings account customers. 
• You can set your own credit limit with this card.
• There is no joining or annual fee.
• Earn 4 reward points against spending Rs 100 on online transactions, and 1 reward point for spending Rs 100 on other transactions.
• Earn Amazon Vouchers up to Rs. 1000 by spending Rs. 72,000 in a year 
• Enjoy a waiver on fuel and railway surcharges.

Kotak Mahindra Bank Credit Card Against FD Features

The following are some key features of the Kotak FD credit card:

• Interest-free cash withdrawal: You can withdraw cash up to 90% of your credit limit, with a processing fee of Rs. 100 per transaction. There is no interest charged on these cash advances for up to 48 days.
• Reward Points on Transaction: With a Kotak credit card against FD, you can earn 4 reward points for every Rs. 100 spent online, and 1 reward point for every Rs. 100 spent on other purchases.
• Balance Transfer: Transfer your credit card balances easily and instantly by calling Kotak Mahindra Bank. The processing fee is Rs. 349 per Rs. 10,000 transferred, and you will continue to have an interest-free period on new retail purchases.
• Add-on Card Facility: Your add-on card comes with all the same benefits as your primary card. You can set the spending limit for each add-on card and track its transactions separately.
• Fuel Surcharge Waiver: Get a 1% fuel surcharge waiver on transactions between Rs. 500 and Rs. 4,000 at all petrol pumps, with a maximum waiver of Rs. 3,500 per year.
• Railway Surcharge Waiver: This credit card offers a railway benefit where you can receive a 1.8% surcharge waiver on transactions made on irctc.co.in and a 2.5% waiver on transactions at Indian railway booking counters, with a maximum waiver of Rs. 500 per year.

Pros and Cons of Kotak Credit Card Against FD

Here’s a quick overview of the pros and cons of the Kotak FD credit card:

Value Chart of Kotak811 Dream Different Credit Card

This table will show you your spending and the money you have saved, and the rewards earned on that spending by using your Kotak Credit Card against FD:

Process of Applying for Kotak FD Credit Card

To apply for a Kotak credit card against an FD, follow these steps:

• Kotak Mobile Banking Application: Log in using your credentials
• Click "FD linked Credit Card": Find and click on the "FD linked Credit Card” or Apply Now or Credit Card section
• Select "Get my Credit Card": After reviewing the features, click on the “Get my Credit Card” 
• Link eligible FD: Create a new Kotak Mahindra savings account or link an existing one. Use UPI in case of a fund shortage from your savings account.
• Add Nominee: Choose a nominee (this is optional).
• Select a delivery address: You can use the address linked to your savings account or add a new one.
• Review your details: After reviewing all the details carefully, confirm them. 
• Submit Application: After successful submission, you will receive a reference number for tracking. The card is usually delivered within 7 to 10 working days.

Closure Process for Kotak Credit Card Against FD

If you want to close your Kotak Mahindra Bank credit card linked to a fixed deposit, follow these steps:

• Clear All Outstanding Payments: Ensure you have paid off all pending amounts on your credit card, including dues, fees, or interest charges.
• Submit a Written/Online Request: At your nearest branch or call the Customer Contact Centre and submit your request.
• Be Specific with the Details: In your request, specify if you want to cancel the credit card and release your Fixed Deposit (FD), or if you want to cancel the card but keep the FD active.
• Receive Confirmation: Kotak Bank will send you a confirmation via email, SMS, or app notification, verifying the successful closure of your credit card and the release of your FD.

Note: The entire process, including the release of your FD, takes about 4 business days.

Who Should Consider the Kotak Mahindra Bank Credit Card Against an FD?

With a credit card against FD, you can achieve several financial goals. A Kotak credit card on FD is ideal for the following individuals:

• First-time credit users: If you have little to no credit history, this card helps you responsibly establish and build your credit score.
• Young professionals and students: For those just starting their careers or education, this card offers access to credit without needing proof of income.
• Individuals without regular income documents: Self-employed, homemakers, or those without formal pay slips can still avail of a credit card using an FD as collateral.
• Cautious savers: Those who prefer using their fixed deposit as security rather than liquidating savings will find this card beneficial.

Eligibility For Kotak811 Dream Different Credit Card

The eligibility criteria for applying for the Kotak Mahindra Bank Credit Card against FD (Kotak811 Dream Different Credit Card) are mentioned below - 

• Primary cardholders must be 18 to 75 years old; add-on cardholders must be 18 or older.
• A minimum FD of Rs. 10,000 is required
• The applicant must be a resident of India
• Only individual FDs are permitted
• Non-resident Indian customers can apply through the offline process only

Key Takeaways

The Kotak Mahindra Bank credit card against FD is a secured credit card designed for individuals who may not have an existing credit history or proof of income. It offers easy approval, a credit limit of up to 90% of the fixed deposit amount, and the FD continues to earn interest at the applicable FD interest rate. With no joining or annual fee, interest-free cash withdrawals for up to 48 days, and added benefits like reward points, surcharge waivers, and add-on card options, it is a practical choice for first-time credit users, young professionals, and anyone seeking a low-risk, collateral-backed credit option.