Telangana Grameena Bank Credit Card Against FD

What is a Telangana Grameena Bank Credit Card Against FD?

A Telangana Grameena Bank credit card against FD is issued by creating a lien on an existing or new FD. This card doesn’t follow the process of regular unsecured credit cards; the security provided by this card generally eliminates the need for income documents or a good credit score. The FD works as collateral for the bank, reducing the risk of default. As per prevailing rates, the FD will keep earning interest at the existing Telangana Grameena Bank FD rates (ranging from 3.50% to 6.70% p.a., for deposits less than ₹1 crore) till maturity.

Telangana Grameena Bank Credit Card Against FD Features

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

• FD Security & Interest: FD remains secured and earns at the applicable FD interest rates. Senior citizens will get an additional 0.5% on the prevailing interest rates for the FD tenure of 1 year or above.
• No Income Proof Needed: Income proof and existing credit history is not required. 
• Available to First-time Users: Homemakers, Students, and new-to-credit customers can avail themselves of this card. 
• Quick & Simple Process: Minimal documentation and faster processing, unlike other unsecured cards. 
• Enhance Credit Score: Timely repayment of dues helps improve the CIBIL score. 

Pros and Cons of Telangana Grameena Bank Credit Card Against FD

Before applying for a Telangana Grameena Bank credit card on FD, weighing its benefits and drawbacks is essential. The table below outlines the key pros and cons to help you make an informed decision:

Application Process for Telangana Grameena Bank Credit Card on FD

The Telangana Grameena Bank Credit Card against Fixed Deposit can be applied for online and offline. Below is a step-by-step guide for each process:

Online Application Process

You can conveniently apply online through the bank’s website by following these simple steps:

• Visit the Official Website: Go to the Telangana Grameena Bank's official Website.
• Navigate to Credit Card Services: Look for the credit card services under the FD-backed product section.
• Link or Fixed Deposit: Open a new account or link the existing FD account.
• Fill Out the Digital Application Form: Finish the digital application form with personal and FD details.
• Upload Required Documents: Upload compulsory 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 prefer visiting the branch can follow these steps for an offline application:

• Visit the Nearest Branch: Locate and visit the nearest Telangana Grameena Bank branch.
• Collect the Application Form: Obtain the bank representative's FD-backed credit card application form.
• Open or Link an FD: Start a new fixed deposit or link an existing one as collateral.
• Provide Required Information: Fill in the form with accurate personal and FD details.
• Submit Documents: Submit photocopies of PAN, identity, and address proof for verification.
• Verification and Card Issuance: Upon successful verification, the credit card is issued and delivered to the registered address.

Credit Card Closure Process on FD

The credit card linked to a fixed deposit can be closed by following a few straightforward steps:

• Settle Outstanding Dues: Clear all the dues on the credit card account.
• Submit Closure Request: Visit the nearest Shriram Finance branch or contact customer care to request closure.
• Bank Review and Lien Removal: The bank reviews and processes the request, removing the lien from the FD.
• Recovery in Unpaid Dues: The bank can draw from the FD if dues are not cleared.
• FD Restoration: After closure, the FD is restored to full liquidity and continues normally until the maturity period.

Who Should Consider a Telangana Grameena Bank Credit Card Against an FD?

A Telangana Grameena Bank credit card against FD can be a suitable option for the following groups:

• New-to-credit users: Borrowers who want to build their credit profile and establish a repayment history through responsible card usage.
• Homemakers and students: Investors without regular income proof who can open a fixed deposit as security to access a credit card facility.
• Customers with low credit scores: Depositors looking to rebuild or improve their CIBIL score through timely repayments on an FD-backed credit card.

Key Takeaways

Telangana Grameena Bank provides secured credit card facilities by using fixed deposits as collateral. Depositors continue to earn as per Telangana Grameena Bank FD rates, with a limit of up to 90% of their value. Applicable for first-time credit users, homemakers, and students who do not have income proof. It has fewer rewards than other unsecured credit cards, but it helps improve creditworthiness. The bank has the right to recover unpaid dues from the FD.