Assam Gramin Vikash Bank Credit Card Against FD

What is a Credit Card Against FD?

A credit card against FD is a secured credit card issued against a fixed deposit. Most of these cards are issued to customers who do not have proof of income or sufficient credit scores and the limit is typically 75% to 90% of the FD amount.

Assam Gramin Vikash Bank does not provide any FD-backed credit card on its official website. Savings accounts, fixed deposits and loans are some of the key services offered by the Assam Gramin Vikash Bank. Customers may consider other secured credit card options provided by most of the banks or NBFCs.

Top Banks Offering Card Against FD

Below are some of the top banks offering credit cards against fixed deposits.

Features of Credit Card Against FD

Some of the major features of a credit card against an FD are:

• Easy Approval: Since the card is pledged against a fixed deposit, the approval process is much easy then a standard credit card.
• Reduced Risk with Secured Backing: The fixed deposit acts as collateral, reducing the risk for the bank of granting the loan and making it easier for the borrower to access credit.
• Continued FD benefits: In most cases, the fixed deposit will continue to generate the FD interest rate even during the period of the loan will be used to obtain the credit card.
• Continued FD Benefits: In most cases, the fixed deposit continues to earn the FD interest rate even while being used to secure the credit card.

Pros and Cons of Credit Cards Against FD

When considering credit cards against FD, you need to keep in mind that there can be both pros and cons.

Closure Process of a Credit Card Against FD

The closure process of the credit card against FD is simple and some of the key steps are outlined below:

• Pre-clear Outstanding dues: In case you're proceeding with the closure request for the credit card, then outstanding dues such as EMIs must be paid off before the closure.
• Submit Closure Request: You can submit the closure request of your card online or by visiting a nearest branch.
• Physical Card Submission: Bank may ask customers to hand over the physical card for security measures.
• Confirmation to Receive: The bank notifies you that they have confirmed the FD account details, and advises that the credit card has been cancelled.

Key Takeaways

Credit card against FD is a secured credit card that is linked with fixed deposit and is used to build credit history. Usually, the credit limit of a bank will be 75% to 90% of the FD. However, Assam Gramin Vikash Bank doesn't officially provide a credit card with FD support. It is offered by a bank or public/private sector NBFC in India and is less cumbersome with regard to the requirements and approval.