Jana Small Finance Bank Credit Card Against FD

How Does a Credit Card Against FD Work?

A credit card against FD is a secured card provided against a fixed deposit maintained with a bank. Under this facility, the fixed deposit serves as security, and the card limit is usually offered between 75% and 90% of the deposited amount. These cards are generally preferred by new credit users or customers with a low credit history.

Currently, Jana Small Finance Bank does not offer a credit card against a fixed deposit. Customers looking for this facility may check FD-backed credit cards offered by other banks or NBFCs across India.

List of Credit Card Against FD Options in India

The following banks listed below provide the credit card facility against FD.

Key Features of Credit Card Against FD

Credit cards against FD generally include features related to card usage, billing, transactions, and FD interest rates. Some common features are listed below:

• FD Continues to Earn Interest: The fixed deposit usually keeps earning interest during the card period under the bank’s current fixed deposit interest rates.
• Available on Major Card Networks: Many FD-backed cards are still associated with Visa, RuPay or Mastercard networks for wider acceptability within the country.
• Transactions: These cards support online shopping, bill payments, and POS payments at retail shops.
• Add-on Card Facility: Some banks may offer add on cards to family members.
• EMI Conversion Option: Eligible transactions can also be changed into EMIs as per the bank’s rules and conditions.
• Monthly Billing Statement: Cardholders usually get monthly statements that detail their transactions, the sum that is owed and the date the payment is due.

Credit Card Against FD vs Regular Credit Card

The comparison below explains the main differences between a credit card against FD and a regular unsecured credit card:

Things to Know Before Applying for a Credit Card Against FD

Before applying for a credit card against an FD, it is necessary to understand the fundamental requirements, documentation and credit limit terms related to the facility.

• Fixed Deposit Requirement: Applicants should have a fixed deposit with the bank or need to open a new one before applying for the card.
• Eligibility Conditions: Banks may impose some eligibility conditions regarding fixed deposit amount, age, and residence. Checking these conditions in advance can help avoid application issues.
• Required Documents: Basic documents like ID proof, address proof, fixed deposit details, etc., may be required during the application.
• Credit Limit Linked to FD: The credit limit is typically a percentage of the FD amount. In many cases, banks may offer up to 90% of the fixed deposit value as the card limit.
• Multiple FDs May Increase Limit: Several banks may allow a customer to link multiple eligible FDs to enhance the credit limit.

Key Takeaways

A credit card against FD is a secured card where the credit limit is usually offered between 75% and 90% of the fixed deposit amount. Currently, Jana Small Finance Bank does not provide this facility. Customers checking such options also often compare savings account features, FD interest rates, and other deposit-related banking services before choosing a suitable option.