Features and Benefits of Credit Card

• You can use your card to make online and offline payments, just like a debit card. Here the amount is deducted from your available credit limit. When you pay your bills, the amount is credited back to your card replenishing your credit limit.
• Most credit cards offer up to 50 days of interest-free period in the form of a 30-day billing cycle and around 20 days of grace period, at the end of which the bill due date falls. Note that interest-free period is not applicable in case of cash withdrawals and when you have unpaid balance on your card.
• Credit cards come with the condition that the user pays back the borrowed sum by the bill due date or over time by converting it to EMIs, failure to do so results in interest charges and other penalties.
• If you are unsure whether you should get a credit card or not, here are a few situations under which it makes sense for you to get a credit card:
• You are new to credit and want to build your credit score
• You want to learn responsible use of credit
• You want additional purchasing power
• You want to save on your everyday spends through rewards or cashback
• You want to purchase big-ticket items on EMIs

Eligibility Criteria for Credit Card

The eligibility criteria differ not only from one issuer to another but also for different type of credit cards in India offered by the same issuers. While the basic requirements like age, city of residence, regular source of income, credit score, etc. are likely to remain the same across card variants, the major differentiator is the minimum income requirement. Depending on the type of card, its benefits, and its annual fee, card providers have set the income eligibility criteria for each card they offer.

• Age: Minimum 18 years, Maximum 60 years
• Credit Score: Preferably a score of 700 and above
• Employment Status: Salaried or Self-employed
• Minimum Income: Varies from card to card