In India, with all the conventional modes of payment still going strong, you would think many people don’t use credit cards. While it may be true that Indians use them less often than their American counterparts (who may have up to 7 different credit cards to their individual names), India is catching up to the habit of using plastic money on spends like groceries and daily utilities. The Reserve Bank of India has been encouraging the use of digital payments for the last decade and is now seeing the results of its efforts to cut interest rates and regulate credit card use so that it is safe and user-friendly. In a bid to ensure credit card security, the Reserve Bank of India issued a notice, effective October 2020, that all new credit cards issued would only be valid for use in India. Unlike the previous usage, when you could use some credit cards issued in India internationally, this will not be the case anymore. Nonetheless, permission could be sought from banks and credit card companies, and activation for use abroad can be undertaken. The process of how to get a credit card is easier now than it was in previous years, and 2019 saw more women applicants for new credit cards in smaller cities in India.
How online approval works
In the days when coronavirus was at its deadliest (first wave in 2020), most new credit cards were left uncollected from banks and financial institutions, to prevent any contact. However, this was short-lived, as lockdowns eased and were eventually lifted, and so did initial apprehensions. Significantly, credit cards saw a surge in use for payments, with some 6 crore cards used in June/July 2020, as well as withdrawals of cash from ATMs using credit cards, to the amounts of above Rs. 1 lakh crore.
The pandemic has only encouraged people to apply for new credit cards online, as well as to conduct transactions digitally. Online credit card approval has proved to be an easy means of obtaining a credit card, as it ensures convenience, and above all, during pandemic times, contactless methods. Most banks and credit card institutions now have the means of approving credit card applications online. You can even apply on the given bank’s portal through your smartphone, by simply clicking on “Apply for a new credit card”. A representative of the bank or the financial institution from where the credit card is to be issued will collect your documents from you. These would be self-attested copies and would have to personally be verified by the bank’s representative, so a minimal amount of contact may be prevalent. Still, this saves you the hassle of going to the bank or financial institution physically.
Documents needed
You would need to submit the following documents for online credit card approval:
- Identity proof by submitting your Aadhaar/PAN Card, passport, driver’s license, etc.
- Address proof by submitting your Aadhaar Card, passport, electricity bill, etc.
- The submission of the PAN Card is a must.
- Employment/regular income proof.
Some institutions may conduct the whole process online, and let you scan documents and send them, but this varies from bank to bank and organization to organization. Once you have submitted your documents, they will be verified, and the process will go much faster if you have a bank account in the issuing bank. Once your card is approved, after verification, it will soon be couriered to you, with the PIN being sent to you separately. You may change that to a set of digits of your choice.
A great way to spend
A super card to apply online, as its name suggests, is the Bajaj Finserv RBL Bank SuperCard, which lets you spend with substantial rewards and discounts at partner retailers. With the advantage of many features in a single instrument, this credit card offers you cashless payment, with loans of up to 3 months granted. Interest is kept at a low rate of 1.16%, and you get an additional cashback of 5% on your first down payment. The card is beneficial as it acts as an ATM card too, giving you up to 50 days of interest-free use and for a flat processing fee.
