It’s a myth that credit card is financially loss making. However the importance of credit card can never be subsided as it has important benefits over cash/cheque/debit card as follows:

• It protects the card user from fraud detection which otherwise is not available in cash/cheque/debit card.
• Helps in building credit bureau history which helps in getting a loan or credit card in the future provided all the dues are paid fully before the due date and usage is within the limit.
• Discounts/coupons are offered by various stores to frequent buyers.
• Reward points/miles/cash back are offered for every purchase made at petrol pump, travel etc.

Although it has it’s cons but for a beginner, credit card or any type of credit is an entry to the world of financial life. But there are many basic questions being faced by credit card seekers as follows:

Can I get a credit card without a job?

Yes. You can get a credit card against fixed deposit (also called as secured card) or add-on card when you do not have job. It is especially for individuals like housewife, retired persons and others who are non-working. For fixed deposit option, you need to deposit certain amount in the bank and most importantly there is no need to submit income documents. The card limit varies for each bank and is normally in the range of 85%-90% of the FD amount kept with the bank. If dues are not paid then the same would be directly debited from the FD. Check out list of credit cards against FD in India.

You can also apply for an add-on card provided any of your family members holds a card already i.e. they are the primary card holder. In order to be eligible for an add-on card, there should be no payment defaults and these cards are offered only to the spouse, parents or children of the primary card holder.

How to get a credit card with bad credit?

Poor credit rating is a nightmare for the applicants as there are higher chances of rejection. This is because for card companies you are likely to default payments and turn loss making which ultimately impacts company’s profits or increase their non-performing assets (NPAs). However secured credit card as mentioned above is the available option which also helps in improving the credit score provided monthly bills are paid on time and credit limits are not crossed. But most important point to remember when you are issued a secured credit card and regularly make payments is checking with the bank whether your latest repayment history is shared with credit agencies i.e. CIBIL so that credit scores are re-evaluated by CIBIL. Read more on credit cards for bad credit.

Can I get a credit card with no credit?

If you apply for a credit card for the first time there is always a possibility that you do not have credit history. In such cases, as a beginner you can get a credit card through above mentioned two options i.e. secured credit card or add-on card. Read more on credit cards for first timers in India. But first timers should be careful by not over crossing the credit limit and paying the card bills on time else you’ll end up paying late payment charges and hurt your credit score.

Can I get a credit card without a bank account?

Yes. You can get a card even though you do not have any bank account. As mentioned above, secured credit card and add-on card are the available options. But if you have a credit card of axis bank, then you can also apply and get the card of SBI or any other bank provided you fit in their eligibility criterion.

Should you have any questions then please drop comment below. I will reply you at the earliest.