Want to know about a free credit card in detail? Some credit card issuers charge an annual fee to permit you to keep your card account open and enjoy the benefits that come with the card. Which credit cards have this fee? Often, those like reward cards that offer an extra benefit have an annual fee. Usually, a waiver of the charge is available only on minimum spend criteria.
However, this is not the case for all credit cards. A top bank offers credit cards without any joining, membership or annual fee and no conditions apply to that. These credit cards are known as lifetime free cards and highly help you save on credit card charges. On top of being free for life, the cards also offer multiple benefits including rewards, entertainment and travel privileges and more.
Now that you know the details of a free credit card, let’s see how to be eligible for the credit card application.
Eligibility Criteria for a Free Credit Card
You need to ensure to be eligible for a free credit card to go for its application. Here are the eligibility criteria.
- Age Policy: You should be aged 21 years or above.
- Indian Resident and Sourcing Locations: You should qualify as an Indian resident with an existing and permanent residential address in India.
- Credit Bureau History: You should have a good credit bureau score without a history or evidence of missing payments on credit cards or loans or defaulting on loans. The score indicates how likely you would pay credit card statement balances on time in the future.
- Income Eligibility: Check the minimum net monthly income needed to apply for a credit card.
- Internal Policy Criteria: These are internal criteria of lenders to determine your eligibility. These include your credit exposure, customer demographics, any existing relationship with the lender and bureau history.
You can check the eligibility criteria online on the lender’s official website. Once you meet them, you can apply for the credit card online.
Other Fees That Are Not Charged by Some Credit Card Providers
- Cash withdrawal fee: Some lending banks offer interest-free cash withdrawals. That is, you can use your card to withdraw cash from ATMs at 0% interest until the due date of payment. Some lifetime free credit cards have this facility as well.
- Reward redemption fee: Some lending banks don’t charge you when you redeem your credit card reward points. Moreover, the rewards are not capped and they don’t expire. Some free credit cards are available with both these benefits.
If you apply for a lifetime free credit card from a reputed bank, you can also save on other payments. Certain charges like interest charges and forex markup fees are low as per industry standards. All these facilities can help reduce your card bill so you can pay it off conveniently to boost your credit score. When you apply for a credit card online or offline, go through the terms and policies carefully to know about all the applicable charges.