Loan on HDFC Bank Credit Card
HDFC incorporated its registered office in Mumbai in 1994. As a part of RBI's liberalisation of the banking industry in 1994, it was among the first to get an in-principle sanction from RBI to set up a bank in the private sector. It was ranked 69th in the Brand Z Top 100 most valuable global brands in 2016.
HDFC merged with Times Bank in the year 2000. It was the first merger of two private banks in the new generation private sector bank category. In 2008 Centurion Bank was acquired by HDFC Bank.
HDFC provides a number of products and services including wholesale banking, retail banking, auto loans, Personal Loans, Loans Against Property, consumer durable loans and Credit Cards. They also have various digital products like Payzapp and Smartbuy.
HDFC Bank Credit Card Loans
HDFC Credit Cards are very popular due to the host of benefits that are offered on the usage of the card.
A loan on HDFC Credit Card is now an added advantage. Whenever you encounter an acute financial crunch you can take resort to the loan on HDFC Credit Card which is available within no time.
A Credit Card allows you to make purchases and defer the payment for 20 to 50 days at zero interest. What if you want to make big purchases and pay for a longer duration? Now, with a Credit Card, this is possible since there is an option for conversion of big purchases into equated monthly instalment (EMI) and to pay in easy instalments.
Types of HDFC Bank Credit Card Loans
With HDFC Credit Card you have four options to manage your finance through Credit Card Loans.
HDFC Insta loan
You can avail this loan for instant funds requirement. This pre-approved limit will be equal to or lesser than your Credit Card limit. EMI of the loan will be included in the first card statement generated after availing the loan and will be shown as a part of the minimum amount due appearing in the monthly billing statement. The rate of interest charged on this loan will be 1.25% p.m. The repayment period ranges from 12 months to 60 months and you can choose the tenure as per your EMI affordability.
HDFC Insta Jumbo Loan
The loan amount will be over and above the Credit Card limit. In this case, the Credit Card limit will not be blocked. A separate card number will be given for the jumbo account and you will receive a separate statement for the loan account. The EMI will be billed in the loan account statement in the immediate next billing cycle. The billing date and payment due date will be the same as the credit card account. The rate of interest charged will be 1.25% p.m. The repayment tenure will be between 12 months to 60 months and you can choose the tenure that suits you the best.
An Auto Pay will be activated for Insta jumbo loan within 7 days of loan booking. The EMI will be debited to the savings account of the cardholder on the due date.
HDFC Balance Transfer of EMI
Pay the outstanding balance on Non-HDFC Bank Credit Card or any loan by converting it to EMI with HDFC Bank Credit Card. The loan amount will be blocked against your Credit Card limit. The repayment tenure ranges from 12 months to 48 months and the interest charged will be 1.10% p.m.
HDFC Smart EMI
Convert every purchase on HDFC Credit Card except jewellery into EMI. The repayment tenure ranges from 9 months to 36 months and the rate of interest charged will be 1.50% p.m.
All the above loans will be approved within seconds as there is no documentation involved.
Benefits of Loan on HDFC Bank Credit Card?
An HDFC Bank Credit Cardholder who avails any one of the above-mentioned loans against the Credit Card can enjoy the following benefits:
- Saving on higher interest payment made to other banks
- Flexible tenure of 9 months to up to 60 months depending upon the facility availed
- Easy and quick processing
- No need of documentation, collateral, or guarantor
- You can convert any big purchase into EMI and avail the facility of flexible repayment tenure
- A nominal processing fee of 1% of the loan amount has to be paid
Eligibility for Loan on HDFC Bank Credit Card
The customers who satisfy the following criteria are eligible for a HDFC Loan on Credit Card:
- Should have an active HDFC Bank Credit Card
- Should have a good payment record of earlier Credit Cards (if any)
- The loan will be sanctioned based on the spends, transaction pattern, and payment history of the borrower.
Key Features of the Loan on HDFC Bank Credit Card
The following are the key features of the Loan on HDFC Bank Credit Card:
- You can avail an instant loan which will be equal to or lesser than your Credit Card limit with an interest at 1.25% p.m. You will have flexible repayment option ranging from 12 months to 60 months.
- For some select cards, there is an option of a loan facility which is pre-approved under Insta Jumbo Loan. The quantum of the loan under this facility will be over and above the credit limit. The credit limit on your card will not be blocked. There will be a separate account for this loan and a separate statement will be generated along with the card statement. The billing date and the repayment due date will be similar to that of the credit card. Interest will be charged at 1.25% p.m. and the repayment tenure ranges from 12 months to 60 months.
- You can transfer of outstanding balance on other Credit Cards, payable within 12 months to 48 months. Balance transfer will be available at a much lower rate i.e., at 1.10% p.m. which enables you to save on the interest outgo. The Credit Card limit up to the balance transfer amount will be blocked.]
- Any purchase on HDFC Credit Card except the purchase of jewellery can be converted to EMI which can be paid within 9 months to 36 months. The rate of interest charged will be 1.50% p.m.
- No documentation, collateral, guarantor required
- Easy processing and quick disbursal of loan and the amount will be directly credited into your savings account.
How to Apply for Loan on HDFC Bank Credit Card?
To apply for any of the 4 types of loan on HDFC Bank Credit Cards mentioned above, a simple application process has to be followed.
You can apply for the loan through Net Banking:
- To begin with register for HDFC Bank Net Banking facility
- Log in to your account and select 'cards'
- Go to 'Transact' option under Credit Card and select the loan type you want to avail
- You will receive a call or SMS on your registered mobile number and you will be informed about the eligible amount, interest rate, tenure, and other loan details.
You can apply for the loan through Phone Banking:
- You can call the HDFC customer care to check for the eligibility and availability of loan on your Credit Card.
- You will receive a call or SMS on your registered mobile number and you will be informed about the eligible amount, interest rate, tenure and other loan details.
You can also approach the nearest HDFC Bank branch that offers a loan on Credit Card.
Modes of Funds Transfer
- The loan amount will be credited directly to your HDFC Bank Savings Account
- For customers who do not have an HDFC Bank Savings Account, or a Demand Draft will be issued to the customer.
- In case of Balance Transfer, the loan amount will be disbursed by way of Demand Draft in favour of the other bank duly mentioning the Credit Card number or the loan account number.
Repayment of Loan on HDFC Bank Credit Card
The EMI of the loan along with GST will be included in the statement of next immediate billing cycle. It will be mentioned along with the minimum amount due in your card statement. You will have to pay the outstanding balance mentioned in the Credit Card statement or the minimum amount due on or before the due date mentioned in the card statement.
In the case of Insta Jumbo loan, an Auto Pay will be activated within 7 days of loan booking. The EMI will be debited to the savings bank account of the cardholder.
For unrestricted use of the card ensure to pay the card dues on or before the due date.
Frequently Asked Questions - Loan on HDFC Bank Credit Card
Who is eligible for a loan on HDFC Bank Credit Card?
A person holding an HDFC Bank Credit Card will be eligible for the loan. The payment of past Credit Card dues should have been made promptly on time and the credit score should be good.
What are the kinds of loans available on HDFC Bank Credit Card?
There are four types of loans available on HDFC Bank Credit Card:
- Insta Loan which is a pre-approved loan up to or lesser than your Credit Card limit
- Insta Jumbo Loan which is a pre-approved loan given to select cardholders which will be over and above the Credit Card limit. The card limit will not be blocked in this case.
- Smart EMI wherein big purchases except for the purchase of jewellery can be converted and paid in easy instalments.
- Balance Transfer wherein the balance on other non HDFC Bankcards can be transferred to HDFC Bank Credit Card and repaid in 12 to 48 EMIs. The card limit will be blocked to the extent of the loan.
How to apply for a Loan on HDFC Bank Credit Card?
You can apply through internet banking or can give a call or send SMS to HDFC Bank customer care from your registered mobile number. Thereafter you will get a call from the executive of HDFC Bank who will inform you about the eligible amount, interest rate, tenure and other details of the loan. You can also visit the nearest branch of HDFC Bank and apply for the loan.
What are the modes of funds transfer?
The loan quantum will be directly credited to your HDFC Bank savings account. If you do not have an HDFC Bank savings account, amount will be given through Demand Draft drawn in favour of the applicant. The name of the applicant will be as per the HDFC Credit Card records. In case of Balance Transfer, the loan amount will be disbursed by way of Demand Draft in favour of the other bank duly mentioning the Credit Card number or loan account number.