HDFC Bank offers credit cards with no annual fee during the festive season. Details here

HDFC Bank is offering some of its popular credit cards without any annual or other charges during the festive season. The offer is valid until December 31 for Swiggy HDFC Bank Credit Card, Tata Neu Plus HDFC Bank Credit Card, Tata Neu Infinity HDFC Bank Credit Card and until October 31 for Freedom Credit Card and BizFirst Credit Card.

However, remember that only the annual/participation fee is waived and making the card completely free depends entirely on your spending. Therefore, read the detailed text (terms and conditions) before taking the offer. If you do not spend the annual amount stated on the card, you will be charged a renewal fee and will have to pay other expenses. Here are some details you should keep in mind when applying for credit cards that come with fee waivers.

How much is the annual fee for credit cards?

The annual fee is one of the most important fees charged by card issuing banks and, as the name suggests, must be paid every year. It is done during the participation of customers. Card issuers attract customers with many benefits, including waiving the annual fee upon joining. But the problem is that if you do not meet the conditions, which include a fixed spending limit that must be met within the specified period, you will not be able to enjoy the benefits.

“Technically, most credit cards Request an annual fee. However, if you use your card regularly and reach the minimum spending amount, you will be exempt from these fees; for example, HDFC Bank Visa Signature Card waives the annual fee if you spend. ₹15,000 within 90 days from the date of issue of the card, according to HDFC Bank.

Tata Neu Plus has an annual fee. ₹499 while charging Tata Neu Infinity ₹1499 for the same. Annual fee of Swiggy HDFC Bank Credit Card, Freedom HDFC Bank Credit Card and BizFirst Card: ₹500.

Who can benefit from fee exemption?

Fee waivers are usually offered to customers with a good credit profile. This contains something good credit scorelow credit utilization rate and good repayment history. “If you are a loan-eligible customer, the bank can offer you a lifetime free credit card, which means no joining fees or annual fees,” said HDFC Bank. Fee exemptions are also provided on some special days, including the festival season.

How about lifetime free credit cards?

Although banks offer ‘lifetime free credit cards’, these are generally limited to a select group of individuals, which includes individuals with a long credit history with the bank, individuals with large monthly salaries, and high net worth individuals. For others, keeping the card ‘free’ is completely spending Threshold set by banks

What are the other charges?

A ‘lifetime free credit card’ or a card with no annual fee doesn’t make it completely free. You will have to pay fees when you use certain services, such as withdrawing cash and spending beyond your limit. credit limit. Apart from this, if you do not pay your credit card bill in full by the due date, you will have to pay an interest fee that can go up to 3.75% per month.

“There are charges you may have to pay depending on how you use your credit card. For example, if you withdraw cash using a credit card at an ATM or exceed your credit limit or lose your card and request a copy to be provided,” according to HDFC Bank. “But if you use your card only for online and offline purchases and clear your bills before the due date, “Your credit card is free,” he said.

Allirajan M is a journalist with over two decades of experience. He has worked with many of the country’s leading media organizations and has been writing about mutual funds for nearly 16 years.