Explore a wide range of credit cards with competitive interest rates, rewards, and exclusive benefits. Experience financial freedom and convenience like never before with our credit card offerings.
Credit Card Interest Rates:
- SBI:
SBI Advantage Platinum Credit Card
Interest Rate: 1.99% per month - ICICI:
ICICI Bank Instant Platinum Credit Card
Interest Rate: 2.49% per month - HDFC:
HDFC Infinia Credit Card
Interest Rate: 1.99% per month - Citibank:
Jet Airways Citibank Titanium Credit Card
Interest Rate: 2.50% per month
Citibank Rewards Credit Card
Interest Rate: 3.15% per month - ICICI:
ICICI Bank Instant Gold Credit Card
Interest Rate: 2.49% per month - SBI:
SBI Advantage Gold & More Credit Card
Interest Rate: 1.99% per month
When is Interest Charged on Credit Cards?
Credit card interest rate is applicable only when you have an outstanding amount in your account or when you have taken a cash advance. The following situations may lead to this:
When you pay only the minimum amount due
When you pay any amount lower than the total amount due
When you make no payment at all
When you have withdrawn cash from an ATM using your credit card
When you carry forward outstanding balances to the next billing cycle, the new purchases you make are not eligible for the interest-free period. This means that you will have to pay interest on new purchases from the first day onwards.
Credit Card Interest-free Period
Credit cards usually offer up to 50 days of interest-free period to the user. However, this does not apply to all transactions, as it depends on the day you make the transaction.
For example:
If your statement date is the 20th of every month, and the bill is due on the 10th of the next month, a transaction made on the 10th of the previous month will enjoy the full 50-day interest-free period.
If you make a purchase on the 10th of the current month, which is 10 days before the statement date, this transaction will only get a 10-day interest-free period.
A purchase made on the 19th will only get 1 day of the interest-free period.
The interest-free period is not applicable to:
Cash withdrawals
Every transaction, if you carry forward your balances to the next cycle
Credit Card EMI Calculator
To calculate your credit card bill, which can be quite complex, many banks provide a Credit Card EMI Calculator tool on their websites. You can input the required information, and the tool will display your bill amount for the month.
FAQs
- What is the typical interest rate on a credit card?
Interest rates on credit cards usually range from 2.5% to 3.5% per month. However, this may vary from issuer to issuer and also from one card to another.
- How does the interest rate on a credit card work?
Interest is compounded on the outstanding balance on a daily basis. It is calculated at the end of each day based on the amount unpaid on your account. The charge is added to your next day’s balance, and the interest will be calculated for the next day.
- When is interest charged on a credit card?
Interest is applicable on your credit card when you roll over an outstanding amount to the next billing cycle. In this case, new purchases will also attract interest from the first day onwards.
- When should I pay my credit card bill to avoid interest?
You must always pay your credit card bill in full on or before the due date to avoid paying any interest on the balance.
- Will interest be charged even if I pay the minimum amount due?
Yes. Interest will be charged on the remaining balance even after you pay the minimum amount.
