Axis Bank Credit Card Against FD

What is an Axis Bank Credit Card Against FD?

An Axis FD backed credit card is issued against a fixed deposit held with the bank and is ideal for young professionals just starting their careers who lack a credit score. Axis Bank currently offers three such credit cards: My Zone Easy Credit Card, IndianOil Axis Bank Easy Credit Card, and Privilege Easy Credit Card. These cards function like regular credit cards and can be used for purchases, bill payments, and online transactions. The fixed deposit remains locked but continues to earn interest at the applicable Axis Bank FD interest rates,which can go up to 6.45% per annum, depending on the amount, tenure, and category.

Features of Axis Bank FD Backed Credit Card

Axis Bank credit card against FD with easy approval, no income documents required, and an interest-free period. The following are some key features of the FD backed credit card by Axis Bank:

• Credit Limit: For credit cards against FD offered by most banks, the credit limit is directly linked to the FD amount. Axis Bank, too, offers a credit limit of up to 80% of the total value of the fixed deposit.
• Fixed Deposit Requirement: The minimum fixed deposit amount required for an Axis Bank FD backed credit card varies by card variant. For example, the My Zone Easy Credit Card requires a minimum FD of ₹15,000 and allows up to ₹25,00,000, while the Privilege Easy Credit Card requires a minimum FD of ₹65,000 and also allows up to ₹25,00,000.
• Interest-Free Period: Axis Bank offers up to 50 days of interest-free period on purchases made using the Axis Bank Credit Card Against FD, as long as the total bill is paid by the due date.
• Boost Your CIBIL Score: This credit card is an excellent tool for building or improving your credit history. As you make timely payments, your positive payment behavior is reported to credit bureaus, helping to build a strong CIBIL Score.
• Minimal Documentation: As you already have a fixed deposit with Axis Bank, getting a Credit Card Against FD is simple. No income proof is required, and only basic documents like ID and address proof are needed.
• Rewards Points: With an Axis Bank FD credit card, users can earn “EDGE REWARD” Points on every transaction and unlock a range of exclusive benefits, including discounts, cashback, and special offers.

Application Process of Axis Credit Card Against FD

To apply for an Axis Bank FD credit card, follow these steps:

• Netbanking or Mobile Banking Application: Log in using your credentials
• Look for credit cards against FD: Search for it and apply
• Benefits: You can also explore the benefits of Tax Saving FDs under Section 80C
• Aadhaar PAN Details: Enter your details carefully to verify your identity
• Choose FD: Select the fixed deposit amount you wish to use.
• Select your Credit Type: Choose your preferred credit card type.
• Fill Your Basic Details: Fill email ID and contact number
• Make payment: Pay the chosen FD amount.
• Complete KYC: Complete the KYC Video Process
• Activate Your Credit Card: Once confirmed, set your PIN using your credit card

Credit Card Activation via Mobile Banking

Once approved by the bank, you can activate and use your new card by following these sequential steps:

• Download the App: Install the Axis Bank Mobile Banking App from the Google Play Store or Apple App Store.
• Log In Securely: Log in using your Customer ID and verify your registered mobile number with the OTP.
• Track Card Status: Check the status of your application under the dedicated 'Credit Card' section.
• Activate and PIN: Once the physical card is received, use the Mobile/Internet Banking App to activate the card and set up your secure PIN.
• Use Your Card: With your card active and linked to your FD, you can now spend smartly, earn rewards, and build your credit score effortlessly.

Closure Process of Axis Credit Card Against FD

Here’s how you can close your credit card that is linked to a fixed deposit with Axis Bank:

• Clear Outstanding Amounts: Make sure all dues on the Axis Bank FD credit card are paid in full before initiating the closure process.
• Raise a Closure Request: Once your dues are cleared, you can request to close the card using Internet Banking, the Axis Mobile App, customer care, or by visiting your nearest Axis Bank branch.
• FD Unblocking: After the closure request is processed, the bank will remove the lien from your fixed deposit. This usually takes a few working days.
• Early Withdrawal or Pending Dues: Axis Bank FD premature withdrawal usually attracts a 1% penalty on interest. For unpaid card bills, Axis Bank may recover the outstanding amount directly from the deposit.
• Interest or Penalty Adjustment: In such cases, a lower interest rate may apply to the FD, or the bank may deduct applicable penalties as per the FD terms.

Pros and Cons of Axis Credit Card Against FD

The table below highlights some key pros and cons of the Axis credit card against FD to help you make an informed decision:

Eligibility Criteria For Axis Bank Credit Cards Against FD

An Axis Bank FD credit card is a practical choice for individuals in the early stages of their financial journey. Consider applying if you fall into any of these groups:

• Nationality: Must be an Indian Resident.
• Age: Must be 18 or older.
• Documentation: A valid PAN card is mandatory.
• Booking: FDs can be booked easily using any major UPI app or bank app.

Key Takeaways

The Axis Bank FD credit card is issued against a fixed deposit and is suitable for individuals without income proof or a credit history. It offers regular credit card features such as bill payments, online transactions, and EMI options. The Axis Bank FD will stay active and continue to earn applicable interest. This FD backed credit card offers a credit limit of up to 80% of the FD amount and can help users gradually build their credit profile. You can easily compare the current FD interest rate to see how your savings will grow.