ICICI Bank Credit Card Against FD

What is an ICICI Bank Credit Card Against FD?

An ICICI Bank credit card is an FD backed credit card linked to the bank. ICICI Bank offers four types of FD backed credit cards: the Instant Platinum Credit Card, Coral Credit Card, Coral Visa Credit Card, and the Rubyx Credit Card. Each card varies in terms of features, fee structure, and associated benefits.

To apply for these ICICI Bank credit cards, the deposit must be set to auto-renew. While the card remains active, the deposit continues to earn the applicable ICICI Bank FD interest rate. This credit card, without income proof, is especially for those without a credit history or income proof to access credit using their fixed deposit.

Features of the ICICI FD Backed Credit Card

The following are some key features of the ICICI FD Card:

• Minimum Deposit Period: To apply for an ICICI Bank credit card against an FD, the FD must be held for at least 180 days. This ensures the deposit remains active for the entire duration the credit card is valid and serves as security until the card is closed or all dues are cleared.
• Fixed Deposit Requirement: To apply for an ICICI FD credit card, the fixed deposit amount varies by card. The Coral Visa Credit Card requires a minimum FD of ₹30,000, while the Coral Credit Card and Instant Platinum Credit Card require ₹50,000. For the Rubyx Credit Card, the minimum FD needed is ₹75,000.
• Joining Fee and Annual Fee: The joining and annual fees for the credit card against FD ICICI vary by card type. The Instant Platinum Credit Card has no joining or annual fee. Both the Coral Credit Card Against Fixed Deposit and the Coral Visa Credit Card Against FD have a joining fee of ₹500 and an annual fee of ₹500. The Rubyx Credit Card Against Fixed Deposit has a higher fee structure, with a joining fee of ₹3,000 and an annual fee of ₹2,000.

Pros and Cons of ICICI Bank Secured Credit Card

Here's a quick overview of the key pros and cons of the ICICI FD backed credit card to help you decide if it's the right fit for your needs:

Application Process for an ICICI Bank Credit Card Against an FD

Applying for an ICICI FD credit card is a simple process that can be completed through the iMobile app. Here’s a step-by-step guide to help you get started:

1. Log in to iMobile or Internet Banking:

   Access your ICICI Bank saving account by logging into either the iMobile app or the Internet Banking portal.

2. Open a Fixed Deposit:

   Create a new fixed deposit that meets the minimum required amount and is set to auto-renew.

3. Select Your Credit Card Variant:

   Choose the card that best suits your fixed deposit amount and preferred benefits.

4. Activate the Credit Card:

   Once approved, activate your card through iMobile or Internet Banking.

5. Start Using Your Card:

   Your ICICI FD credit card is now ready to use for shopping, bill payments, and other transactions, while your FD continues to earn interest.

Who Should Consider an ICICI Bank Credit Card Against FD?

The ICICI Bank credit card against FD is for those who may not qualify for a regular credit card. You may consider this card if you belong to one of the following groups:

• Young Professionals Beginning Their Careers: If you are new to the workforce and haven’t built a credit history yet, this card can help you access credit. It requires a fixed deposit and does not need income proof.
• First-Time Credit Card Users: This is a good choice for students, freelancers, or homemakers who are applying for their first credit card. The card can be issued with minimal documentation, making the process simple and quick.
• Individuals Looking to Build or Rebuild Credit: Whether you're starting from scratch or recovering from past credit issues, using this card responsibly can help improve your credit score over time.
• Fixed Deposit Holders Seeking Extra Credit Access: If you already have a fixed deposit with ICICI Bank and want to make the most of it, this card offers an easy way to access credit without liquidating your savings.

Closure Process of ICICI Bank Credit Card Against FD

If you wish to close your ICICI Bank credit card linked to a fixed deposit, follow these steps:

1. Settle All Outstanding Dues:

   Ensure that your ICICI FD credit card has no pending balance. The closure process can only begin once the full amount is cleared.

2. Submit a Closure Request:

   After clearing dues, you can request card closure through iMobile, Internet Banking, by calling ICICI Bank customer care, or by visiting the nearest branch.

3. Lien Removal from Fixed Deposit:

   Once the request is processed, ICICI Bank will lift the lien placed on your fixed deposit. The process typically takes 1 to 3 business days

4. Early FD Closure and Unpaid Dues:

   If the FD is closed before its maturity or if any dues remain unpaid, the bank may recover the outstanding amount directly from the deposit balance.

5. Penalty or Interest Recalculation:

   Premature FD withdrawal may result in lower interest payouts or applicable premature withdrawal penalties, as per ICICI Bank's FD policies

Key Takeaways

The ICICI Bank credit card against an FD is a credit card issued against a fixed deposit held with the bank. To qualify for an ICICI Bank FD backed credit card, a minimum investment of ₹50,000 in a fixed deposit is generally required. This deposit acts as security, allowing you to access a credit limit of up to 90%. No income proof or credit history is needed to apply. An FD backed credit card can be requested and managed through iMobile or Internet Banking. It is suitable for individuals who are new to credit, first-time card users, or those looking to build a credit profile. Investors often compare different bank FD interest rates to ensure they are getting the best value before locking in their funds.