Need Help To Understand My SBI Card

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krishnandu

krishnandu

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Hi, I've applied for a Credit Card and got this one SBI Advantage Gold & More Card | Travel & Shopping Cards - SBI Card

SBI Gold And More Advantage Card

Actually I'm getting nothing about the payments and credits and all.

Can anyone please explain me the payments in simple way??

This is my first credit card and I don't know how to handle them. Please help me.

I've already bought a camera for 8800/- using the credit card. So how much will be the interest?? Do I need to pay the whole amount in after next bill?? Or can I pay more than half of the amount now and the remaining amount later(ofcourse with interest)??

Also if you feel anything I should know please mention.

And I want to know some security issues. Say when I give the card to the shop, they can easily see my card number and cvv code mentioned on the back of the page. So they can easily use those to purchase online?? As far I've seen online asks for Card Number, Expiry Date, CVV code which are already mentionedthere on the card(Nothing is hidden).

And in case of online purchase what if the site stores all those details?? I mean my card number, cvv code, expiry date?? They can also purchase using that??

Please help me. Lot's of confusion.
 
Ideally, you are supposed to hide the CVV number with a pen/marker. Be sure that you remember the code, and then hide it. Online sites usually do not store the card details. At most, a few sites may store your card number and expiry date, but nothing else. For any online transactions in India, there is an additional layer of security that is mandated by the RBI - Verified by VIsa or Mastercard Securecode. Get more info about it in your card issuer's webpage. Basically, it is an additional password that is required.

For any transaction made on the card, you will get interest free period up to the due date for payment. After that huge interests on the unpaid amount start accumulating. Make it a habit to pay the amount due in full ALWAYS. Most rants about huge credit card bills are due to this error from the user.

Suppose your card statement date is 10th Feb (with a due date of 28 Feb), and you make a purchase today, your transaction will reflect in the 10th Feb statement and you WILL HAVE TO PAY by 28 Feb. Suppose you make the same transaction on 13th Feb, it will reflect in the 10th March statement, and you get to pay it by 30th March (whenever the payment is due).

Remember to use Private Mode browsing while you are doing the online transaction (especially so if you are using a common computer). Do not transact from internet cafes. Do not save passwords in your browser. Make sure you type the URL of any site you are going to transact on (do not simply follow any links, especially those that come in emails).
 
Credit Cards are for your convenience to buy immediately / urgently to grab a deal, online purchases, overseas payments.

Never ever make a mistake to take Credit Card as soft option for loans. It will break your wallet, waist and moral.

here is short take how you will end up paying.

You spent 8800/- with credit card on 1st february.
Take your billing cycle from 16th to 15th of a month.
your bill will be generated on 15th of february with 8800/- demand.
You will be given most probably 20 days ie 5th march to pay the bill.

If you pay before 5th march 8800/- you will not be charged anything extra.

But say if you pay only 50% ie 4400/- you will be charged late payment or payment roll over charge and interest on 4400/- from 1st february (which ranges from 2.75% to 4% a month)

So in next bill which will be generated on 15th march you will be billed
4400/- remaining payment
500/- payment roll over charge
198/- interest (from 1st february to 15th march at 3% per month)

total due 5098/-

now make a calculation how much costly will be if you drop a payment.

so never make credit card a soft loan option, instead use it to your conveniency to avoid carrying large cash, online deal, overseas payment, other deals.
The best part for a salaried person is if right now if you dont have cash and your billing cycle of credit card is away you can buy now and pay when your salary is credited.
And also a most important dont link your credit card to your savings account and also dont register for autopay if you have some dispute with credit card company you will be deducted even if you dont agree with charges.
 
Thanks got that. Now a big question, what if I want to buy a TV or so?? Which I can't pay within my due date. As far I've got it, it says I need to pay the minimum outstanding due and the remaining amount will be transfered to next bill with interest or some fees. But one of my friend said to not to do this thing, as this is considered as late payment which is a bad mark on credit history, and he asked me if I can't pay the money within the due date, call their helpline, or from Credit Cards | SBI Bank Credit Card India | Online Credit Card Payment - SBI CARD opt for the option of flexipay which is payment on EMI.

Any comment on this thing??
 
medpal said:
But say if you pay only 50% ie 4400/- you will be charged late payment or payment roll over charge and interest on 4400/- from 1st february (which ranges from 2.75% to 4% a month)
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No late payment charges or rollover charges (I haven't heard about this, did you mean interest by this) if you pay on or before due date.
Only interested will be charged and the calculation varies from bank to bank.

OP,
check these for more details:

1. Finance Charges are payable at the monthly percentage rate on all transactions from the date of transaction in the event of the Cardholder choosing not to pay his balance in full, and on all cash advances taken by the Cardholder, till they are paid back. Card Interest Rate is dynamic and will be based on the Cardholder’s usage and payment patterns and is subject to periodic review. The rate of finance charges may increase to a maximum of 3.35% per month [40.2% per annum] from the transaction date. Finance charges, if payable, are subject to levy of Service Taxes and are debited to the Cardholder’s account till the outstanding on the card is paid in full.

2. Late Payment charges will be applicable if Minimum Amount Due is not paid by the payment due date.NIL for Total Amount Due upto Rs. 500; Rs. 100 for Total Amount Due from Rs. 501 - Rs. 1,000; Rs. 350 for Total Amount Due from Rs. 1,001 - Rs. 5,000; Rs. 500 for Total Amount Due from Rs. 5,001 - Rs. 10,000; Rs. 600 for Total Amount Due from Rs. 10,001 - Rs. 25,000; Rs. 700 for Total Amount Due above Rs. 25,000.
 
krishnandu said:
Thanks got that. Now a big question, what if I want to buy a TV or so?? Which I can't pay within my due date. As far I've got it, it says I need to pay the minimum outstanding due and the remaining amount will be transfered to next bill with interest or some fees. But one of my friend said to not to do this thing, as this is considered as late payment which is a bad mark on credit history, and he asked me if I can't pay the money within the due date, call their helpline, or from Credit Cards | SBI Bank Credit Card India | Online Credit Card Payment - SBI CARD opt for the option of flexipay which is payment on EMI.

Any comment on this thing??
Click to expand...
Seriously, if you cannot pay the entire amount within the due date, you should not buy the TV in the first place. A credit card does not give you free cash. It is merely a convenience to avoid carrying huge cash. At the most, you can use it to time your purchases in such a way that you get interest free credit for around 50 days.

Some cards do offer the option for EMI payment. SBI has the flexipay option (the EMI scheme), wherein you can convert any transaction above Rs.2500 into EMIs within 10 days of the transaction. However, SBI charges interest and service charges for the same. Some banks like ICICI offer interest free EMIs. These are useful.
 
As said by vivacious----there won't be any late fee/rollover charges if you pay minimum due amount before due date. The EMI scheme is conditional without any previous pending /carryover amount, best practice would be call customer care regarding EMI before purchase.
 
@vivacious_tg and @virus32win, it depends upon company to company whether roll over charges levied or not, I have seen bills for that charges and in addition interest charges for that too. So better be cautious than lazy.

@krishandu happy to help as Logistopath said try to inquire with your dealer is there and EMI option for using CC to buy TV and what are the charges. That will be the best way to go forward else postpone your TV purchase till you can pay in cash.
 
Ya got that, better is first get the money for which I want to buy then buy the thing, then I can pay it within my due date.

Thanks for all the helps :)
 
Hey this is a very informative thread for me too! :)

Just a small piece of advice to OP (which you might already be aware of) is that while using the card for online transactions just make sure your browser web address says https (secure) and not http.
 
Ya, I already have and use Net Banking, and I always verify the HTTPS thing and also the verification status by Verisign or so before any transaction.
 
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