19 May 2021 | 6 min read
Many enterprises have been destroyed and others have experienced a severe financial crisis as a result of the Covid-19 situation. Thus, credit card options help to let you know some simple ways to transfer the fund directly into your bank account. You can now conveniently move money from your credit card directly into your bank account online to avoid any cash shortage problems. Many credit cards are accepted worldwide, making it easy for frequent travelers to use them in any place. Continue reading to learn more in this post.
However, there are some situations where credit card payments are not approved. Consider the following scenario:
As a result, money should be paid from bank accounts in such cases. And if one has a higher credit capital, they would be unable to use such credit lines under these circumstances. Transferring money from a credit card to a bank account is a viable choice for accessing available credit from a credit card.
If the applicant is managing debt, a balance transfer credit card could help to pay down debt faster by transferring an existing balance to a new card at a low interest rate. However, there are hundreds of balance transfer cards that are analyzed to find the most favorable offers for the users at low interest rates and low processing fees. You can compare the best credit cards with 0 interest balance transfers from the list mentioned below and check how much each card can help you to save your money.
SBI helps to transfer the outstanding on your credit card to an SBI Card at low interest rates. You can convert the payment into some simple installments.
Note: If in case you need to close SBI Credit Card, you can easily do it.
If there is eligibility determined based on your credit card usage of the cardholder. It may help you to check the eligibility by calling up the bank customer care executive. There are many attractive features of HDFC Bank Balance Transfer are mentioned below:
The applicant can wish to opt for HSBC Bank balance transfer can choose the installments of 3, 6, 9, 12, 18, and 24 months. Processing fee of 1% of the balance transfer value which is offered for a minimum of Rs. 149 will be charged. The interest rate is offered on the tenure are listed below:
You can transfer money to accounts in over 400 banks all over the world. The measures are as follows:
This bank functions on the same principle as MoneyGram, and the measures are as follows:
This feature was created to help you avoid having too much money in your e-wallet. However, you could also use this to move funds from your credit card to your bank account. The following are related steps:
Bank |
Repayment Tenure |
Interest rate |
ICICI Bank |
3 or 6 months |
1.99% to 3.50% |
SBI |
2 or 6 month |
2.50% to 3.50% |
HDFC Bank |
9 to 48 month |
1.99% to 3.60% |
Axis Bank |
3 and 6 months |
2.50% to 3.40% |
Citibank |
3,6,9 or 12 months |
2.50% to 3.25% |
Standard Chartered Bank |
3+ months |
3.49% to 3.49% |
HSBC Bank |
3 to 24 months |
2.49% to 3.35% |
However, using a credit card to generate a credit to your bank account is not the intended use of a credit card, and using this method to generate cash for your bank account could cause problems. While using a credit card to transfer money to a bank account is a convenient way to avoid paying the high fees associated with credit card cash withdrawals, banks are required to report customers who spend more than Rs. 2 Lakhs per year on credit cards to the IRS. As a result, generating free credit could bring the individual under the scrutiny of the income tax department and other authorized practices.
Furthermore, failing to pay credit card bills after the statement is generated would result in a monthly penalty of 3 to 4% of the unpaid balance. When opposed to legally having a similar fund, the transferred money would cost much more.
Even if there are some limitations and fees associated with transferring funds from a credit card to a savings or current account, it is still less expensive than taking out a personal loan or withdrawing cash from a credit card, all of which have high interest rates and fees. The best form of fund transfer can be selected based on the availability of facilities, apps, and the amount to be transferred from credit card to account. However, be mindful of the regulatory concerns that surround the entire process. You can also check out the information at Afinoz.com.