How to apply for a secured Credit Card

When the term "Credit Card" comes to mind, most envision unsecured cards that necessitate no collateral. Yet, within the vast landscape of credit options lies a lesser-known gem—the secured Credit Card. 

Unlike its unsecured counterpart, secured credit cards are issued against a predetermined deposit. While convenient for financial management, standard Credit Cards often demand a robust credit score as a prerequisite. 

However, achieving and maintaining a credit score of 750 or above can be an uphill battle for many. Getting a secured Credit Card makes sense in such situations.

Let’s understand the benefits, eligibility criteria, and provide a step-by-step on how to apply for a secured Credit Card online, ultimately granting you greater financial flexibility.

Secured credit cards vs. unsecured credit cards
 

Secured credit cards are backed by a cash deposit made by the cardholder, typically equal to the credit limit. This deposit serves as security for the issuer and allows individuals with limited or damaged credit histories to access a card.

Let’s see how secured credit cards differ from unsecured credit cards.

Credit card benefits can prove useful to all users. But a secured credit card is especially beneficial for “freshers”, those with new jobs, self-employed individuals, travellers and homemakers.

IDFC FIRST Bank offers a secured credit card – the FIRST WOW! Credit Card – that comes with several benefits. You can issue it against an IDFC FIRST Bank Fixed Deposit.

General benefits of the FIRST WOW! Secured Credit Card
 

Discover the exceptional benefits of the FIRST WOW! Secured Credit Card, a valuable gateway to financial empowerment.

• Assured credit card:
  
  

  Unveil new opportunities even with a limited credit history, with a credit card that's backed by your fixed deposit. Seamlessly build or restore credit with this secured card, even without an established credit history.

• Credit building:
  
  

  People with low or no credit score often struggle to obtain credit cards. Since this is an assured card, it helps you improve your credit score through responsible credit use. Improved credit scores can help secure loans or mortgages with better terms.

• Worldwide acceptance:
  
  

  The FIRST WOW! Credit Card is accepted worldwide. It allows you to spend at your convenience during domestic and international travel. More importantly, if you are a student abroad or building a career in another country, you can use this credit card for your expenses, safely and confidently.

• Credit limit:
  
  

  The credit limit is a minimum of 100% of the FD value (FD you have issued the card against), and the cash withdrawal limit is 100% of the FD value. This means that you get to decide your credit limit and increase it as and when you like.

• Credit card features:
  
  

  Get the most out of your spending with up to 4X reward points on your transactions. Accumulate points that never expire and effortlessly redeem them online.

Premium features of the FIRST WOW! Credit Card
 

Here are the key features of the FIRST WOW! Credit Card:

• No income proof and documentation are required to avail of this card
• Get a 1% fuel surcharge waiver of up to Rs 200 at all fuel stations on spends of Rs 200 to Rs 5,000
• Earn up to 4X rewards on every purchase you make with the card
• Benefit from a competitive interest rate of up to 7.5% per annum on your fixed deposit
• Enjoy greater savings on international travel with zero forex mark-up fees on transactions
• Get a generous credit limit of at least 100% of your fixed deposit value
• Access an array of enticing perks, including over 300 merchant offers and a tempting 20% discount at 1,500+ restaurants
• Withdraw 100% of your fixed deposit value while still earning uninterrupted interest
• Say goodbye to high-interest rates; carry-over balances start at 9% per annum, ensuring affordability
• Personal Accident cover of up to Rs 2 lakhs
• Lost Card Liability cover of Rs 25,000
• Transactions of above Rs 2,500 can easily be converted into EMIs

The credit card also provides a 5% cashback (up to Rs 1,000) on your first EMI purchase within 30 days of receiving the card.

Since it is readily available against collateral, anyone who wants to build their credit score can use this card to grow. However, there are a few eligibility requirements for issuing this card.

Eligibility for the FIRST WOW! Credit Card 

Listed here are the points to consider for the eligibility for the FIRST WOW! Credit Card -

• Applicants should be at least 18 years of age
• They should be Indian residents with current and permanent addresses in India

How to apply for a FIRST WOW! Credit Card online

If you want to apply for a secured credit card with IDFC FIRST Bank, here are the steps to follow: 

• Go to the FIRST WOW! Credit Card page
• Read through the credit card's features, benefits, and eligibility criteria to ensure that you meet all the requirements
• Click the 'Apply Now' button to start the application process
• Fill in the application form with personal and financial details, including your name, address, income, and employment details
• Choose the fixed deposit amount you wish to link with your secured credit card
• Submit your application and wait for a confirmation message from IDFC FIRST Bank
• Once your application is approved, you must open an FD account with IDFC FIRST Bank and over a pre-specified limit

A jumpstart to achieving financial independence
 

A secured credit card can give you a jumpstart to building credit and attaining financial freedom. The FIRST WOW! Credit Card makes the process even more seamless and easy with low fees and superior benefits. When it comes to rewards and user-friendliness, this card surpasses customer expectations. Get yours now.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.