What is a VISA Credit Card?

Introduction
 

Of the companies offering credit cards, VISA stands out as one of the most popular networks around the world. Credit cards offered by VISA are universally accepted and facilitate new-age methods of money transfer including UPI-based payments and contactless payments. You can benefit from travel insurance, fraud protection mechanisms, and cashback rewards by signing up for VISA credit cards. Read on to know more about the features and benefits of VISA credit cards, how you can sign up for these cards, and the eligibility criteria to sign up for these cards. 

What is a VISA card?
 

Cards made by the VISA International Service Association, a US-based payments network, are called “VISA cards”. The VISA network cooperates with banks around the world to offer these cards. You can use VISA cards for shopping, while traveling, and for cash withdrawals. In India, VISA debit cards and VISA credit cards are popular VISA cards that are used by individuals for a range of applications as listed earlier.

What is a VISA debit card?
 

Banks offer VISA debit cards to customers who sign up for their savings accounts. If you sign up for a VISA debit card, you can use it to withdraw, pay, and transfer money (depending on how much you have in your savings account). VISA debit cardholders must sometimes maintain a minimum bank balance in their savings account to avoid any penalty fees. You can use your VISA debit card at all VISA-accepting points including local and overseas ATMs with the VISA logo.

What is a VISA credit card?
 

A VISA credit card, like any other credit card, is an unsecured loan offered by banks to its customers. You can use VISA credit cards to pay your bills and access high-quality goods and services at an affordable rate. Banks offer customers a credit limit on their VISA credit card which is the total amount that they can spend using their VISA credit card. VISA credit cards usually have an interest-free period of up to 55 days depending on the card-issuing bank. This interest-free period is calculated from your last billing date until your upcoming billing date, plus a grace period of 25 days. If you are an IDFC FIRST Bank customer, you can easily automate your VISA credit card using the IDFC FIRST Bank mobile banking app. In the premium benefits segment, IDFC FIRST Bank offers the Ashva credit card which comes with VISA payment channel along with various benefits on shopping, travel, and entertainment expenses. Inspired by the rich culture of ancient Indian heritage, this metal credit card comes with privileges that adds value to your everyday shopping experience. The sleek design and the weight of the metal makes it stand out from other cards. Enjoy a range of premium benefits like complimentary lounge access (4 domestic and 2 international every quarter), Buy1Get1 movie offers (up to ₹400 off on second ticket twice every month), comprehensive trip insurance, and a lot more.    

VISA credit card features and benefits
 

Here are the key features and benefits of VISA credit cards –

• Your credit limit depends on your creditworthiness: If you opt for a VISA credit card, your credit limit is directly dependent on your credit score. If you have a good credit score (above 750, for instance), you can benefit from a higher credit limit. You can also benefit from spending flexibility using a VISA credit card. VISA cards help you make domestic and international purchases (online and offline).
  
  
• A VISA card helps you benefit from various reward points and cashback offers: Different categories of VISA cards help you benefit from category-specific rewards. You can collect reward points on certain purchases which can be exchanged for goods, experiences, statement points, and more. Some VISA credit cards offer extra reward points in specific categories such as dining or entertainment.
  
  
• VISA cards offer fraud protection and security measures: You can prevent your card from unauthorised and suspicious transactions via VISA cards’ chip technology. This technology helps you track fraud in real time and offers zero-liability protection against unauthorised transactions.
  
  
• Most VISA cards are globally accepted and offer travel benefits: You can use your VISA credit card across continents at all times.
  
  
• You can choose from a diverse range of VISA credit cards: Some of the categories of VISA credit cards available are lifetime-free cards, travel cards, and credit cards for salaried individuals/self-employed individuals.

Eligibility for VISA credit card
 

Different banks require customers to follow different eligibility criteria while signing up for their VISA credit cards. Here are the general criteria that an individual must meet while signing up for a credit card –

• Age criteria – The applicant must be at least 18 years old while signing up for a credit card.
• Income criteria – The applicant must have a regular income and must provide a proof of regular income (in certain cases) while signing up for a VISA credit card.
• Employment – Salaried employees working in established companies or self-employed professionals managing their business can sign up for VISA credit cards.
• Nationality – Applicants should be Indian residents or non-resident Indians (NRIs).

Documents required to apply for VISA credit card
 

You will require these documents to apply for a VISA credit card –

• Address proof – Passport/driving license/voter ID, etc.
• Identity proof – Bank statement/voter ID/driving license/pension book, etc.
• Income proof – Bank statement/pay slip/ income tax return
• PAN card
• Passport-size photo

How to apply for VISA credit card
 

Here are the steps you must follow to apply for a VISA credit card –

• Visit the bank’s website, download its mobile banking app and sign in to your account, or visit the bank’s branch.
• Choose your card.
• Check if you are eligible to sign up for the credit card.
• Fill the application form (online or offline), submit your required documents and await the bank’s approval decision.

Tips to manage VISA credit card
 

Here are some tips you can follow to manage your VISA credit card well –

1. Compare various VISA credit cards online before choosing one: Before choosing your VISA credit card, compare the features, interest rates, and rewards offered by various other VISA cards online. You can also check the value of your future EMIs using a credit card EMI calculator.
   
   
2. Pay your credit card bills on time: You can also automate your bill payments to never miss any EMI payment. Features like the Autopay feature on the IDFC FIRST Bank mobile banking app help customers automate their regular payments.
   
   
3. Regularly check your credit card statements: Doing so can help you detect and report unauthorised and suspicious transactions made using your VISA credit card.
   
   
4. Regularly assess the effectiveness and relevance of your VISA credit card rewards: For instance, if you are not a frequent traveler, avoid taking a travel VISA credit card. You should always choose a card whose rewards are relevant to your spending patterns.
   
   
5. Set spending limits to avoid overspending: Overspending can lead to your credit limit being exhausted, which can have a direct impact on your creditworthiness. Setting spending limits can help you manage your credit card spending to a great extent.

Conclusion
 

A VISA credit card offers a blend of convenience, security, and rewards, making it an excellent choice for diverse financial needs. With features like global acceptance, fraud protection, and attractive reward programmes, VISA credit cards cater to a wide range of customer preferences. IDFC FIRST Bank offers a range of credit cards with several payment channels including VISA, Mastercard, and indigenously developed RuPay cards. You can choose a credit card based on your preference and enjoy low and dynamic rates starting at just 0.75% per month (depending on the credit card).