Over the years, the total number of credit cards has witnessed sturdy growth. For instance, there was a 27% increase in credit card circulation in India between 2018 and 2019. What makes this financial instrument so popular among users its numerous benefits and the feature of feasible transactions.
Owing to its growing popularity, more individuals are trying to learn about the different ways in which they can use their credit cards to maximize their utility. For example, numerous users opt to send money from credit card to bank account free.
Ways to transfer credit card from credit card to savings account
Typically, there are two ways in which one can avail of this benefit. The following highlights them in brief –
Through mobile wallet apps
Several mobile wallet apps are available these days through which card users can send money from credit card to bank account free. All that one needs to do is download a trusted app from the mobile app store, register on it, and provide necessary details to initiate the transfer of funds.
Individuals first have to recharge the mobile wallet with their credit card and then transfer the amount to their account. Also, different apps may follow different terms of usage, and so it is important to figure them out before using it for fund transfer.
Via official money transferring services
Individuals can use any of the trusted money transferring services that permit online money transfer to accounts. Usually, such apps take 1 to 5 days to transfer the money from the credit card to an account.
Regardless, most money transferring services permit such a transfer, if the account is held and operated by someone other than the card users. Therefore, credit card users should factor in this aspect as well before choosing a particular money transfer option.
However, it must also be noted that not every credit card provider permits such transactions. That being said, there are several other aspects that a card user needs to consider beforehand.
Things to consider
Even though it might be one of the credit card benefits, individuals need to consider a few things in advance before transferring. To begin with –
Permit to transfer and charges
Individuals must find out if their credit card provider allows such a transfer through the credit card or not. If they permit the same, card users must check the other associated charges before initiating the transfer process.
It is advisable for users to use their credit cards wisely to avoid any unnecessary charges being levied on the bill.
They should find out the maximum amount up to which they can transfer money from their credit card to a bank account.
Users may not enjoy interest-free days on such transactions. This means through the course of such a transfer, users would be charged with interest. One should be familiar with the credit card interest rate calculation to manage such expenses more effectively.
Individuals may not be able to send money from credit card to bank account free in all the cases. Credit card users are more likely to be charged with a fee for initiating such transfer.
Rather than transferring money to an account, individuals can opt for credit cards that provide interest-free ATM cash withdrawal and emergency personal loans for a limited period. Credit cards like the Bajaj Finserv RBL Bank SuperCard provide both such facilities along with several other benefits.
Hence, contrary to popular belief, the benefits of credit cards are not just limited to its utility as a medium to pay for purchases. One can use it to send money from credit card to bank account free or at negligible charges by selecting a suitable medium of transfer and credit card.