Credit card is a proficient way to borrow money from the bank to make small or big-ticket purchases.
Talking about SBI credit cards, they are designed to suit the user’s requirements, whether small or big. But when you borrow money from the bank, you will have to pay it back, usually every month if
the amount is big enough to be broken into EMIs.
If the amount is not paid even on EMIs let alone the whole, there are usually finance rates applied to the outstanding amount. These finance or interest rates can be different from one another depending on the type of card you are using. When you borrow funds, you are given a grace period on which you can make the payment without any additional charges to it. There are other options as well such as no-interest EMIs.
The interest rates are only applied to the balance when you do not make your payments on time. For example, you borrowed Rs. 30,000 from the bank and you turned it into an EMI plan for 6 months which becomes Rs. 5,000 per month. Now your monthly due is Rs. 5,000 per month so you will have to make the minimum payment of Rs. 5,000 to keep your balance updated. In any case, if you miss the payment, the amount will be forwarded to next month which will make the total due Rs. 10,000 along with interest rates. But if you pay the entire Rs. 10,000 within the next due date, there will be
no interest rates charged.
SBI Credit Card Interest Rates –
SBI has launched various credit cards in the last few years which covered almost every field and market. The range of SBI credit cards is so vast that it might not be possible to talk about the interest rates of every credit card. The rates are dependent on the type of credit card that you own.
All SBI Credit cards usually have charges of 3.35% per month or 40.2% annually. This can be different from card to card and user to user. These interest rates can be changed based on the user’s credit history which will be conveyed by the bank on the date of issuance.
The rates can be changed as per the bank’s policy and SBI has the sole right to make any changes on any fee or any card. As per the guidelines, you might or might not be informed regarding the changes.
Credit card is a very efficient way for borrowing money to fulfill your everyday purchases and even for business. The credit cards issued by the SBI banks also come with interest rates along with interest-free periods. The interest rates can be different from card to card and even user to user. The rates charged can be changed by the bank itself and only the issuer has the right to do so.
