Canara Bank Visa Classic – Benefits, Fees & Eligibility

Introduction

The Canara VISA Classic Credit Card, issued by Canara Bank, is an entry-level credit card designed for everyday spending. It stands out with zero annual, joining, and enrolment fees, making it an accessible option for new credit card users. Key benefits include an interest-free credit period of up to 50 days and a reward points program for all PoS and e-commerce transactions. The card also offers easy EMI conversion and various insurance covers, providing a comprehensive package for basic financial needs.

Fees

• Enrollment Fee: NIL
• Annual Fee: NIL
• Joining Fee: NIL
• Card Inactivity Fee: ₹100/- if the card turnover during the card year is less than ₹12,000/-.
• Interest Free Credit Period: Upto 50 days till the next Payment Due Date (minimum 20 days).
• Interest Rate beyond Credit Period / Charges on Revolved Amount: 2.5% Per Month (Annualized Percentage Rate 30%) of the outstanding amount.
• Minimum Repayment on Revolving Credit (Minimum Amount Due - MAD): 5% of Total outstanding amount (Min. ₹100) + all applicable charges/fees/taxes + EMI (if availed) + over the limit amount (if any).
• Card Replacement Fee: ₹300/- per card (applicable for both primary and add-on cards).
• Foreign Currency Markup: Upto 3% of transaction amount.
• Duplicate Statement: ₹10 per page.
• Cheque Dishonor Charges or Unsuccessful Payment Instructions: ₹50.
• EMI Processing Fee: 2% of transaction amount, with a minimum of ₹100/- and a maximum of ₹200/-.
• Rate of Interest on EMI:
  • 13% p.a. for EMI periods of 3, 6, and 9 months.
  • 14% p.a. for EMI periods of 12, 18, and 24 months.
• EMI Pre-closure Penal Charges: 2% of outstanding principal.
• Railway Tickets Surcharges:
  • Railway Counters: ₹30 + 2.5% of transaction amount.
  • www.irctc.co.in: 1% of transaction amount + all applicable taxes.
• Fuel Surcharges: 1% of transaction value with a minimum fee of ₹10 + applicable taxes. A maximum of ₹100/- for the billing month would be reimbursed if the card is used for a minimum of ₹2500/- for purchase transactions during the billing month, and the minimum purchase of petrol & petroleum products per occasion is ₹400/-.
• Transaction Fee for Cash Withdrawal at Canara Bank ATMs: 3% of transaction amount subject to a minimum of ₹150/- and finance charges from the date of withdrawal till the date of payment. (Use of other Bank ATMs attracts extra charges levied by respective banks).
• Copy of Charge Slip:
  • Domestic: ₹100/-
  • International: US $10/- or equivalent.
• Original Charges Slip:
  • If processed by Canara Bank: USD 2.00 (approximate rupee equivalent is charged).
  • If procured from other Bank: USD 6.00 (approximate rupee equivalent is charged).
• Collection Charges for Outstation Cheques: ₹100 per instrument + other bank charges, if any.
• Charges in respect of Notices/Reminders sent to cardholders having overdues: ₹50/- per notice.
• Services Charges for Delayed Payment beyond Due Date (For Revolver and Non-revolver): Late payment fee of ₹250/- + GST, in addition to existing service charges (2.5% p.m. i.e. 30% per Annum) on carried over balance.
• All the above listed charges exclude GST, and 18% GST will be charged extra.

Rewards

• Reward Points: Earn 2 Points for every ₹100/- spent on PoS/E-Commerce transactions.
• Seasonal Offers: Access to seasonal offers on Canara Cards, including:
  • GoIbibo Discount Offer: 12% on Domestic flight Bookings, 15% on Hotel Bookings, 9% on Bus Bookings, 10% on Outstation Cabs.
• Insurance Benefits:
  • Fraudulent Charge Cover: Up to ₹2,00,000/-
  • Baggage Insurance: Up to ₹25,000
  • Purchase Protection Cover: Up to ₹25,000
  • Accident Cover (Air Accident): ₹4.00 lakhs for self, ₹2.00 lakhs for spouse.
  • Accident Cover (Other than Air Accident): ₹2.00 lakhs for self, ₹1.00 lakh for spouse.
• Lounge Access: Not available.

Rewards Redemption Guide

• Reward points can be redeemed as Cashback or for Goods Purchase through www.canararewardz.com.

Card Eligibility Criteria

• Applicants must have an independent income with a minimum of ₹2 lakh gross per annum for individuals.

Card Review

The Canara VISA Classic Credit Card is an excellent choice for individuals seeking a basic, no-annual-fee credit card with straightforward rewards. Its primary appeal lies in the zero joining and annual fees, making it very accessible. The card offers a competitive interest-free period of up to 50 days and a decent reward rate of 2 points per ₹100 spent on most transactions. The inclusion of various insurance covers, such as fraudulent charge cover, baggage insurance, purchase protection, and accident cover, adds significant value for an entry-level card. The easy EMI conversion facility through the Canara ai1 app is also a convenient feature.

However, potential applicants should be aware of certain drawbacks. There is an inactivity fee of ₹100 if the annual turnover falls below ₹12,000, which might affect infrequent users. The card does not offer lounge access, which is common for classic cards but worth noting. Cash withdrawal charges are high, and a 3% foreign currency markup fee applies to international transactions. Overall, this card is best suited for existing Canara Bank customers or individuals looking for a simple, cost-effective card for daily domestic spending, who can meet the minimum annual turnover to avoid inactivity fees.

Important Product Details

• Positive Highlights:
  • Zero Annual, Joining, and Enrolment Fee.
  • Upto 50 days of interest-free credit.
  • Earn 2 Reward Points for every ₹100/- spent on PoS/E-Commerce transactions.
  • Domestic & International Acceptance (international usage can be activated).
  • Easy EMI Conversion through the Canara ai1 app.
  • Comprehensive insurance covers including Fraudulent Charge, Baggage, Purchase Protection, Air Accident, and Other Accident.
  • Seasonal offers, such as GoIbibo discounts on flights, hotels, buses, and cabs.
• Negative Highlights:
  • No Lounge Access facility.
  • An Inactivity Fee of ₹100/- is charged if the annual card turnover is less than ₹12,000/-.
  • High Cash Withdrawal Charges (₹30/- per ₹1000/- withdrawn or 3% of transaction amount with a minimum of ₹150/- plus finance charges).
  • Foreign Currency Markup Fee of 3% on forex transactions.
  • High interest rate of 2.5% per month (30% p.a.) on outstanding amounts beyond the interest-free period.
  • Various other charges apply for services like card replacement, duplicate statements, cheque dishonor, EMI pre-closure, and specific surcharges (railway, fuel).

Other Details

• All types of transactions are allowed, including ATM Cash Withdrawal, Point of Sale (PoS), and E-Commerce.
• Transaction types can be enabled/disabled, or limits can be set through net banking, mobile banking, or by visiting the base branch.
• The maximum credit limit per month is ₹5,00,000.
• The cash-withdrawal limit is 50% of the credit limit or ₹50,000/-, whichever is lower.
• International/Global usage can be activated through net banking, mobile banking, or by visiting the base branch.
• All listed charges exclude GST, and 18% GST will be charged extra.
• Any other out-of-pocket expenses incurred for services rendered will be collected in addition to the mentioned fees/charges.
• All fees and charges are subject to change at the discretion of the Bank. Changes will be communicated through bills, Most Important Terms & Conditions (MITC), the Bank's website, SMS, or emails.
• A bill/statement will only be generated when there is a billable transaction for the billing month.
• Important documents and policies such as the User Manual, Most Important Terms & Conditions (MITC), Credit Card Policy, and information on Rewards Points are available via links on the bank's website.