Canara Bank Visa Classic – Benefits, Fees & Eligibility

Introduction

The Visa Classic Credit Card is a versatile offering designed for everyday use, providing up to 50 days of interest-free credit and the convenience of easy EMI conversions through the Canara ai1 app. It boasts zero annual, joining, and enrolment fees, making it an accessible option for many. Cardholders can earn reward points on all Point of Sale (PoS) and e-commerce transactions, with both domestic and international acceptance. The card also comes with a comprehensive suite of insurance covers, including fraudulent charge cover, baggage insurance, purchase protection, and accident covers.

Fees

• Enrollment Fee: Nil
• Annual Fee: Nil
• Card Inactivity Fee: ₹100/-, applicable if the card turnover during the card year is less than ₹12,000/-.
• Free Credit Period: Minimum of 20 days and maximum of 50 days.
• Interest Rate beyond Credit Period / Charges on Revolved Amount: 2.50% per month (Annualized Percentage Rate 30%) on the outstanding amount.
• Minimum Repayment on Revolving Credit (Minimum Amount Due - MAD): 5% of Total outstanding amount (minimum ₹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 addon card).
• Foreign Currency Markup: 3% of the 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 the outstanding principle.
• Surcharges:
  • Railway Tickets - Railway Counters: ₹30 + 2.5% of transaction amount.
  • Railway Tickets - 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 in the upcoming billing month if:
  • The card has been used for a minimum amount of ₹2500/- for purchase transactions during the billing month.
  • Minimum purchase of petrol & petroleum products per occasion (ticket size) for reckoning under this scheme is ₹400/-.
• Cash Advance Charges (Transaction fee for cash withdrawal through Credit Card at Canara Bank ATMs): 3% of the transaction amount, subject to a minimum of ₹30/- for every ₹1000 or part thereof. Use of other Bank ATMs attracts extra charges levied by the respective banks.
• Copy of Charge Slip:
  • Domestic: ₹100/-
  • International: US $10/- or equivalent
• Original Charge Slip:
  • If processed by the 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 will be charged, in addition to existing service charges (2.5% p.m. i.e., 30% per Annum) on carried over balance.
• GST: All the above listed charges exclude GST, and 18% GST will be charged extra.
• Other Expenses: All other out of pocket expenses incurred for any services rendered will be collected in addition to the fees/charges mentioned above.

Rewards

• Reward Points: Earn 2 Points for every ₹100/- spent on Point of Sale (PoS) / E-Commerce transactions.
• Seasonal Offers: Access to seasonal offers available on Canara Cards, including:
  • GoIbibo Discount Offer for 12% on Domestic flight Bookings.
  • GoIbibo Discount Offer for 15% on Hotel Bookings.
  • GoIbibo Discount Offer for 9% on Bus Bookings.
  • GoIbibo Discount Offer for 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.
• EMI Conversion: Easy EMI Conversion facility available through the Canara ai1 app.
• Lounge Access: Not available.

Rewards Redemption Guide

• Reward points can be redeemed for cashback or goods purchase through www.canararewardz.com.

Card Eligibility Criteria

• For Individuals: Independent income with a minimum of ₹1 lakh gross per annum.
• For Staff Members: Minimum annual gross income of ₹60,000/- and minimum net take home salary of not less than ₹4,000/- per month.

Card Review

The Visa Classic Credit Card stands out as a fundamental, no-frills credit card ideal for individuals seeking a straightforward financial tool without the burden of annual or joining fees. Its primary strength lies in its zero-fee structure and broad acceptance for both domestic and international transactions. While it offers a modest reward rate of 2 points per ₹100, the valuable insurance covers for fraudulent charges, baggage, purchase protection, and accidents add significant peace of mind. The ability to convert transactions into EMIs via the Canara ai1 app provides flexibility for larger purchases. However, the card lacks premium perks like lounge access and imposes an inactivity fee if the annual spend is below ₹12,000, which might not suit high-spenders or those looking for extensive travel benefits. The foreign currency markup is competitive at 3%. This card is best suited for first-time credit card users, those looking for a secondary card for everyday expenses, or individuals who prioritize security and a basic rewards program over luxury benefits, provided they can meet the minimum annual turnover to avoid the inactivity fee.

Important Product Details

• Positive Highlights:
  • Zero Annual, Joining, and Enrolment Fees.
  • Up to 50 days of interest-free credit.
  • Earns Reward Points on all PoS / E-Commerce transactions (2 points per ₹100 spent).
  • Domestic and International Acceptance.
  • Easy EMI Conversion facility through Canara ai1 app.
  • Competitive 3% Forex Markup Fee (stated as lowest among peer banks).
  • Comprehensive insurance covers including Fraudulent Charge Cover (₹2,00,000), Baggage Insurance (₹25,000), Purchase Protection (₹25,000), and robust Accident Covers (Air Accident: ₹4L for self, ₹2L for spouse; Other: ₹2L for self, ₹1L for spouse).
  • Seasonal offers, including discounts on GoIbibo bookings for flights, hotels, buses, and outstation cabs.
• Negative Highlights:
  • No Lounge Access benefits.
  • An Inactivity Fee of ₹100/- is charged if annual turnover is less than ₹12,000/-.
  • Fuel Surcharge (1% with min ₹10 + taxes) is applicable, though reimbursement up to ₹100/month is possible under specific conditions (min ₹2500 purchase transactions in billing month, min ₹400 fuel purchase per occasion).
  • Cash advance charges are applicable (3% of transaction amount, min ₹30 per ₹1000).
  • Various other fees apply for services like card replacement, duplicate statements, EMI processing, and late payments.

Other Details

• Acceptance: The card is accepted both domestically and internationally.
• International Usage Activation: International / Global usage can be activated through net banking / mobile banking or by visiting the base branch.
• Transaction Controls: All transaction types (ATM Cash Withdrawal/ Point of Sale / E-Commerce) are allowed and can be made On/Off or limits can be set through net banking / mobile banking or by visiting the base branch.
• Maximum Credit Limit Per Month: ₹5,00,000.
• Cash-Withdrawal Limit: 50% of the Credit Limit or ₹50,000/-, whichever is lower.
• Expected Minimum Annual Turnover on Card: ₹12,000/- to avoid inactivity fee.
• Applicable Taxes: All listed charges exclude GST, and 18% GST will be charged extra.
• Additional Costs: All other out of pocket expenses incurred for any services rendered will be collected in addition to the mentioned fees/charges.
• Fee Changes: All fees/charges are subject to change at the discretion of the Bank. Changes will be indicated in bills/MITC/Bank site/SMS/emails. Intimation on modifications will be provided through SMS/emails.
• Statement Generation: Bill/statement will be generated only when there is a billable transaction for the billing month.
• Resources:
  • User Manual
  • Most Important Terms & Conditions (MITC) for Canara Credit Card
  • Credit Card Policy 2023-24
  • Reward Points portal: https://credit.canararewardz.com/
  • Credit Card Application (English)
  • Credit Card Application (Hindi)