Canara Bank Visa Corporate Credit Card – Benefits, Fees & Eligibility

Introduction

The Canara VISA Corporate Credit Card, issued by Canara Bank, is designed for businesses to efficiently manage their expenses. Positioned as a practical financial tool for corporate entities, it offers up to 50 days of interest-free credit, domestic and international acceptance, and comprehensive insurance benefits covering fraud, baggage, and accidents. Additionally, cardholders can avail seasonal offers, including discounts on travel bookings.

Fees

• Enrollment Fee (Main Card): ₹250 + GST
• Annual Fee (Only for Add-on Cards): ₹400 + GST
• Card Inactivity Fee (Main & Add-on): NIL
• Interest Rate beyond Credit Period (Revolved Amount): 2.5% per month (Annualized Percentage Rate 30%)
• Foreign Currency Markup: 3% of the transaction amount (considered high)
• Cash Advance Charges:
  • Through Credit Card at Canara Bank ATMs: ₹30 per ₹1000 cash withdrawal, with a minimum of ₹150 per transaction.
  • Use of other Bank ATMs attracts extra charges levied by the respective banks.
• Card Replacement Fee: ₹300 per card (applicable for both primary and add-on card)
• Duplicate Statement: ₹10 per page
• Cheque Dishonor Charges or Unsuccessful Payment Instructions: ₹50
• Surcharges:
  • Railway Tickets - Railway Counters: ₹30 + 2.5% of transaction amount + applicable taxes.
  • Railway Tickets - www.irctc.co.in: 1% of transaction amount + 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:
  • 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.
• Copy of Charge Slip:
  • Domestic: ₹100
  • International: US $10 or equivalent
• Original Charge 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 banks 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.
• All the above listed charges exclude GST, and 18% GST will be charged extra.

Rewards

• Reward Points: Not applicable; no reward points are provided on this card.
• Lounge Access: Not available.
• Insurance Benefits:
  • Fraudulent Charge Cover: ₹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.
• Seasonal Offers: Seasonal offers are available on Canara Cards. Current offers include:
  • Goibibo Discount Offer:
    • 12% on Domestic flight Bookings
    • 15% on Hotel Bookings
    • 9% on Bus Bookings
    • 10% on Outstation Cabs

Rewards Redemption Guide

• Reward points are not provided with this card, therefore, a redemption guide is not applicable.

Card Eligibility Criteria

• Corporate credit card can be issued only to customers of Canara Bank after duly complying with KYC norms.
• Minimum annual turnover of the firm should be ₹10 crores.
• If the annual turnover is less than ₹10 crores, a secured credit card against a lien on the company’s fixed deposit can be sanctioned.
• The applicant must be at least 21 years old and live in India.
• Corporate credit card can be issued with at least one Add-on card.
• The credit card limit must be between ₹50,000 and a maximum of ₹25 crores for the corporate card.
• For Add-on cards, the minimum limit is ₹10,000 and the maximum is ₹5,00,000.
• The credit limit can be a maximum of 30% of the firm’s annual income.
• A good credit history is required to qualify.
• Documents required include proof of identity and proof of income with the application.

Card Review

The Canara VISA Corporate Credit Card is a suitable option for businesses aiming to manage their expenses effectively. It comes with a joining fee of ₹250 + GST. The card provides valuable insurance benefits, including coverage for air accidents, baggage, fraudulent charges, and purchase protection for both the cardholder and their spouse. It also offers a 1% fuel surcharge waiver on fuel transactions, subject to specific spending conditions, and seasonal discounts on travel bookings through Goibibo. However, a notable drawback is the high foreign currency markup fee of 3% and the absence of a reward points program. Overall, it is a practical choice for businesses that prioritize essential features and insurance coverage, though international travelers might find the forex fees a disadvantage.

Pros

• Comprehensive insurance benefits are provided for cardholders, covering fraudulent charges, baggage, purchase protection, and accident coverage (air and non-air) for self and spouse.
• Offers a 1% fuel surcharge waiver on fuel transactions (with conditions).
• Provides seasonal offers, including discounts on travel bookings with Goibibo.
• Offers up to 50 days of interest-free credit.
• Domestic and International Acceptance.

Cons

• The Foreign Currency Markup fee of 3% is considered high.
• No Reward Points are provided on this card.
• Lounge access is not available.

Important Product Details

• Interest-Free Credit Period: Up to 50 days till the next Payment Due Date.
• Transaction Types: All transactions are allowed, including ATM Cash Withdrawal, Point of Sale (PoS), and E-Commerce. These can be made On/Off or limits can be set through net banking/mobile banking or by visiting the base branch.
• Acceptance: Domestic & International Acceptance. International/Global usage can be activated through net banking/mobile banking or by visiting the base branch.
• Maximum Credit Limit Per Month: ₹2,00,00,000/-.
• Cash-Withdrawal Limit: 50% of the credit limit, with a maximum overall limit of ₹5.00 lakhs. Maximum cash limit per Add-on card is ₹25,000.
• Insurance Coverage:
  • Fraudulent Charge Cover: ₹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.
• Seasonal Offers: Current offers include GoIbibo discounts (12% on Domestic flights, 15% on Hotels, 9% on Buses, 10% on Outstation Cabs).
• Lounge Access: Not available.
• Reward Points: Not applicable.

Other Details

• All fees and charges mentioned are exclusive of GST, and an additional 18% GST will be charged.
• Any other out-of-pocket expenses incurred for services rendered will be collected in addition to the stated fees/charges.
• Fees and charges are subject to change at the discretion of the Bank. Changes will be communicated via bills, Most Important Terms & Conditions (MITC), Bank website, SMS, or emails.
• A bill/statement will only be generated if there is a billable transaction for the billing month.
• The free credit period ranges from a minimum of 20 days to a maximum of 50 days.
• Minimum Repayment on Revolving Credit (Minimum Amount Due - MAD): 5% of the total outstanding amount (minimum ₹100) + all applicable charges/fees/taxes + EMI (if availed) + over-the-limit amount (if any).
• Important documents like the User Manual, Most Important Terms & Conditions (MITC) for Canara Credit Card, and Credit Card Policy 2023-24 are available for reference.
• Credit Card Application forms are available in English and Hindi.