What is Finance Charges in HDFC Credit Card?

Hey Pal,

Are you an HDFC credit card holder? You must be thinking, what is finance charges in HDFC credit card? Let me assist you as I am an HDFC credit card holder too.  The interest rate on credit cards is one of the most overlooked features by many cardholders. Every credit card provider, including HDFC Bank, imposes interest on credit card overdue payments on a monthly basis. 

To make the most of their credit card's interest-free period feature and revolving credit facility, HDFC credit cardholders must understand what are finance charges in HDFC credit card on unpaid bills, what types of payments attract interest charges, the interest rate is calculated, and other related details specific to their credit card.

Credit card interest charges, also known as finance charges, are the penalties or interest collected by HDFC Bank if you do not pay your credit card balance in full.

This implies that if you choose to pay only the minimum amount required or a lesser amount, the bank will impose interest on the remaining balance as well as any additional transactions until the balance is paid in full.

Please keep in mind that interest will only be charged if you do not pay your credit card account in full or withdraw cash with your HDFC credit card.

HDFC Bank's interest rates might rise to 3.4 percent each month or 40.8 percent per year. The rate of interest imposed by the bank, on the other hand, may vary depending on the credit card, your relationship with the bank, and how you use your card.

Interest will not be charged if you pay the total amount due (TAD) on your HDFC credit card before the due date. 

• When an HDFC credit card customer decides not to pay the entire balance owing by the due date

• When an HDFC credit card holder elects to pay only the minimum due and carry over a portion of the entire outstanding balance to the following billing cycle

• When an HDFC credit card customer takes advantage of the cash advance feature or withdraws money with the card

I hope this answer would help you with your query of, what is finance charges in HDFC credit card.

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