In times of urgent need of cash when your bank balance is low, credit card comes as an helping hand. They help you buy goods and services almost anywhere and anytime. One of the greater charms of using credit cards are that, they are hassle free, easily accessed, and less time-consuming compared to normal format of applying for loans. But there can be an occasion, that you want to use your credit card in emergency, however, cannot do so because you are blocked. Invalid credit card can be due to various reason and requires attention. It is very important be aware of various steps that can help you unblock your credit card.
Let’s understand, various situation to why your credit card was blocked and what can be done in such scenarios.
1. Over utilization
Generally, the lowest credit card has a transaction limit of Rs 25,000 a month for every individual. There are host of categories in credit cards like classic, premium, gold, etc. and their transaction limit is different. The higher is your credit card, for instance gold or premium – then the higher will be your usage limit in a month.
However, not many are aware that their credit cards can be blocked on over utilization. For instance, you continue to swipe and exhaust the limit of the credit card, then it will be blocked.
What can be done?
When the card is blocked in this case, you can unblock by making the payment of the amount used. However, making payment of the amount used will not be an ideal situation for many citizens, as the idea behind using the credit card in the first place was because they were out of cash.
Thereby you should always keep a check of your credit card limit and balance.
For instance at SBI: To know your available limit, SMS AVAIL XXXX (XXXX=last 4 digit of your SBI Credit Card) and send it to 5676791.
To know your total outstanding, SMS BAL XXXX (XXXX=last 4 digit of your SBI Credit Card) and send it to 5676791.
2. Irregular payments!
While one just thinks of credit card usage in emergency basis, the real problem occurs while repaying the debt. Often a new customer has not pre-planned on how to repay dues of this card. If they missed the deadline to make repayment of debt or even minimum amount then their card will blocked.
What can be done?
One has to make an immediate payment! Banks allow you to make payment of total outstanding balance or total amount due or minimum amount due for unblocking your credit card.
For example, if you credit card limit is Rs 25,000 and you have made a transaction of Rs 19,000 on January 1, and you missed the deadline for first installment. Then you can either pay entire Rs 19,000 dues along with interest depending upon banks or just pay minimum amount due which will vary from Rs 1,000 to Rs 3,000. The moment you follow this procedure, you are free to access your credit card once again and continue repaying your debts.
3. Payment default on 3 transactions.
First payment default is still not much burdensome, if you continue to default on three payments. Then, your debt will continue to rise due to interest levied by banks. Meantime, your credit card will be blocked until any payment is achieved.
This will also hamper your credit history. Such would drag down your credit score and even your chances for availing any kind of loans like personal, home or vehicle in future.
What can be done?
The procedure to come out of this trap is also same like the first defaulting case. Either make immediate payment of outstanding balance or minimum amount dues or total amount dues.
4. Between 4-6 payment default!
Despite repeated reminders, if you still continue to not pay your credit card dues, then your card will be permanently withdrawn from banks. In short, they will be made invalid.
What can be done?
Firstly, make the payment of the entire debt amount at your bank. After completing this process, you will have to contact your bank customer care number or visit branch, for registering your credit card so that it can be re-activated.
This will take a long process, as banks will review your request and consider your past history. Chances for re-activating your credit card will be limited in scenario………..Read More>>
Source:- techiyogiz
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