Kotak811 Super.Money credit card launched for users with no credit score. Details here

Are you someone who doesn’t have a credit score and is facing challenges in getting a credit card? Don’t worry, you are not alone. Students, individuals who have just started a job, homemakers, etc., often face this challenge. In such a case, a secured credit card can help you overcome this challenge.

Kotak Bank, in collaboration with super.money, has launched the Kotak811 3-in-1 Account. Even if you don’t have a credit score, you can still take this credit card against the security of a fixed deposit.

In this article, we will examine the features and benefits of this credit card and whether you should go for it.

Kotak811 3-in-1 Account

The Kotak811 super.money credit card is a co-branded credit card between Kotak Bank and super.money. It is part of the Kotak811 3-in-1 Account bundled product offering. The product helps you save, spend, and earn, all in one place. With this product, you get:

1. A zero-balance savings account for saving money
2. Benefits of a fixed deposit for earning interest, and
3. A credit card (Kotak811 super.money credit card), secured by the fixed deposit, for spending smartly, and building your credit score and report

The credit limit for the credit card is 90% of the fixed deposit amount. You can open a fixed deposit with a minimum of Rs. 1,000. For example, suppose you open a fixed deposit of Rs. 20,000. Your credit limit on the credit card will be Rs. 18,000 (90% of the fixed deposit amount).

Features and benefits of the credit card

Let us now understand the features and benefits of the Kotak811 super.money credit card.

Lifetime free: The Kotak 811 super.money credit card is a lifetime free card with no joining or annual/renewal fee. If the customer opts for a physical card they will have to pay a minimal delivery fee of 250 rupees in case their FD is less than 5,000 rupees.

Cashback on Flipkart spends: The cardholder can enjoy cashbacks on spends with various Flipkart group companies through non-UPI payment modes. The cashback rates are as follows: 5% cashback on Myntra, 3% cashback on Cleartrip, and 2% cashback on Flipkart.

The maximum cashback that a cardholder can earn is capped at Rs. 500 per cycle.

Cashback on UPI spends: UPI payments made through the super.money App will earn 1% cashback. The maximum cashback that a cardholder can earn is capped at Rs. 500 per cycle.

Cashback on other spends: All other spends, except for exclusions, will earn 1% cashback. The maximum cashback that a cardholder can earn is capped at Rs. 10,000 per cycle.

For all the categories mentioned above, transactions of a minimum of Rs. 100 and above will earn cashback. A cashback cycle will be considered from the 1st of every month to the last day of the month.

Transactions in the following categories are excluded from cashback:

1. Agriculture
2. Property management
3. Utilities, insurance, wallet load, and credit card payment
4. Financial institutions, money transfer, and crypto assets
5. Education
6. Government, political donations
7. Fuel, transportation, railways, transit
8. Dating and escort services
9. Lottery, online gaming, and racing
10. Guns and ammunition shops
11. Stored value card purchase/load
12. Wholesale clubs

The above are major excluded categories. The list is not exhaustive. Visit the Kotak811 website for more details.

Cashback redemption

The cardholder must redeem the cashback on the super.money App. The cashback can be redeemed after 35 days of each transaction. On redemption, the cashback will be credited to the cardholder’s bank account linked to the super.money UPI ID.

How to get the credit card?

The customer must download the super.money App and complete the application journey. The savings account, fixed deposit, and virtual credit card will be issued instantly. The entire application process is digital and can be completed in minutes.

If the cardholder wishes to increase the credit limit, they can do it instantly online. The cardholder must log in to the super.money App and navigate to the credit card section. Go to the fixed deposit section and select the ‘Increase Credit Limit’ option. Add the desired amount to the fixed deposit. The credit limit on the card will be increased proportionately (90% of the fixed deposit amount).

A lien will be marked on the fixed deposit. Hence, you will not be able to withdraw the fixed deposit amount till the credit card is active. On maturity, the fixed deposit will be automatically renewed for the same tenure at the prevailing interest rate at the time of renewal.

Pay your credit card bill on time

A credit cardholder must use the card for only need-based spending. Also, ensure that you pay the credit card bill in full before or by the due date. Any delay in payment will attract late fees and heavy interest charges every month. A persistent default beyond 60 days may result in the liquidation of the fixed deposit to recover the outstanding dues.

Should you go for this card?

If you are a new-to-credit customer looking to build your credit score and report, you may consider the Kotak811 super.money credit card. It is a lifetime free credit card being offered as part of the Kotak811 3-in-1 Account product, along with a savings account and fixed deposit.

The savings account is a zero-balance account. Therefore, there will be no need to maintain an average monthly or quarterly balance. The fixed deposit starts from a minimum of Rs. 1,000 with the flexibility to increase it at any time, thereby increasing the credit limit on the credit card.

The credit card is suitable for students, individuals who have recently started working, homemakers, etc. These individuals usually don’t have a credit score. So, they can get started with their credit card journey with the Kotak811 super.money credit card as part of the Kotak811 3-in-1 Account product. The individual will get the triple benefits of saving, earning, and spending smartly, all in one place.

Gopal Gidwani is a freelance personal finance content writer with 15+ years of experience. He can be reached on LinkedIn.

For all personal finance updates, visit here.

Disclaimer: Mint has a tie-up with fintechs for providing credit; you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards, and credit scores. Mint does not promote or encourage taking credit, as it comes with a set of risks, such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.