The Indian credit card market is expected to increase at a cumulative aggregate growth rate of more than 25 percent between 2020 and 2025, with the rising popularity of cards attributed to the notion of them being convenient and no-nonsense payment tools. As the spending power of the average-salaried Indian grows, the trend of initial buying and making payments later is spiking. In 2019, the number of credit card users in India amounted to around 53 million.
Still, in India, despite the range of credit cards offered by banks and finance companies, the industry is slow to grow. Nonetheless, because of the COVID-19 pandemic, credit card use went up, as contactless payments were (and still continue to be) the “in thing”, mainly due to hygiene reasons.
Applications for new cards during the lockdown came mostly from semi-urban areas of the country, showing that Indians were getting more knowledgeable about credit card use. Furthermore, Indians know which type they want, suited for specific purposes.
For instance, small and large business owners can opt for a business credit card Indian government and the Reserve Bank of India have boosted credit card use by encouraging banks to attract customers with great schemes.
A business credit card is a credit card that is intended for use in a business environment by a business owner/employee. Business credit cards are used by small or large businesses, rather than for personal use. These cards can aid businesses in building a credit profile to help make borrowing easy in the future.
By design, business credit cards are used by businesses as compared to personal credit cards used by individuals. Specifically, for small business owners, business credit cards offer a convenient way to keep business expenses segregated from individual expenses. This helps in book-keeping and tax maintenance records.
Business credit cards may offer perks when used as a means to pay for business-related expenses, such as air ticket discounts. Business credit cards are offered by several banks and lending companies. The process to apply for one is much like a standard credit card. In India, it’s easy to get a credit card online with your details, and you can get quick approval. You may have to hand in some documents for physical verification at a later date.
In India, business credit cards are often used by small and medium businesses, but large corporations and multinationals can opt for them for their employees too. These cards are offered to just about any individual who wishes to have a separate business account.
The Simplest Way to Get a Business Card
While it is simple to get a business credit card India has a range of credit cards offered to small, medium and large businesses, according to the requirements of the business. Business credit cards offer significant benefits to small business owners as they get rid of the age-old tradition of money lenders, who pose a threat to individual business owners.
These traditional ways of lending money and charging heavy interest rates in an unstructured way are being done away with, as even small businesses can avail of more systematic lending devices. Many banks and lending institutions like Bajaj Finserv offer credit cards that can be used by businesses, like the Bajaj Finserv RBL Bank SuperCard.
A card that gives you the benefit of multiple uses, it offers you loans for up to 90 days with negligible interest rates of as little as 1.16% per month. In case you need cash on hand for your business requirements, you get up to 50 days worth of interest-free ATM withdrawals, plus advantages of rewards on domestic and international expenses. To get this credit card online, apply on the Bajaj Finserv portal and get approval quickly.
Cards Benefitting Business People
Most business credit cards have a generalized procedure of procurement. There is no single card that is easier to get than the other. Typically, banks offer business credit cards to their account holders. Nonetheless, it is possible and simple to obtain a business credit card.
Banks like Axis Bank (Axis Bank Corporate Card), HDFC Bank (Corporate Premium), ICICI Bank (ICICI Business Advantage Black) and SBI (Signature and Platinum Cards) offer business credit cards to businesses of any size, as well as to large corporations for their employees. Normally, proof of identity and address of business owners is required, as well as a business registration certificate.
If the business is already operating, then a profit/loss statement would be required with audited reports. Proof of the continuity of the business would also be part of the eligibility criteria. In case the business is new, proof of financing would be requested by the card issuer.