ICICI Bank Credit Card Interest Rate on Cash Withdrawal, EMI, and Late Payments

When it comes to managing finances, understanding credit card interest rates is essential. ICICI Bank, one of India’s leading financial institutions, offers a variety of credit cards with specific interest rates on cash withdrawals, EMIs, and late payments. 

These charges can significantly impact your finances, so it's important to be aware of how they work. Bajaj Markets is a great platform to compare different credit card options from ICICI Bank and find one that suits your needs. In this article, we'll discuss the interest rates that ICICI Bank charges on cash withdrawals, EMIs, and late payments.

ICICI Bank Credit Card Interest Rate on Cash Withdrawals

ICICI Bank credit cards allow you to withdraw cash from ATMs, but this service comes with specific charges. The interest rate on cash withdrawals is typically higher than that for regular purchases. If you withdraw cash using your ICICI Bank credit card, interest will begin accruing immediately. Unlike purchases, cash withdrawals generally do not have an interest-free period.

ICICI Bank charges an interest rate on the cash withdrawn, which can be as high as 2.5% per month (or 30% per annum). Additionally, a cash advance fee is charged, which is usually a percentage of the amount withdrawn (commonly around 2.5% to 3%), subject to a minimum fee.

These charges can quickly add up, making it a costly option if you're using your credit card for regular cash withdrawals. It's advisable to use cash withdrawals sparingly and only in emergencies. If you're unsure of the rates, you can check your ICICI Bank credit card's specific terms and conditions, and even compare options on Bajaj Markets to find a card with more favourable terms.

ICICI Bank Credit Card Interest Rate on EMI

One of the appealing features of ICICI Bank credit cards is the ability to convert large purchases into EMIs (Equated Monthly Instalments). This allows you to pay for high-ticket items in manageable monthly payments. However, converting purchases to EMI also involves interest charges. The interest rate on EMI for ICICI Bank credit cards typically ranges between 12% to 18% per annum, depending on the card type and the chosen tenure.

You can select from various EMI tenures, usually ranging from 3 to 24 months. Longer tenures tend to attract higher interest rates. However, some ICICI Bank cards offer promotional offers, including 0% EMI for specific products or during festive seasons. When comparing options on Bajaj Markets, you can check for such deals that could potentially reduce your overall repayment burden.

It's important to note that once you opt for the EMI option, the interest will be applicable from the month of conversion. If you decide to repay the amount before the EMI tenure is complete, prepayment charges might apply. Always ensure that you are comfortable with the EMI option and interest rate before making the conversion.

ICICI Bank Credit Card Interest Rate on Late Payments

Late payments are one of the most costly mistakes credit cardholders can make. ICICI Bank imposes hefty interest rates and penalties for missed or late payments. If you do not make your credit card payment on time, ICICI Bank will charge a late payment fee, which can range from ₹100 to ₹1,000 based on your outstanding balance.

In addition to the late payment fee, interest charges will be applied on the outstanding balance. The interest rate on late payments can be as high as 3.5% per month, which is approximately 42% per annum. This is significantly higher than the interest rates for purchases or EMI conversions. Late payments can not only incur additional charges but also impact your credit score, which could make it more difficult to secure loans or other credit in the future.

Prevention being better than cure, you can avoid late payment charges by setting reminders or use the auto-payment feature available on ICICI Bank credit cards. You can also check your outstanding balance using the ICICI Bank mobile app or online banking. If you're looking for a way to keep your finances in check.

How Bajaj Markets Can Help

If you're looking to apply for an ICICI Bank credit card or want to compare interest rates for various cards, Bajaj Markets is a great platform to explore. Bajaj Markets partners with multiple financial institutions to provide a broad range of credit card options. Whether you're looking for low-interest rates on purchases, better EMI terms, or cards with fewer fees on late payments, you can compare options to make a well-informed decision.

Conclusion

Understanding the ICICI Bank credit card interest rates on cash withdrawals, EMI conversions, and late payments is crucial for managing your finances efficiently. While cash withdrawals and late payments can be expensive due to high-interest charges, opting for EMIs on purchases can help spread the cost of large expenses. Always keep an eye on the rates, and consider using Bajaj Markets to compare credit card offers before making a decision. By staying informed, you can minimise your interest payments and manage your credit card more effectively.