Connecting Businesses with Opportunities in India

credit card

Submitted by Navin Pathak on Tue, 12/03/2019 - 4:58am.

India is one of the fastest-growing economies in the world. Needless to say, you have various digital as well as manual options to make payments to vendors all over India. The best ways to make payments in India are: 

  • Cash: This is, undoubtedly, the most widely accepted and convenient payment method in India. When you are buying from roadside vendors, especially, this is probably the only option you will have. 

  • Credit or Debit Card: Most MasterCard and Visa debit and credit cards are accepted across stores in India. Sometimes, the Indian vendors may add an extra 2% to 3% of the transaction amount to the total if you opt to pay using a credit card. This is essentially the fee that the Indian vendor would have to pay to the merchant gateway for accepting credit card payments. You can certainly opt for withdrawing cash using your ATM debit card so that you can make the payment. However, it is important to note here that an international transaction fee may be applicable when you use a credit card in India. Usually between 1 and 3% is charged on credit card transactions. ATM fees depend upon the bank, primarily if you are using an out-of-network ATM. 

  • Mobile Wallets: These are the most popular digital payment options available in India. Wallets are accessible to even the smallest vendors these days, given that almost everyone has access to a smartphone. You have payment applications like PayTm, Mobikwik, and FreeCharge that you can use while you are in India. 

However, currency exchange rules do not allow wallet transfers using foreign credit/debit cards. Therefore, to use these you will require an Indian mobile phone number. Once that is active connect it with the wallet. You can then ask an Indian relative, acquaintance, or colleague to transfer some money to your wallet and pay them in cash in return. It is best to exhaust all leftover wallet cash before your trip ends and top-up only as and when required to avoid leaving the balance amount in the wallet. 

Submitted by Navin Pathak on Thu, 08/01/2019 - 11:55am.

Credit card makes the best form of travel money, other than debit cards, prepaid cards and foreign currency cards.. But keep in mind that all credit cards are not designed for transactions in a foreign country.

Credit cards including Visa, Mastercard, American Express, etc. are well accepted all over India. Just to be well protected with the use of your credit card in India, you certainly shall inform your card issuer of your travel plans for India.

For credit card transactions in India, most of the US-based credit card issuers charge foreign transaction fee in the range of 1% to 3%.

Credit Cards that don’t charge foreign or international transaction fee:
o Capital One
o Discover
o Chase Sapphire
o Barclaycard
o Bank of America card Travel Rewards

We strongly recommend you to talk to your credit card issuer for the prevailing transaction fee and approximate currently prevailing US dollar to India rupee (USD to INR) exchange rates (which changes daily) just to be aware how much more you might pay when compared to paying in Indian rupees in cash.

Other important points to keep in mind are that while using credit card in India, you much ensure that it is being swiped in front of you and secondly if you can access your credit card statement online, then you must do that every evening to compare your transaction's hardcopy receipts with the entries online.