Table Of Contents
- CRED Cash Features
- How do you take out money from CRED Cash?
- Step 1: Access CRED Cash and check eligibility
- Step 2: Select the desired amount and choose EMI options
- Step 3: Setup the repayment date
- Step 4: Bank account setup
- Step 5: Complete KYC
- Step 6: Setup loan repayment
- What is the interest rate of CRED cash, and how can it be calculated?
- CRED Cash processing fees & additional charges
- Conclusion
CRED Cash: Everything You Need To Know About CRED Credit Line
CRED is a fintech startup that has partnered with IDFC Bank and is providing its users with a CRED credit line, which is a lot like a personal loan. This facility that CRED provides is known as CRED cash.
The minimum credit that it provides is 80,000 rupees, and this facility is currently only available to CRED users. CRED decides the loan amount that you are eligible for and depends on credit utilization, credit score, and various other factors.
Now that you know the CRED credit line and what CRED cash is, let’s discuss its features.
CRED Cash Features
There are a few features that you need to know about CRED credit lines and CRED cash before you get involved in the entire process.
- CRED cash allows its users the flexibility to withdraw the loan amount as per their needs.
- Borrowers do not need any documents to get their desired loan amount.
- The loan is disbursed immediately.
- They calculate the interest daily.
How do you take out money from CRED Cash?
To get the CRED cash facility, you have to create an account with CRED and must have the CRED cash feature. Another thing that you have to keep in mind is that you have to add your bank account here, where you will keep the loan amount. With all of these in place, you have to follow the steps below to use CRED cash.
Step 1: Access CRED Cash and check eligibility
1. Open Cred App
2. Tap on the CRED cash Button
3. Check the amount which you are eligible for and check for disbursement
4. Tap on the “Take a look” button
Step 2: Select the desired amount and choose EMI options
5. Use the circular slicer to choose the amount that you wish to withdraw
6. Tap on the “Choose EMI plan” button
7. Choose the desired EMI plan
8. To check the EMI details, click on the “details” option
9. Tap on the “Choose your bank account” button
You can choose other repayment timelines from the one that is given with the help of the steps mentioned below.
10. Tap on the “Compare plans” option
11. Move the horizontal slicer and choose a repayment timeline that you find best for you. The monthly EMI amount and the corresponding Interest amount will be displayed above.
12. Tap on the “Proceed” button.
Step 3: Setup the repayment date
13. Tap on the “first EMI date” option from the bottom right corner and look for the recommended EMI options.
14. Move the horizontal slider and choose the preferred date.
15. Tap on the “Confirm” button.
Step 4: Bank account setup
16. Tap on the “add bank account” option.
17. Choose your bank from the given list.
18. Enter the bank’s IFSC Code and tap on “Proceed.”
19. Now, put in your bank account number and tap on “Proceed.”
Step 5: Complete KYC
20. After you have added the account number, select the bank.
21. Click on the “Tap instant KYC” option
22. CRED will get all the KYC details and ask for the PAN details
23. Click on “Verify my PAN” and get everything verified.
24. After validation, the KYC details will show.
25. Check everything and tap on “Continue to unlock details.”
26. Now, you would have to upload a selfie
27. After you have uploaded the selfie, tap on “Proceed.”
28. Verify the details and proceed.
Step 6: Setup loan repayment
After this, the platform would ask you to set an auto loan repayment option. You can repay the loan directly from your account and your debit card. Here are the steps you must follow to repay the loan by debit card.
29. Tap on the “Proceed to setup button”
30. Choose the “Complete by debit card” option
31. The Mandate summary is going to pop up. Check the details and proceed.
32. After that, they will ask you to log into your net banking portal and complete the process.
33. After following these steps, the loan amount will be transferred to the account that you chose before.
What is the interest rate of CRED cash, and how can it be calculated?
CRED has an interest rate of 15-19% per year on the CRED credit line they provide. However, the interest rate differs from person to person depending on credit utilization habits, credit score, and some other factors as well. Also, the interest is calculated using a daily method of interest calculation.
The daily interest calculation method makes sure that you pay the interest only for the number of days that you have borrowed the money. Certain companies always round off the period to its closest month and then charge interest for the entire month.
However, CRED will adjust the remaining days and take care of the last EMI. So, you might slightly observe a variation in the last amount.
CRED Cash processing fees & additional charges
Additionally, with the interest charged, borrowers must pay a processing fee to withdraw the cash. According to the company, they charge this fee and get on with the paperless loan disbursement. Moreover, with the processing fee, they charge an 18% GST fee on the processing fee, according to government regulations.
The processing fee is somewhere around Rs. 250 per 10,000 Rs borrowed. This means that if you are borrowing 1lakh rupees, then you would have to pay Rs 2500 as processing fees, and this will be added to the principal amount.
Conclusion
Overall, the CRED cash is one of the amazing facilities that CRED provides, and the instant CRED credit line money you get during emergency situations is a lifesaver. However, the drawback is that you have to pay a higher interest rate when compared to other companies providing personal loans.
However, the money disbursement process is done instantly, and this is what makes it a more convenient process to borrow money, and you can have everything at your fingertips.
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