How to Transfer Money from Credit Card to a Bank Account

Credit cards, also called plastic money, helps the cardholder to purchase things without cash. Credit cards are a lifesaver for us when we need to pay money for something necessary. Doing payments with credit cards is one of the most commonly used electronic payment methods. It offers the cardholders to pay money in credit and repay it to the card provider in monthly instalments. 

But, credit cards have some boundaries of paying in some cases such as payments for mortgage, money order, stocks can not be done using credit cards. In this situation, the only option left for you is to transfer money to a bank account using your credit card. 

In this article, we will try to explain to you a few ways you can transfer money using a credit card. If you are trying to transfer money to a bank account using your credit card, there are two ways you can do that, either you can transfer the money directly with the bank using net banking, money transfer credit card, or transfer using an e-wallet linked to the bank account.

Direct Transfer to Bank Account 

Money can be transferred directly from credit card to your bank account through a net banking app and over a phone as well. Since there is a certain limit you can transfer money using credit card daily or monthly which varies from bank to bank.  

You should check on that limit and stick to it while doing the transaction. It generally takes 2 to 3 working days for transferring money to an account that belongs to other banks and the transaction in the same bank occurs instantly. 

Net Banking

For transferring money through net banking using the credit card you need to perform the following steps –

• Open the official website of the bank.
• Now you have to log in to the account linked with your credit card. 
• Enter the amount you want to transfer to the bank account. 
• Now fill in the form with the required details correctly and submit.
• Follow all the instructions properly to transfer money.

Phone Call

You can also transfer money instantly from a credit card over a phone call. The process to transfer money over a phone call is following-

• Call the credit card provider company. 
• Request them for the fund transfer. 
• Confirm the amount you want to transfer from the credit card.
• Provide them all the required details including bank account number.
• Now follow all the prompts to successfully transfer the fund.

Indirect Money transfer using an e-wallet 

E-wallet is one of the easiest and best options to transfer money securely and quickly. There are many e-wallet options such as Paytm, PayZapp available for transferring money. Users need to link these apps to their bank account and a KYC should be completed to transfer funds using these apps.

How to transfer funds using Paytm?

Paytm allows users to transfer money from a credit card to a bank account. All you have to do is just add money to your Paytm wallet using the credit card and transfer that. Using Paytm any amount from Rs. 100 to Rs. 25000 can be transferred. Using Paytm and adding money to Paytm is absolutely free. There is only a 4% charge levied for transferring money from a Paytm wallet to a bank account. The process of transferring funds using the Paytm app is as follows-

Step 1

At the very beginning, you need to add money to your Paytm wallet. And for successfully adding the money you need to follow steps before. 

They are-

• Open the app and go to the add money option and click on it.#
• Enter the amount that you want to add to your wallet.
• Now, you have to select a credit card option for completing the transaction. 

Step 2

After adding money to the Paytm wallet, reopen the app and go to the passbook option and then click on “transfer to Bank” option.

Step 3

Fill the required fields correctly with the bank account details. 

Step 4

Enter the amount you want to transfer and submit.

Step 5

Just click on “Send” and your transaction will be done. 

How to Transfer Funds Using PayZapp?

PayZapp is also an app that can be used to transfer funds using credit cards. Rather transferring funds PayZapp is also used to pay for online shopping and it also allows the users to transfer money instantly to anyone from their contact list. 

This app has some boundaries or limitations on the amount of money that can be transferred i.e. you can transfer Rs. 5000 per day and Rs. 100000 per month. And you can do the transaction only from 3 AM to 9 PM. 

While transferring money using this app, there are 2.36% of charges which are applied including GST. The process of transferring funds using PayZapp app is as follows-

• Open the PayZapp application and go to the ‘Pay’ or ‘Send Money’ option.

• Now, click on the bank icon to be redirected to the page where you have to enter the bank details and the amount you want to transfer.

• Finally, click on continue to complete your transaction. 

ATM Cash Advance

ATM cash advance is a facility provided by the banks that allow their user to withdraw money from the ATM using your credit card,  and this feature is called cash advance fees. For providing this service banks generally apply charges quite high

• It’s a simple process, in which you just have to withdraw money from ATM machines using a credit card.

• Now, I just got to the bank and deposited the money.

Cheque to Self

Cheque to self is also a facility provided by the banks that allow their customer to issue a cheque for themselves and the money will be paid from the credit card.

• Write a cheque with all required information and write self on the field for the payee. 

• Deposit the cheque to your bank branch.

All the above-mentioned processes are helpful to transfer money from credit cards. Let us know which of the processes you find most helpful and also let us know if you know any other way about how to transfer money from the credit card to a bank account.