Credit Limit

Can Roarbank help me improve my credit score?

Yes! Using your Roarbank card responsibly and paying your bills on time helps you build and improve your credit score over time

What interest rate is applicable on the Roarbank card after the interest-free period?

Roarbank charges a competitive interest rate of 39.6% per annum (3.3% monthly) on unpaid outstanding balance after the interest-free period ends

What happens if I exceed my credit limit?

With Roarbank, your transactions are first covered by the balance in your Savings Account. Once those funds are used, you can continue spending up to your approved credit limit. However, you cannot exceed the combined total of your savings balance and credit limit. If a transaction exceeds this amount, it will be declined, and you’ll be notified. To stay in control of your spending, we recommend using the Roarbank app to track your available funds

What's my credit limit?

As a Roarbank customer, you can receive a credit limit of up to ₹1,50,000. Your exact eligible limit will be shown to you during the application process. Over time, you may also become eligible for credit limit upgrades, which you can accept directly in the app

How does Roarbank handle credit limit increase?

Roarbank automatically reviews your account periodically to assess eligibility for a credit limit increase based on your payment history and credit usage. If you're eligible, you’ll receive a notification, and the limit will be increased once you provide your consent

What is the interest-free credit period on my card?

The interest-free period for using your credit limit is up to 62 days, including a 3-day grace period as stipulated under RBI guidelines. To stay in interest free credit period, you must fully repay total amount due (TAD) by the payment due date mentioned in the statement

What is the minimum amount due (MAD)?

The Minimum Amount Due (MAD) is the minimum sum you are required to pay by the payment due date to avoid late payment charges and overdue classification. It is calculated as the higher of the following:

5% of the total amount due, or
The sum of interest charges and any applicable penalties (e.g., late payment fees, if it so).

If the minimum amount due is less than Rs 500, the Cardholder will be charged Rs 500 as the minimum amount due. If the total amount due is less than Rs 500 then the total amount due value becomes the minimum amount due. If the MAD from the previous billing cycle is not paid in full, the MAD for the current cycle will include:

The unpaid portion of the previous cycle’s MAD, plus
The MAD calculated for the current cycle

What happens if I don't pay the minimum amount due (MAD) on time?

If you do not pay at least the minimum amount due by the due date, your account will become overdue and this will negatively affect your credit score Additionally, interest will continue to accrue on the outstanding balance at 3.3% per month, and a late payment fee of 2% of the unpaid dues (with a minimum charge of ₹500) will be applied