Convenience is a major factor today when it comes to financial services, with NBFCs devising new and novel ways to initiate bill payments, loan repayments, and much more. Individuals can open mobile applications from the comfort of their homes and initiate any financial services they want. With various ways to pay credit card bills like the availability of such apps, such payment is simplified.

Besides the apps developed by financial institutions, third-party businesses also provide such payment options through their software. 

What is the scope of these third-party apps?

You can pay the credit card bills through numerous third-party phone applications. To begin with, details of your credit card are saved on the platforms during registration. Individuals with an impressive credit profile can join such third-party applications. 

Incidentally, a credit card application also requires a CIBIL score of 750 or more. Failing this, one credit card application can be rejected. On card bill payment through these apps, one can earn beneficial rewards, which are redeemable.

Advantages of repayment through third party mobile apps 

Here are the major benefits of using third-party mobile apps for credit card bill repayment –

  • Sending alerts- The pattern of expenditure is analyzed in such programs. For any suspicious or unauthorized transaction, cardholders receive alerts. Such dubious transactions may include unexpected fees or charges on credit card bills like forex charges or annual maintenance. Card users receive such notifications over WhatsApp, which would also attach details of credit card bills along with the exact due to be repaid. Certain credit cards like the Bajaj Finserv RBL Bank SuperCard have robust security features, including ‘Zero-fraud liability cover’.

Bajaj Finserv extends pre-approved offers for the facilitation of a quick and simple application process. Such offers are available on a number of secured and unsecured financial products, such as personal loans, business loans, and more. You can check your pre-approved offers by proving your name and contact number.

  • No minimum criteria –Cardholders can pay credit card bill through such apps, without having to meet any particular eligibility. Thus, they represent convenient options to pay credit card bills.
  • Last-minute bill payments – If you forget to service your credit card dues for a month, such apps will allow you to clear the same till the last minute. For instance, if the bill is due on the 7th of a month and you remember the same on the evening of the 6th, you can still clear the outstanding sum within this allotted time. 
  • Blazing fast transactions – If you are in a hurry, using such apps is the best way to settle your debts. It just takes a few seconds after opening such a third-party application to complete payments.  

Drawbacks of third party mobile apps to pay credit card bill

  • Lack of data privacy – One of the major issues in this regard is the lack of privacy of data on usage of these payment apps. Since one needs to enter credit card details, and accounts are also linked, ensuring privacy for data is paramount. Given that the data may be hacked protecting such sensitive information becomes all the more important. Consider this, and any malicious access can reset the linked mobile number, account password, etc.
  • Problems in service – There are higher incidences of complaints about failed payments through such apps. Even when the transaction is incomplete, the sum has been found to be debited from the linked bank accounts. It may also happen that there is an inordinate delay in the transfer of sums to the financial institution, which has issued the credit card. 
  • The discrepancy in data – Data that is provided over these apps can be inaccurate at times. In the instance where the credit card had been saved, but the repayment did not happen through that app, the outstanding sum may be constantly shown as still due. 

If your sense of insecurity persists, opt for NEFT, internet banking, etc. Take these into consideration at the time of credit card application as well. To conclude, if you are contemplating utilizing these payment apps for credit card bill payment, be sure to remain aware of the associated risks.

What to know before paying credit card bills over third party mobile apps?

There are a plethora of options in the present day to pay credit card bills. Apart from the traditional method of auto-pay from a savings account, credit card bills can also be paid through third-party mobile apps. 

Even though the aspect of convenience cannot be countered, there are both pros and cons to it.

Its major advantage lies in alerting in case of any suspicious activity. Notifications would immediately reach the cardholder. Moreover, there are no minimum eligibility criteria to be able to may payment through these apps. Lastly, the sheer ability to delay payments until the last minute can also be highly beneficial for some cardholders, especially those who acquire their income on the same day as that of the card due date. 

However, the disadvantages mostly relate to security issues. Data may be hacked at any time. Since credit card details are saved over these apps, it becomes vulnerable to cyber risks.

Such risk may be mitigated in certain cases like the Bajaj Finserv RBL Bank SuperCard have robust security features like in-hand security and zero-fraud liability cover. These facilities can enhance online bill payment security further.