Lost your credit card? This is what you must do before applying for new one

Just like debit cards, the usage of credit cards is also consistently rising. The latter comes to the rescue when there is an urgent need of money for payment of bills, funding vacations, ticket booking, festival shopping, among other things. Apart from this, credit cards can also save you from a lot of trouble at the month end, when the bank accounts are almost empty. This makes it important to take good care of your credit card. But, no one can foresee future and there are cases when people end up losing their credit cards. It can be frustrating but needs immediate action. Why? Because if not reported, you might be open to a potential fraud.

Here’s what you must to when you lose your credit card:

Your first immediate step should be to block your credit card. There are five methods to follow this procedure such as: 

Call the customer care number of your bank as soon as possible. RBI has directed banks to keep their customer services available 24X7 for any queries. Hence, feel free to call them anytime, banks will be at your service. You will be asked for credit card number, if not remembered then provide your bank account details such as account number, name, branch and reason for block.

Second method would be to block your card using internet banking. All you have to do is login in your bank online portal. There will be a section mentioned for your credit card, click on it and choose the option to block it. Take note, you will be asked for the reason for blocking. Mention your answer. A request will be raised and after sometime it will be blocked.

If you are not comfortable with above mentioned services, then you can always visit your bank branch. Explain the situation, and they will immediately block your card.

Other two methods will be through SMS and mobile app.

While blocking your credit card, you can apply for re-issuance or replacement of a new card with your bank. For new card, you can place request using mobile app, a letter to the bank branch, online website and helpline number. 

Generally, a bank should deliver you with new credit card in 7 working days time. It can take more time, depending upon your location.

Who is responsible? 

In case, if there is any unauthorized transaction created from your credit card. You woes have just become doubled, because then you will have to pay dues of someone else. It can be burdensome to quite an extent. However, RBI in its guidelines, has ensured your lost/theft credit card should not be a trouble to you. 

Under terms and condition, RBI asks that a cardholder must notify banks immediately after becoming aware of the loss or theft or copying of the card. Also similar goes to unauthorized transaction or an error. 

A cardholder will bear the loss sustained until the time of notification to the bank of any loss, theft or copying. However, the loss borne would be limited for example fixed amount or percentage of the transaction agreed between bank and cardholder.  

If there is a malfunction directly within the bank’s control, then the lender will be responsible for direct losses incurred by a card holder.