Can Credit Card Holders Get Deposits?

Many people claim that the banks are greedy institutions which want only to make use of their clients. However, one has to remember that banking is a business created for generation of profit. In case a bank will not get any profit from its operations, it will not be able to operate in the first place, providing such services like Internet payments and other, let alone lending money to clients. Surely some banks have less favourable conditions for clients than others, but it is the client who decides what bank to use.

But there are some clients read all bank terms and conditions, and find perks for themselves. Is this possible? Yes, of course! Have you learned of a credit card deposit? This financial instrument allows a client to transfer funds from his credit card to your chequing account.

Just simple figures: imagine that you have $500 on your credit card. So you can transfer these $500 to the chequing account, and get it in cash.

Main Rules

  • You may use transferred money to meet any needs.
  • Transferred funds will count toward your general credit card balance.
  • These funds will also be subject to interest payment, if you haven’t paid them back within the interest grace or promotional period.

How to Benefit In Other Ways?


Keep in mind that, in order to attract customers, banks and retail service companies launch co-branding programs. Surely you have encountered advertising of such promos: when paying for services with a credit card of a particular bank (or payment system), you get miles from airlines or bonus points from mobile network providers, discounts are given when buying goods in specific malls and supermarkets, etc.

Several Cards

Due to such lucrative offers, a good way of profitable credit card usage is to pay for the service with a co-branded plastic, even when you can afford to pay in cash. If you are experienced enough  in using banking products, you may choose to have two or more co-branded plastics. You won’t believe it, but all three co-branding cards allow maneuvering with money and even get interest on the funds which are idle on card as on deposit account.


Many leading banks provide a cashback service on credit cards. However, keep in mind that cards with this feature usually set higher interest rates, so pay close attention to assessing your future income. Choose the banks which render a cashback not less than 2% from purchases such as at gas stations, which is a popular type of purchase.

In general, a credit card is a convenient financial instrument with simple rules of usage: try not to withdraw cash in order to avoid commission, pay a mandatory monthly payment, return the debt before the end of the grace period for money within credit limit and transferred as deposit. A credit card is fairly easy to get, and it depends on your self-discipline to what degree it will be profitable for you.

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