New Delhi: State Bank of India (SBI), the second largest credit card issuer in the country has launched an advertisement campaign to spread awareness about credit card debt and has urged the credit card holders to get rid of this high cost liability as soon as possible and at all cost.
Reserve Bank of India (RBI), had earlier stressed the need to educate the borrower's, who are not able to manage their credit card debt, and who borrow on their credit card in excess of their repayment capacity. The current campaign launched by SBI, which drives across the message, "Control credit card debt. Do whatever you can to get rid of your high-interest debt," is in tune with this RBI's directive.
SBI will encourage the credit card holders to safeguard their accounts by setting up overdraft protection. One of the major reason of imposition of credit card debt is not paying the outstanding balances by the due date and just paying the monthly minimum only. SBI has stressed the need for setting up of automatic repayments so that any such event do not occur. State Bank of India has also asked the borrowers not to accept advice from financial consultants without appropriate reasoning and explore the possibility of investing in mutual funds. The SBI advertisement also stated that saving is a habit, which every borrower should inculcate and when saving becomes a priority wealth accumulation begins.