In our previous post about paying lic premium, we have listed 8 different ways to pay your lic policy premium. One of those is via ‘LIC’s customer portal’. Through the portal, till today, you only had the option of paying through Internet Banking or VISA Debit card. Now, LIC has also added an option of paying through VISA and Master Card Credit cards.
The process of paying is similar to paying via Internet Banking or Debit Card. While logged in to the portal, select ‘Pay premium Online’. Then select the type of policy for which you want to pay the premium (such as Conventional or ULIP’s). You will then be shown the policy (or policies) which are due for payment. Select the policy and go to the payment page where you will now select ‘Credit cards’ instead of ‘Internet Banking/Debit cards’.
You can use any VISA and MasterCard credit or Debit card. The transaction is done via IDBI payment gateway.
The point to note here is, you will be required to pay an extra service fee (the merchant service fee) if you are paying via Credit or Debit cards. In case of payment via Internet Banking, there is no such additional fee. The service fee is as follows:
Debit cards (any amount): Rs.12 per transaction
Credit cards (for premiums up to Rs.5000): Rs.18 per transaction
Credit cards (for premiums over Rs.5000): Rs.35 per transaction
So, needless to say, it is advisable to use Internet Banking if you have the facility instead of cards. If you still prefer paying through Credit cards (in cases where you are short of ready money), keep in mind the above service fees and also keep ready your Verified by Visa (for Visa cards) or MasterCard Security codes (for MasterCard).
Update: Now there are different charges for Debit cards too. For payments up to Rs.1600 using debit cards, 0.75% of the amount will be charged as convenience fee. Any amount over it will be charged at earlier rate of Rs.12 (flat).