Credit card protection plan – Let customers set their maximum limit

CPP Card Protection, a comprehensive card protection service for use in the event of card loss, theft and related fraud has been launched in India, by Citibank, HSBC, Standard Chartered and Kotak Mahindra Bank in partnership with CPP Assistance Services Pvt. Ltd recently. By spending Rs. 995 we can insure our credit and debit cards for the whole year. It’s good to have such insurance for our wallets. But still I believe card companies themselves can provide much simpler protection plan for free.

We’ve maximum limits set by the card providers for credit and cash usage. How about setting our own internal limits within that maximum limit? I’ve never taken cash using my credit card. Also my credit usage never exceeded even one fifth of my maximum credit limit. I believe significant percentage of the credit card users will fall into this category.

So if those customers have the option to set their own internal credit and cash limit, time to time within the allowed maximum limit, then the loss in the event of theft or fraud will be minimum and well within their manageable limits.

Will credit card providers like VISA and MasterCard give such easy card protection option to customers?


  1. I have a friend who requested his credit card company to downgrade his credit limit from 60,000 to 20,000 so that he can use the card online without any fear. if there is any mis-use then the loss remains limited to the much lower figure requested for.

    the credit card company refused to bring down his limit.

    wouldn’t that have helped?

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