Over yesterday’s discussion, my friend Sachin raised a very genuine point:
Never apply for credit card from the bank in which you hold your savings account.
It looked odd to me at first glance, but he explained.
Suppose your accounts are with the same bank. Then, in case of a dispute/hidden charges/wrong billing, the bank in spite of all your protests and oppositions would first automatically debit the credit card dues and then offer you a chance to put your case and claim the refund of the balance.
However if the 2 banks are different, then its the onus of the bank to convince you the genuineness of the charges and if nothing works out, you could always threaten to close the account and sever all relationships.