Best Credit Cards in India: Factors and Features Explained

Most people require credit cards for various purposes, each with unique preferences based on their lifestyle and earnings. In this blog, we present some of the best credit cards in India for 2024, assisting you in making informed choices.

What are Credit Cards?

A credit card allows cardholders to borrow money and repay it, including interest and other agreed-upon charges, either in full by the billing date or over time in the form of EMIs.

Factors to consider before taking a Credit Card

When applying for a credit card, consider the following factors:

• Credit Score: A high credit score will help you to get your credit card application approved quickly as banks believe people with high credit scores are responsible borrowers.
• Fees: It is an important factor to know whether the credit card is requiring any charges or not. Many credit cards require joining and annual fees. 
• Interest rate: Higher interest rates lead to more significant burdens on repayments, especially on EMIs.
• Other benefits: Credit card holders enjoy some benefits like reward points, cashback, instant discounts, air miles, fuel surcharge waivers, and welcome benefits.

Best Credit Cards in India

This list represents the best credit cards with their joining and annual fees.

Let’s delve into the details of each credit card:

IDFC First Millennia Credit Card

This is a lifetime free credit card tailored specifically for millennials

• Receive a welcome gift voucher worth Rs. 500 on reaching a spending threshold of Rs.15,000 within the first 90 days of card issuance.
• Enjoy Interest-free cash withdrawal.
• Cashback and Rewards:  
  • 5% cashback is available for your first EMI transaction, within 90 days of receiving your credit card.
  • You will receive 6X reward points on every online purchase.
  • Get one reward point for every Rs.100 spent using your credit card.
  • 10x reward points on every transaction that is made on your birthday.
• Discount of 25% on your movie ticket up to Rs.100 monthly.
• Enjoy up to 20% off at 1,500 restaurants across India.

ICICI Instant Platinum Card

If you have a low credit score, then you can go for it. It is useful for students, housewives, and non-salaried people. 

• Reward Points: Earn reward points and redeem them in categories of fashion, electronics, health and beauty, e-vouchers, and home and kitchen.
• Interest rate: This card has the lowest interest rate of just 2.49% per month.

Niyo Global International Travel Card

This credit card is for those who travel a lot. Here are some benefits:

• You can save up to 5% via discount on overseas transactions. 
• This credit card can be utilized in 150 countries across POS, ATM, and e-commerce.
• Free lounge access at international airports across the globe.
• Save 5% to 20% on international purchases through VAT refunds.
• Interest rate up to 6.5%.

Dhanlaxmi Bank Platinum Credit Card

• 5% cashback on supermarket and departmental store purchases
• It offers up to 20 lakhs cover in air accident insurance. 
• Low and attractive interest rates

Amazon Pay ICICI Credit Card

This credit card is for those who want to shop with Amazon India. This card also provides a lot of rewards.

• Lifetime Free.
• Earn up to 5% cashback for shopping on Amazon (for Amazon Prime members only).

SimplyCLICK SBI Card

This credit card provides extra offers on websites such as Cleartrip, BookMyShow, EazyDiner, Netmeds, etc.

• Get an Amazon gift card voucher worth Rs 500 as a bonus.
• Annual fee waiver if the threshold of Rs. 1,00,000 is crossed in transactions.
• 5x rewards on all online transactions. 
• Convert your transactions into easy monthly EMIs by using Flexipay. 
• Globally accepted in 24 million outlets across the world.

 SBI SimplySAVE Credit Card

This credit card offers higher reward points on daily transactions like groceries, dining, movies, departmental store purchases, and many more.

• 1% fuel surcharge waiver on transactions.
• 10X points on theaters, dining, groceries, and department store purchases.

HDFC Millennia Credit Card

One of HDFC Bank’s most popular credit cards is the Millennium, primarily because of the perks and incentives it offers.

• 5% Cashback on transactions done on Flipkart, BookMyShow, Amazon, Myntra, Sony LIV, Swiggy, Tata CLiQ, Uber, Zomato, and many more.
• 1% Fuel surcharge waiver. 
• 20% off on Dine Out.
• Total 8 complimentary domestic lounge access per calendar year with 2 per quarter.
• Receive gift vouchers worth Rs.1,000 if the transaction is Rs.1 lakh and above.

RBL Shoprite Credit Card

This credit card gives benefits for shopping, entertainment, and fuel spending. It offers value back as reward points and direct discounts with some brands. 

• Avail up to 2000 points in terms of rewards.
• 5% cash back on grocery purchasing.
• 10% discount on movie ticket bookings.

The American Express SmartEarn Credit Card

This credit card will maximize savings on every purchase. Enjoy additional benefits such as bonus cashback, fee waiver, gift vouchers, etc.

• Fuel Surcharge waiver.
• EMI conversion option with American Express EM.
• 5X Membership Rewards Points on every Rs. 50 spent on Amazon and Paytm Wallet
• Cardholders will get Rs. 500 cashback as a welcome gift.

Conclusion

This blog presents the top ten credit cards in India, enabling readers to compare features, rewards, and benefits. A good credit score is essential when applying for a credit card. Choose the card that aligns with your needs to leverage its advantages effectively.

Frequent Asked Questions (FAQs)

1. Which debit card type is most prevalent in India?

Ans. The popularity of Contactless Debit Cards has seen a massive uptrend.

2. Which is the best credit card to have in India?

Ans. Several credit cards in India are considered as best-in-class. Some of them are:

• Cashback SBI Card. 
• Axis Bank Ace Credit Card.
• HDFC Millennia Credit Card. 
• Amazon Pay ICICI Credit Card

3. Should I get a credit card?

Ans. A credit card helps you manage your finances by allowing you to repay after the billing cycle. While this is a revolutionary invention, people should be cautious and prevent maxing out their credit card limits. So, the decision to opt for a credit card should be taken after careful consideration. 

4. What was the first credit card in India?

Ans. The first credit card in India was introduced by the Central Bank of India in collaboration with MasterCard and Visa in the late 1970s. It was known as the “Central Card”.

5. What is the most widely accepted type of credit card?

Ans. Visa and Mastercard are the most widely accepted credit cards due to their international presence.

Disclaimer: The securities, funds, and strategies mentioned in this blog are purely for informational purposes and are not recommendations.