Credit cards are an easy and convenient way to have some extra financial cushion. They can be used to pay for your expenses in advance and requires you to clear the outstanding on/before the due date. Before we delve into the top 10 best credit cards in India, let’s understand that the best credit card is different for different people according to their spending needs and requirements. Let’s take a look at what determines your credit card needs below –
Factors to consider before applying for a credit card
- Your purpose for using the card. Opt for a credit card that offers discounts/rewards on your spending pattern. For example, if you use it for shopping, a credit card that has good tie-ups with merchants and offers good discounts/rewards works for you. If you are in a traveling job and are on the road pretty much all the time, a card that has tie-ups with fuel merchants will work best for you.
- Facilitation of payment of EMIs. Some people use their credit cards to pay EMIs (equated monthly installments). Some of the EMIs that you might be able to pay on your credit card are housing loans, personal loans, selected purchases with EMI payment options, education loans, etc. It is however a less preferred way of payment as a credit card is in itself a kind of loan which you have to pay at a later date. Also, not many lenders accept payments via credit card. For some people, it might work well and you need to be very disciplined financially to keep a track of the payments.
- Offers/rewards. Some people use credit cards only to avail of offers. For example, buy 1 get 1 free movie ticket twice in a month. Or access to lounges at domestic and international airports. Even offers on food orders are pretty lucrative.
- Airline miles. For people who travel a lot by air for business or work, airline miles are an important perk. Often the accumulated miles could earn you a free ticket.
- Gift cards to popular stores. Your reward points could earn you a gift card for your favorite jewelry store or a watch brand. That’s pretty rewarding, isn’t it?
So, it’s safe to say that you should think through your needs and which card suits you best for you. Let’s see what types of credit cards are provided by banks and financial companies
Types of Credit cards
- American Express
Now let’s take a look at what credit cards could be the best ones (based on overall value) –
10 best credit cards in India and their features
- HDFC’s moneyback credit card – This HDFC Credit card comes with cash back benefits. It is a good card for beginners. Let’s take a look at what the card offers.
- Anyone with a monthly income of Rs. 25,000 and above can apply for this card.
- For every Rs. 150 spent, you earn 2 reward points.
- The reward points double if the purchase is made online.
- It offers you a 50-day interest-free period from the date of purchase
- Zero lost card liability
- The reward points have a validity of two years.
- HDFC Diners Club Black Card – This is a luxury card for high-end customers who travel a lot and make high-end purchases.
- Minimum age to apply for this card is 21 years and the maximum is 60 years
- To apply for this card, your net monthly income should be greater than Rs. 1.75 lakhs per month,
- Complimentary annual memberships of Club Marriott, Forbes, Amazon Prime, Dineout Passport, MMT Black, and Times prime
- Complimentary vouchers of Ola cabs, Cultfit, BookMyShow, Tata Cliq, etc. over Rs. 80,000 spend per month.
- 2X Reward points on weekend dining
- Travel benefits, Wellness benefits, Dining privileges
- Interest-free credit period of up to 50 days
- Credit liability cover up to Rs. 9 lakhs
- Unlimited airport lounge access at domestic and international airports.
- IndusInd Bank Pioneer Legacy card – This is a premium credit card that comes in both paid and free variants. Both variants provide exciting features and benefits.
- 1+1 movie ticket
- 2 reward points for every Rs. 100 spent on weekends.
- Oberoi and Luxe gift voucher as a welcome gift.
- Complimentary airport lounge access to both domestic and international airports
- Complimentary golf games and lessons
- Air accident cover worth Rs. 25 lakhs
- SBI Card Prime – It’s a lifestyle credit card that offers many benefits.
- Welcome e-gift cards
- 10 reward points per Rs. 100 spent on dining, groceries, movies, and departmental stores
- 4 complimentary visits in a year to international priority pass lounges
- 8 complimentary visits in a year to domestic lounges in India
- American Express Platinum Travel Credit card – best credit card for travel. Great for someone who travels frequently.
- Travel vouchers – Flipkart vouchers or travel benefits worth Rs. 4,500.
- 8 complimentary visits to domestic airport lounges
- Taj Experiences E-Gift card.
- Multiple travel benefits on various spends
- Standard Chartered Digismart – This is a good card for anyone who likes to shop online.
- 20% off on myntra with no minimum spend
- 10% off on Zomato with no minimum spend
- Discounts at Yatra.com
- Offers on Grofers with no minimum spend
- Buy one Get one movie ticket at INOX on weekends. Valid for 2 transactions per month.
- Cashback on Ola cab booking
- SBI Student Plus Advantage Credit card – It is a great credit card for students who want to keep a watch on their spending. It can only be availed by people who have taken an educational loan with SBI.
- You need to keep a fixed deposit as collateral to obtain the card
- 2.5 % cash back on department and supermarket purchases
- There is an annual fee of Rs. 500 for purchases less than Rs.35,000 in a year
- Kotak Mahindra Essentia Credit Card – This is a good credit card for those who regularly order their groceries online.
- 10% savings on departmental and grocery store spends
- 6 PVR tickets free or 1200 reward points on a spend of Rs. 1,25,000 every 6 months
- 10 savings points on every Rs. 100 spent. 1 saving point is equal to Re.1
- Axis Pride Signature – Amazing value back card for NRIs.
- No fees for the first year
- 8 reward points for every Rs. 200 spent
- 4% cashback on Swiggy, Zomato, and Ola
- 5% cashback on Google Pay/DTH charges and direct debits (internet, gas, electricity)
- 4 free visits to some of the domestic airport lounges
- Dining Delights program gives a 20% discount on all restaurant bills at partners
- ICICI Business Advantage Black Card – This credit card is one of the best for corporate operations. Rated as one of the best business cards, it is intended to promote safe and secure business transactions.
- Can be used for air travel, car rentals, accounting services, advertising, marketing, etc.
- Over and above cashback on business expenses, you earn cashback on credit card payments as well.
- Contactless credit card enabling faster and more secure payments
- Works in more than 48 countries around the world
- Concierge Services
Above are the best credit cards we identified for 2023. With careful consideration and planning, you can save a lot of money and enjoy incredible offers. Remember not to hold too many credit cards as that can have an impact on your credit score.