Credit Card Blogs & Guides

Cashback cards credit monetary savings directly against your monthly statement balance (e.g., 5% on Flipkart or Amazon), providing guaranteed ₹1 for ₹1 value with zero redemption fees. In contrast, reward point cards award points per ₹100 or ₹150 spent, which can yield a higher effective return (typically 5% to 15%) when transferred to airline frequent flyer programs (Air India Flying Returns, Singapore KrisFlyer) or luxury hotel loyalty tiers, but require active tracking to avoid catalog devaluations and point expiry.

There is no universal CIBIL score cutoff for credit card approval. Each issuer sets criteria for each card and considers the wider financial profile, including income, employment, existing obligations and repayment history. Check the issuer's current eligibility terms; a credit score alone does not guarantee approval.

Most Indian credit cards waive the upcoming renewal fee if your cumulative retail spending reaches an annual milestone (typically ₹1 Lakh for entry cards, ₹3 to ₹5 Lakhs for premium cards). However, transactions made for rent payments, wallet top-ups (Paytm, Mobikwik), government taxes, school fees, and purchases converted into EMIs are almost universally excluded from fee-waiver milestone calculations. Always check your card's Schedule of Charges to track eligible spends.

RuPay credit cards issued by Indian banks can be linked directly to UPI applications (Google Pay, PhonePe, Paytm, BHIM) to make merchant scan-and-pay transactions. Spends up to ₹2,000 at small merchants carry zero convenience charges for cardholders and enjoy the standard 20 to 50 days interest-free credit period. This allows users to earn reward points or cashback on daily grocery, fuel, and neighborhood store purchases.

Major Indian card issuers (including ICICI Bank, HDFC Bank, Axis Bank, and SBI Card) have transitioned from unconditional complimentary lounge access to spend-linked eligibility. Mid-tier cards now require cardholders to spend ₹10,000 to ₹50,000 in eligible retail purchases in the preceding calendar quarter to unlock complimentary domestic lounge passes for the subsequent quarter. Super-premium cards (such as HDFC Infinia or Axis Magnus) remain among the few exceptions offering spend-free unlimited lounge visits.

When spending in foreign currencies online or overseas, standard Indian credit cards levy a foreign currency markup fee of 3.5% + 18% GST (effective ~4.13%). Dedicated zero-forex or low-forex credit cards (charging 0% to 1.99%) can save international travelers ₹3,000 to ₹4,000 for every ₹1 Lakh spent abroad. Additionally, cardholders should always choose to be billed in the local destination currency rather than INR to avoid inflated Dynamic Currency Conversion (DCC) charges.

Yes. Holding 2 to 3 complementary credit cards across different issuers (such as HDFC, SBI, and ICICI) expands your total aggregate credit limit. Because credit bureaus calculate your Credit Utilization Ratio (CUR) across all active cards, a higher overall limit makes it easier to keep total utilization below 30%, which directly boosts your CIBIL score while allowing you to capture merchant bank sale discounts across multiple platforms.

Paying only the Minimum Amount Due (typically 5% of your statement total) avoids late payment penalties and bureau default flags, but immediately revokes your interest-free grace period. The remaining 95% balance plus every new swipe incurs finance charges of 3.49% to 3.75% per month (42% to 45% APR) calculated from the transaction date until the entire balance is cleared in full. Paying the Total Amount Due is essential to avoid revolving debt traps.

Indian banks frequently exclude the following Merchant Category Codes (MCCs) from earning base and accelerated reward points: residential and commercial rent payments, wallet reloads, fuel pump transactions, government tax filings, utility bill payments through government portals, and transactions converted into monthly EMIs. Reviewing your card's monthly exclusion list ensures you don't miss expected returns on major spends.