In today’s economy, finding ways to save money is essential, and using the right credit card is a smart strategy. For those who enjoy in-store shopping, selecting a cashback credit card that complements your spending habits can be very beneficial. This guide will help you explore the best cashback credit cards available in India, focusing on their features and benefits.
Factors to Consider When Choosing a Cashback Credit Card
Selecting the right cashback credit card requires consideration of several factors. Firstly, identify your major spending areas – whether it’s groceries, dining out, or fuel. This helps in choosing a card that offers higher rewards in those categories. Secondly, consider your shopping habits: do you prefer shopping online or in-store? Cards differ in rewards for online and offline spending.
Also, consider the type of rewards: some cards offer a flat rate on all purchases, while others have tiered rewards for specific categories. Don’t forget to factor in annual fees, foreign transaction fees, and the ease of reward redemption. Evaluating these aspects ensures you choose a card that fits your lifestyle and maximises your returns.
The Best Cashback Credit Cards in India
Each of these cashback credit cards in India offers unique benefits:
- Amazon Pay ICICI Bank Credit Card
- 5% cashback for shopping on Amazon for Prime members (3% for others)
- 2% on food, grocery, fuel, and bills
- 1% on other categories
- No annual fee
- Ideal for Amazon loyalists
This card is perfect for frequent Amazon.in shoppers. The cashback is credited as Amazon Pay balance, enhancing your savings on each purchase. It’s also beneficial for routine expenditures like groceries and fuel, making it a versatile option for everyday use.
- Flipkart Axis Bank Credit Card
- 5% cashback on Flipkart
- 4% on preferred partners
- 1.5% on other purchases
- Annual fee: Rs 500
Tailored for devoted Flipkart customers, this card extends its benefits to partner brands, offering substantial savings. It’s a great fit for those who also engage in varied spending, with a reasonable annual fee that can be offset by the rewards earned.
- SBI SimplyCLICK Credit Card
- 10X rewards on online spends
- 5X on online groceries
- Annual fee: Rs 499
- Great for heavy online shoppers
This card is a boon for online shopping aficionados. It offers high reward points on popular e-commerce sites, making it ideal for those who frequently shop online. The additional rewards on online groceries further add to its appeal.
- IndusInd Bank Iconia Credit Card
- 10% cashback on dining, grocery, and fuel
- 2.5% on utility bills
- 1% on other spends
- Good for diversified spenders
This card caters to a broad range of spending, offering significant cashback on daily necessities and utilities. It’s well-suited for individuals who have varied spending patterns and want to maximise rewards across multiple categories.
- AU Small Finance Bank Visa Signature Credit Card
- 5% cashback on online shopping
- 2.5% on offline spends
- No cap on cashback
This card stands out for its high cashback rates, especially in the online shopping realm. With no cap on cashback earnings, it’s an attractive option for those who split their spending between online and offline modes.
- ICICI Bank Rubyx Credit Card
- Amazon vouchers and Prime membership
- 4% fuel surcharge waiver
- High annual fee
- Suitable for occasional Amazon users
The card is particularly appealing to occasional Amazon shoppers, offering vouchers and a free Prime membership. Though the annual fee is high, the benefits can be worthwhile for those who can make the most of the Amazon-specific perks.
- Standard Chartered Cashback Credit Card
- 5% cashback on department stores
- 1.5% on dining and groceries
- Limited dining partners
- Ideal for department store regulars
This card is a great fit for those who frequently shop at department stores. The additional cashback on dining and groceries, despite having limited partner outlets, makes it a good choice for regular shoppers looking for varied benefits.
- IDFC FIRST Bank Cashback Card
- 4% cashback on utilities
- 2% on weekends
- 1% on weekdays
- Good for weekend shoppers
Offering higher cashback on utilities and weekend purchases, this card is tailored for those who do the bulk of their shopping on weekends. Its weekday cashback rate, though lower, still adds value for routine purchases.
- HSBC Cashback Credit Card
- 1.5% unlimited cashback on offline spends
- Annual fee: Rs 500
- Great for offline shopping
This card is ideal for those who prefer in-store shopping experiences. With a straightforward cashback rate on all offline purchases and a minimal annual fee, it’s well-suited for shoppers who value simplicity in their reward schemes.
- RBL Bank Millennia Credit Card
- 3% cashback on fuel
- 2.5% on dining
- 2% on entertainment
- 1% on other spends
This card offers a blend of rewards, making it a good choice for those with diverse spending habits. From fuel to dining and entertainment, it covers a wide range of categories, providing a well-rounded cashback experience.
Benefits of Cashback Credit Cards
The benefits of using a cashback credit card extend beyond just earning rewards. They make it easy to earn rewards on everyday necessities like groceries, fuel, and utility bills. Many cards offer the convenience of redeeming cashback as statement credits, effectively reducing your credit card bill.
Cards with bonus categories can significantly maximise your savings, especially during special promotions or with certain brands. Plus, with most cashback cards in India not charging annual fees, you can earn rewards without extra costs. Additionally, credit cards provide enhanced security against fraud and added conveniences like instant discounts, no-cost EMIs, lounge access, and more.
Selecting the best cashback credit card can transform your regular spending into a rewarding experience. Whether you’re an online shopping enthusiast, a supermarket regular, or someone who enjoys weekend shopping sprees, there’s a card out there that can enhance your spending experience.
By carefully considering your spending habits and the unique features of each card, you can choose a card that not only makes your credit card payment rewarding but also seamlessly fits into your lifestyle. Embrace the benefits of cashback credit cards and turn your everyday shopping into a more fulfilling and financially savvy activity.
