Know the different types of Credit Cards available in India and their benefits

September 13, 2019

Today, a lot of people in India use a Credit Card for various purposes. However, not many people know that there are different types of Credit Cards, which cater to the specific needs of the people. This article lists the different types of Credit Cards available in India and their benefits.

The advent of the Credit Cards, which is also commonly known as plastic money, has made the payment mechanisms easier than ever before. It is not only a convenient way to make payments to all your online and offline transactions/purchases, but also allows you to get rid of the difficulties of carrying cash. If you are planning to apply for a Credit Card, you must first research the different types of Credit Cards and their features and choose the one that best suits your needs.

The different Credit Cards are typically distinguished based on the purpose they are designed for and the range of benefit they offer. Let us look at the common types of Credit Cards available in India and their benefits.

Co-branded Credit Cards

This type of card, as the name itself suggests, is offered jointly by a bank and an associate company. It provides many offers and deals from the associated retailers in terms of discounts and cashback.

Benefits

  • Co-branded cards are accepted worldwide; it can be used to make purchases at any merchant outlets internationally and yet you can be sure that the bill generated is in Indian Rupees.
  • You get a wide range of rewards and discounts by shopping at the affiliate merchant outlets. Also, you get additional loyalty points every time you use the card.
  • If you spend a certain amount using the card, you can get free merchandise.

Travel Cards

Among the many types of Credit Cards, the Travel Credit Card is very popular, especially among frequent travellers. These cards allow the users to avail of attractive discounts on their flight and hotel bookings. Also, they reward the users with air miles, every time they use the card, which they can redeem to get a discount on their future bookings.

Benefits

  • You get travel accident cover, which helps you get reimbursement for the losses you may suffer during your travel because of natural disaster or theft.
  • Travel Credit Cards allow you to shop overseas without incurring any foreign transaction fee.

Fuel Credit Card

With the rising concerns over the high fuel cost in India, having a fuel Credit Card can be a great boon. You can use these cards at various fuel stations and get an attractive discount or cashback every time you refill.

Benefits

  • Can be used at any fuel station in India where Credit Cards are accepted.
  • You get reward points every time you purchase fuel, which is higher than the rewards you get using other Credit Cards.
  • Some fuel Credit Cards offer a full waiver on fuel surcharge on fuel purchases.

Cashback Credit Cards

Among the different types of Credit Cards available in the market, the cashback cards are popular and are useful for everyday shoppers who look for savings/offers on their purchase. Every time you use the card, you get a certain percent of the total expense as cashback, which you can redeem later.

Benefits

  • You get extra reward points for spending on certain selected categories like groceries or drugs.
  • You get a reward point for every rupee you spend.
  • Most banks in India offer a cashback Credit Card for zero annual fees.
  • You get an attractive signup bonus point when you subscribe for the card.

Apart from the above types, other types of cards available in India are – entertainment Credit Card, lifestyle Credit Card and Credit Card for women.

 

DISCLAIMER

The contents of this document are meant merely for information purposes. The information contained herein is subject to updation, completion, revision, verification and amendment and the same may change materially. The information provided herein is not intended for distribution to, or use by, any person in any jurisdiction where such distribution or use would (by reason of that person‘s nationality, residence or otherwise) be contrary to law or regulation or would subject lClCl Bank or its affiliates to any licensing or registration requirements. This document is not an offer, invitation or solicitation of any kind to buy or sell any security and is not intended to create any rights or obligations. Nothing in this document is intended to constitute legal, tax, securities or investment advice, or opinion regarding the appropriateness of any investment, or a solicitation for any product or service. Please obtain professional legal, tax and other investment advice before making any investment. Any investment decisions that may be made by you shall be at your sole discretion, independent analysis and at your own evaluation of the risks involved. The use of any information set out in this document is entirely at the recipient's own risk. The information set out in this document has been prepared by ICICI Bank based upon projections which have been determined in good faith by lClCl Bank and from sources deemed reliable. There can be no assurance that such projections will prove to be accurate. lClCl Bank does not accept any responsibility for any errors whether caused by negligence or otherwise or for any loss or damage incurred by anyone in reliance on anything set out in this document. The information set out in this document has been prepared by ICICI Bank based upon projections which have been determined in good faith and sources considered reliable by lClCl Bank. In preparing this document we have relied upon and assumed, without independent verification, the accuracy and completeness of all information available from public sources or which was provided to us or which was otherwise reviewed by us. Past performance cannot be a guide to future performance. 'lClCl ' and the 'I-man' logo are the trademarks and property of lCICl Bank. Misuse of any intellectual property, or any other content displayed herein is strictly prohibited.

Comments()