In the vast world of personal finance, cashback credit cards stand out as a popular choice for many consumers. These cards offer a simple yet enticing proposition: earn a percentage of your spending back as cash. In this blog, we will discuss the 3 best cashback credit cards in India.
What Are Cashback Credit Cards?
Cashback credit cards provide a percentage of the amount spent back to the cardholder as a reward. This reward can often be redeemed as a statement credit, direct deposit, gift cards, or other forms.
Benefits of Cashback Credit Cards:
- Earn Money on Everyday Purchases
- Every purchase you make with a cashback card earns you money back, making everyday spending more rewarding.
- Every purchase you make with a cashback card earns you money back, making everyday spending more rewarding.
- Flexibility in Redemption
- Cashback can often be redeemed in various forms, such as statement credits, gift cards, or direct deposits, offering flexibility in how you use your rewards.
- Cashback can often be redeemed in various forms, such as statement credits, gift cards, or direct deposits, offering flexibility in how you use your rewards.
- Introductory Offers
- Many cashback cards come with sign-up bonuses, offering a significant amount of cashback if you spend a certain amount within the first few months of opening the card.
- Many cashback cards come with sign-up bonuses, offering a significant amount of cashback if you spend a certain amount within the first few months of opening the card.
- Financial Incentives
- Using a cashback card wisely can lead to significant savings over time, especially if you pay your balance in full each month to avoid interest charges.
- Using a cashback card wisely can lead to significant savings over time, especially if you pay your balance in full each month to avoid interest charges.
Things to Consider:
- Interest Rates
- Cashback credit cards often have higher interest rates. To maximize your benefits, it’s crucial to pay off your balance in full each month to avoid paying interest, which can negate the cashback rewards.
- Cashback credit cards often have higher interest rates. To maximize your benefits, it’s crucial to pay off your balance in full each month to avoid paying interest, which can negate the cashback rewards.
- Annual Fees
- Some cashback cards come with annual fees. It’s essential to weigh the potential cashback earnings against the annual fee to ensure the card is worth it.
- Some cashback cards come with annual fees. It’s essential to weigh the potential cashback earnings against the annual fee to ensure the card is worth it.
- Spending Habits
- Choose a card that aligns with your spending habits. If you spend a lot on dining and groceries, a category-based cashback card might be the best fit.
- Choose a card that aligns with your spending habits. If you spend a lot on dining and groceries, a category-based cashback card might be the best fit.
- Redemption Limits and Expiry
- Some cards have minimum redemption amounts or expiration dates for cashback. Be sure to read the terms and conditions to avoid losing your rewards.
- Some cards have minimum redemption amounts or expiration dates for cashback. Be sure to read the terms and conditions to avoid losing your rewards.
Following are 3 best Cashback credit cards in India:
1. HSBC Cashback Credit Card
Annual fee: INR999
Waived if you spend more than INR200,000 per year, INR999.
Key Features and Benefits of the HSBC Cashback Credit Card:
- Receive a 10% accelerated cashback on all dining, food delivery, and grocery purchases, capped at Rs.1,000 per billing cycle.
- Get access to 4 complimentary domestic lounge visits per year, one per quarter.
- To qualify for Amazon vouchers worth Rs.1000, make transactions totaling at least Rs.10,000 within the initial 30 days. Terms and conditions apply.
- Cashback of 1.5% on all online spends.
HSBC Cashback Credit Card is best suited for those who spend substantially on food-related categories and are looking to save in the form of cashback on all their spends. With accelerated cashback rate on food-related spends and flat 1.5% cashback rate on others, this card offers hassle-free savings to its users. It surely makes a strong place in the best cashback cards in India.
2. SBI Cash Back Credit Card
Joining Fee: Rs. 999
Annual Fee: Rs. 999 (Waved off on spending Rs. 2 lakh in a year)
Key Benefits:
- 5% cashback* on online spends
- 1% cashback* only on offline transactions
- Annual fee reversal on spending Rs. 2 Lakh in a year
- 1% fuel surcharge waiver across all petrol pumps in India
Cashback SBI Card is one card to must include in the 3 best cashback credit cards in India. This card is best suited for those who prefer online shopping for everything- whether it is apparel, footwear, accessories, travel, food, groceries, entertainment or any other need. The maximum cashback limit (for the accelerated earning category) is Rs. 5,000 in a billing cycle, which means online transactions up to Rs. 1 Lakh per month will be eligible for the extra earnings. After you reach this monthly limit, 1% cashback will be given on all transactions. If you are looking for other credit cards from SBI don’t forget to check out our blog “5 Best Credit Cards From SBI“.
3. Axis Bank Neo Card
Joining Fee: Rs. 499
Annual Fee: Rs. 499 (Waved off on spending Rs. 2 lakh in a year)
Key Benefits:
- 5% cashback on bill payment and recharge via Google Pay
- 4% on Swiggy, Zomato and Ola
- 1.5% cashback on all other spends
- 4 domestic lounge visits in a year on spending min. Rs. 50,000 during the previous 3 months
- 1% fuel surcharge waiver at all fuel stations.
Joining Fee Reversal: Spend Rs. 10,000 within 45 days of card issuance to avail joining fee reversal.
Axis Ace credit card is a good choice for those who want to get high value-back for a low annual fee. While most cards offer low or no rewards on utility bill payments, Axis Ace offers a 5% cashback on making such transactions via Google Pay, which is an excellent offer. You cannot ignore this card while choosing for the best cashback credit cards in India.
Conclusion
Cashback credit cards can be a powerful tool for earning money on your everyday purchases. By understanding how these cards work and choosing the right one for your spending habits, you can make the most of your rewards. Surely, this blog helped you back from the best cashback credit cards in India as per your need.
Please note: This information is for general purposes only and does not constitute financial advice. It is important to carefully consider your individual needs and financial situation before applying for any credit card. Always compare different cards and their terms and conditions before making a decision.