Today credit cards have become an indispensable part of our daily lives. From swiping it at merchant outlets to using it to pay for utility bills and online shopping, the versatile plastic card is part and parcel of our lives.
However, banks perform multiple credit checks before issuing credit cards to customers. It’s because, unlike debit cards where you earn and spend, in credit cards, it’s vice versa – you spend and then you pay.
Banks consider several factors like – credit score, repayment history, loans taken, employment and income levels before issuing a credit card. If you’re worried that your low-income may make you ineligible for a credit card, fret not.
Here, in this guide, we’ve listed the top 5 credit cards that are available for low-salaried professionals in India.
What is a low-income credit card?
As the name implies, a low-income credit card is specifically designed for individuals who earn low monthly incomes, generally ranging from Rs.10,000 – Rs.25,000 per month. The credit limit of low-income credit cards is lower when compared to other existing credit cards in the market. However, depending on your payment habits, your credit score and income, your bank may offer to increase the credit limit in the future.
The 5 Best Credit Cards for Low-Income Earners in India
Here, we list out the features, benefits and eligibility criteria of the top low-income credit cards in India. You can compare and choose the right card that meets your specific requirements.
#1: SBI SimplySAVE Credit Card
Eligibility:
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Annual income of Rs. 1 lakh or more
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The age of the applicant must be between 21 and 60 years
Salient Features:
The SimplySAVE SBI Card is a great starter credit card for those who are just getting started in their careers. This card offers unlimited privileges like:
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Spend Rs. 2000 or more on the card in the first 60 days, and enjoy 2000 bonus reward points
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Earn 10x reward points for every Rs. 100 spent on grocery, departmental stores, movies and dining
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Earn 1 reward point for every Rs. 100 spent on other expenses
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When you fuel up for an amount between Rs. 500 and Rs. 3000 at any petrol pump in India, you don’t have to pay the 1% fuel surcharge when you use this card
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By spending Rs. 1 lakh or more using the card, you can enjoy reversal of your membership fee from the second year
Fees and Charges:
SBI SimplySAVE Credit Card | |
Joining Fee (one-time fee) | Rs. 599 |
Renewal Fee | Rs. 599 per year, from the second year onwards |
Interest-free credit period | 20 – 50 days, if the previous balance has been paid in full |
Cash advance limit | Up to 80% of the available credit limit (with a maximum of Rs. 12,000 per day) |
Cash advance fee | 2.5% of the transaction amount, with a minimum of Rs. 500 |
Card replacement fee | Rs. 100 |
#2: ICICI Platinum Chip Credit Card
If you’re looking for a no-frills, easy to manage credit card, then the ICICI Bank Platinum Chip credit card is the best option for you. It’s safe, convenient and incredibly easy to use.
Eligibility:
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The applicant must be a resident of India
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The applicant must earn a stable income of Rs. 2.5 lakhs or more in a year
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The applicant must be more than 23 years old
Salient Features:
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The card offers built-in contactless chip technology, which makes your payments at POS outlets quick and secure.
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The in-built chip protects you from credit card frauds.
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For every purchase you make with the card, you earn PAYBACK points that you can redeem for exciting vouchers. PAYBACK is India’s biggest reward program with numerous redemption options.
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The card offers fuel surcharge waivers for all transactions made at petrol bunks across India.
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The card is a part of the Culinary Treats program and you can enjoy a minimum 15% savings every time you dine at 800+ partner restaurants across the country.
Fees and Charges:
ICICI Bank Platinum Chip Credit Card | |
Joining Fee (one-time fee) | Rs. 199 |
Renewal Fee | Rs. 99 every year, from the second year onwards. (The annual fee is NIL when the card spends are more than Rs.50,000 in the previous year) |
Interest on credit and cash advances | 3.40% per month |
Supplementary card fee | Nil |
#3: HDFC MoneyBack Card
If you prefer cash back instead of redeeming gifts for reward points, then this card is a great choice for you. It gives cardholders the flexibility to redeem reward points for cash back or MyRewards vouchers as per their preference.
Eligibility:
To be eligible for this card, you must be a:
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Salaried employee, aged between 21 and 60 years
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Or a self-employed individual aged between 21 and 65 year
Salient Features:
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Earn 2 reward points for every Rs. 150 spent on the card. You can then redeem the accumulated points for gifts or air miles at HDFC’s MyRewards portal.
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You can also redeem your accumulated reward points for cashback, that is deducted from your outstanding credit card bills. The cashback rate is Rs. 20 for every 100 points earned.
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Earn 2x reward points for shopping online.
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100% fuel surcharge waiver up to Rs. 250 for every billing cycle.
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Protect yourself from credit card frauds using the in-built EMV chip.
Fees and Charges:
HDFC MoneyBack Credit Card | |
Joining Fee (one-time fee) | Varies from one cardholder to another |
Renewal Fee | You can renew your membership for free by spending Rs.50,000 or more in the previous year |
Interest-free credit period | Up to 50 days, from the date of purchase |
Cash advance limit | At the discretion of HDFC bank and varies from one cardholder to another |
Cash advance fee | Up to 2.5% with a minimum of Rs. 500 |
Card replacement fee | Nil, if lost card is reported immediately |
#4: Axis Bank Insta Easy Credit Card
This card is available to all fixed deposit account holders of Axis Bank. You don’t have to submit any other documentation as eligibility proof.
Eligibility:
The Axis Bank Insta Easy Credit Card doesn’t consider the income of the applicant. Rather, the card is issued to applicants who open a fixed deposit at any Axis Bank branch.
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A fixed deposit of minimum Rs. 20,000 and maximum Rs 25,00,000
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Card is available only to adults and not minors
Salient Features:
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50-day free credit, when all outstanding balances have been paid in full
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Cash withdrawals up to 100% of the available credit limit
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Flexible credit limit – get up to 80% of the value of the fixed deposit as the credit limit
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1% fuel surcharge waiver on all fuel transactions across India
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Enjoy 15% off at certain restaurants as part of the Dining Delights program offered by Axis Bank
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Guaranteed approval for the card on opening an FD
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Global emergency assistance to report lost/stolen cards
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Secure transactions via the in-built EMV chip
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Earn eDGE Loyalty rewards
Fees and Charges:
Axis Bank Insta Easy Credit Card | |
Joining Fee (one-time fee) | Nil |
Renewal Fee | Nil |
Add-on card Fee | Nil |
Interest-free credit period | Up to 50 days |
Cash advance limit | 100% of the credit limit |
Cash advance fee | 2.5% of the cash amount |
Card replacement fee | Waived |
#5: Yes Prosperity Rewards Plus Credit Card
It’s another popular low-income credit card that offers a wide array of perks and benefits.
Eligibility:
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Age criteria – the applicant must be aged between 21 and 60 years
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The applicant must be either salaried or self-employed
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The applicant must earn a monthly income of Rs. 25,000 or more, or file income tax returns of Rs. 5 lakhs or more
This card is also available against a fixed deposit. However, this card is currently available only in select cities. Visit your nearest YES bank branch to check if the card is available in your city or not.
Salient Features:
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Earn accelerated rewards on grocery and supermarket spends.
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Fuel surcharge waiver at all petrol bunks across India
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Earn 12,000 bonus reward points when you spend more than Rs. 3.6 lakhs on the card every year
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Insurance coverage in case of accidental death of the primary cardholder
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Redeem reward points at YesRewardz
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Enjoy other services like instant loans, instant EMI, EMI on call on the card
Fees and Charges:
Yes Prosperity Rewards Plus Credit Card | |
Joining Fee (one-time fee) | Rs. 350, reversed if you spend Rs. 7,500 or more, within the first 90 days of setting up the card |
Renewal Fee | Rs. 350, reversed if you spend Rs. 12,000 or more, in the previous year |
EndNote
Choose the Right Card that Fits You Best
Compare the features, benefits, fees and charges, and eligibility criteria and pick the right card that works the best for your lifestyle needs. Make sure to get all the basic documents required like – salary slips, income tax returns, the latest bank statement and pan card to speed up the credit card application and approval process.