Types of Credit Cards on Offer

India has many banks and financial institutions and each one offers a dozen varieties of credit cards complete with different benefit and rewards. Every kind of card is intended to meet the specific needs of people. Not every card may be useful to you. It is very important to sift through the available credit cards in the market to find one that matches your requirements better.

We have compiled the available credits cards in India for you. However, this is not an exhaustive list as new cards keep popping up every other day.

Classic Credit Cards

This card is globally accepted and almost all banks and financial institutions offer this classic credit card. This kind of card allows for a cash advance and usually offers insurance against loss of the card. With this card you can easily cover dining, traveling as well as other lifestyle expenses. Some classic cards issued by certain banks agree on interest-free credit period.

Co-branded Credit Cards

When a retail brand or an e-commerce website come together to offer a card then it is a co-branded credit card. These cards are beneficial mainly when used for a specific purpose. These cards offer heavy discounts and greater privileges when shopping with these brands or websites. One good example of a co-branded card is the IRCTC SBI Platinum Card.

Cashback Credit Cards

These cards are very useful to get cash returns every time you make a purchase using the card. The double benefit of this card is that as a user you can spend using the card and at the same time earn money on the purchase. Most credit cards these days come with a cashback feature.

Corporate Credit Cards

Perfect for those working in the corporate sector, the Corporate Credit cards are ideally known as business credit cards. Apart from offering travel deals such as food, accommodation, these cards are also known for their lucrative savings options.

Travel Credit Cards

Just what frequent traveler need, a travel credit card offers designated needs of a traveler. Privileges such as travel insurance, air miles and access to airport lounges are some benefits that most of travel credit cards carry.

Fuel Credit Cards

When you have a fuel credit card, you are entitled to offers, discounts, and cashback whenever you fill up petrol and diesel on your vehicle and pay using this card. Most of fuel credit cards available offer fuel surcharge waiver along with reward points every time the cardholder purchases fuel.

Secure Credit Card

The Secure Credit Card favors those with a poor credit score and for the ones who find it difficult to get a credit card. Issued against a fixed deposit, this card uses the fixed deposit as a credit limit. This means that if the cardholder defaults on repaying the credit, then it is deducted from the cardholder’s FD against which the credit card is issued.

Prepaid Credit Cards

Similar to a debit card, prepaid credit card, as it suggests enables the cardholder to make a deposit and then use this credit card against that deposit. However, every time the credit card is used, funds are not deducted from the deposit. Funds are deducted from the deposit only if the cardholder defaults on payment.

Online Shopping Credit Cards

The recent entrant to the kinds of credit cards are the online shopping credit cards. These cards offer heavy discounts and greater privileges when purchasing online and also provide you with EMI services.

Balance Transfer Credit Cards

This card enables you to juggle balances on your credit cards from one to another. This kind of card is particularly useful to those who have huge outstanding dues.

Credit Cards for Women

Special privileges for women are available when using this card. Designed especially for women, this card provides benefits and rewards when shopping. There are some credit cards for women that come with an insurance cover.

Entertainment Credit Cards

Looking for a card that is just made for a movie buff like you? Then the entertainment credit card is for you. Perfect for movies, theatre shows, and events, this card offers reward points on every purchase.

Premium Credit Cards

These cards are meant specifically for high-income individuals. The card offers various deals on services, memberships and high-end club privileges for those who like to ride high.

Lifestyle Credit Cards

These cards are meant to specially offer lifestyle services such as travel, dining, entertainment, and shopping.

Student Credit Cards

As the name suggests, these cards are for the students of college above 18 years of age. A few banks in India offer this kind of card.

Gold Credit Cards

As the card suggests, the Gold Credit Card is perfect for high-income individuals. The main advantage of this card is that it offers credit limits higher than most other cards apart from privileged reward points and add-on facilities.

Platinum Credit Card

A premium credit card meant for high-income individuals, a platinum credit card is almost like a gold card with added benefits. These benefits include protection against online fraud, no annual fee charge and so on.

Lifetime Free Credit Card

As the name suggests lifetime free credit cards are the ones that do not charge any annual fee. These cards also offer other benefits such as in travel, dining, entertainment and fuel purchase.

Virtual Credit Card

These cards are add-on cards and are issued to the primary credit card. This card does not exist as a plastic card but is available only virtually.

Credit Card for Low Income Group

Banks and financial institutions across India have come up with credit cards for those in the lower-income strata. These cards are basic credit cards with features such as no annual charges and are issued to individuals with income group between one to two lakh a year. A nominal charge is levied for opening an account for this credit card.

There are many more credit cards on offer in India. Before you decide on the best one for you, you may need to consider your income and expenses. Only after serious considerations should you decide on the credit card that works for you.

You may also want to take into consideration features such as annual fee charged, credit limit and interest levied on borrowings. It is advisable to use credit cards wisely otherwise it can turn into a burden you can only imagine.