When you get a job or enter your professional life, your main motive is to save the money you earn. So, you look for offers, discounts, cashback, and more in every transaction. A credit card provides you with almost all these facilities and helps you increase your savings. There are different types of credit cards available in India. But, with so many options, choosing the best may become very challenging for you.

 

Before knowing about the different types of credit cards available in the market, understanding what a credit card is crucial.

• In simple words, a credit card is a financial tool that allows you to make payments. 
• With this card, you can borrow funds from a bank or issuer to make a purchase. 
• The maximum amount of money you can spend via a credit card is determined by your issuer and is referred to as your credit limit. 
• You must repay the amount borrowed within a set period.
• The total amount of money spent with this card is billed at the end of every month. 

 

Types Of Credit Cards Available in India

Now that you know what a credit card is, here are some card variants you need to know. If you are looking to apply for a credit card, you have a wide range of options in India. Choose a card that fulfils your needs and provides you with maximum benefits. To help you make a better choice, here are some types of cards available in India:

 

Co-branded Credit Cards

Credit card companies partner with leading brands from many sectors to provide co-branded credit cards. 

• If you are purchasing products or services from one specific brand, then a co-branded card can prove to be the best one for you.
• For instance, if you shop a lot on Amazon, you can get the Amazon Pay ICICI Bank Credit Card and enjoy exciting offers.

 

Secured Credit Cards

It may be difficult to obtain a credit card if you have a poor credit history or no credit. A secured credit card, on the other hand, is beneficial, as you can get this card by booking a fixed deposit with the issuer. 

• It makes these cards excellent alternatives for anyone looking to improve their credit score. 
• You can receive interest on your bank deposit as well, helping you accumulate significant returns.

 

Business Credit Cards

Banks generally give business credit cards to companies to help them manage their business-related expenses.

Here are some features of these cards: 

• Helps a company establish and build credit score
• Offers higher transactional limits
• Provides a line of credit that helps businesses manage their cash flow

 

Rewards Credit Card

These credit cards provide reward points when you cross a minimum spending limit. For example, most card companies and banks will give you 2 or 4 reward points for every ₹100 you spend. 

• You may plan to gain a large number of reward points and redeem them all at once. 
• But remember that earned reward points may lose value over time.
• Make sure to claim your reward points before they expire. 
• Always keep track of your reward points and try to redeem them as soon as possible to help you avoid missing out on fantastic offers.

 

Cashback Credit Cards

Cashback is an easier reward that credit card issuers and banks provide. Cashback is a percentage of the cash you get when you make a transaction using your card. 

These cars help you earn a significant proportion of money back on every transaction you make.

• For example, a card may provide 1% cashback on all transactions but 3% on groceries and 5% on petrol.
• So, with a credit card, the amount of money you get back varies per card and spending category.

 

Fuel Credit Cards

If you drive regularly, then fuel credit cards are one of the best ways to save money on fuel purchases. They offer numerous benefits, such as fuel surcharge waivers, helping you reduce your fuel expenses. Most cards in the market offer a 1% fuel surcharge waiver.

 

Shopping Credit Cards

If you are a shopaholic and want to enjoy exclusive deals and discounts, then these cards can be perfect for you. With a shopping credit card, you can enjoy exclusive reward points and amazing offers on lifestyle purchases.

 

Travel Credit Cards

If travel is one of your main objectives, travel credit cards may be an ideal option. These cards enable you to earn additional points for travel reservations. Depending on the type of travel credit card you use, you may receive a variety of benefits, like: 

• Complimentary airport lounge access
• Savings on dining and other recreational activities
• Discounts on hotel bookings
• Offers on flight ticket bookings
• Low Forex markup fees

 

Well, a little bit of research will help you identify which credit card is suitable for you. But if you want a credit card with all-in-one features, the One Credit Card is a suitable option.

You can simply search for deals near you using GPS on the One Credit Card App and claim them effortlessly. Earn 5X rewards on your top two spending categories each month and get the card without paying any joining or yearly fees. 

Apply today and get incredible deals and discounts on shopping, dining, travel, and even going to the movies!