Best Secured Credit Cards in India 2023 (Build Credit Score)

Are you searching for some secured credit cards in India to build your credit score? Then you have landed on the right page.

Today, in this blog post I will share 6 best secured credit cards in India you can get very easily and generate your credit score.

Also Read: How To Check Credit Score For Free

What are Secured Credit Cards?

Secured credit cards are those credit cards that are issued to you against a fixed deposit. When you don’t have any salaried income, no income proof, and no credit history, any financial institution will not give you a credit card, and it will be not easy to get a loan if you don’t have a credit history.

When you inquire about a credit card or loan the bank wants to know your behavior whether you will repay the loan on time or not, and whether you will repay your credit card dues on time or not, your credit history is very important to get a fast credit card and loan approval in India.

So to generate your credit score you need to get a credit card but banks will not issue a card to you, what to do? Now secure credit cards have come into the game, these cards can be obtained by making a fixed deposit with your bank. These credit cards are issued to you against your fixed deposit so these cards are also known as fixed deposit-based credit cards.

Secured credit cards are a unique category of credit cards that require a security deposit to open an account. This deposit acts as collateral and serves as a safety net for the card issuer, mitigating the risk associated with lending to individuals with limited or damaged credit histories. The amount of the security deposit typically determines the credit limit on the card, which can range from a few hundred to a few thousand rupees.

The key distinction between secured and traditional unsecured credit cards lies in the collateral requirement. Unsecured credit cards do not necessitate a security deposit, making them more challenging to obtain for individuals with less-than-stellar credit. Secured credit cards, on the other hand, offer a viable pathway to access credit and improve one’s creditworthiness.

One of the primary advantages of secured credit cards is their role in credit building. By using a secured card responsibly making on-time payments and maintaining low balances you can demonstrate your creditworthiness to credit reporting bureaus like CIBIL, Experian, etc. Over time, this responsible behavior will lead to an increase in credit scores, making individuals eligible for unsecured credit cards with better terms and higher credit limits.

There are many banks and NBFCs in India that offer secured credit cards with good reward programs on spending, here I will share some FD-based credit cards available in India you can get to build your credit score.

Best Secured Credit Cards in India

1. One Card – LTF Metal Card

• Minimum fixed deposit: ₹5000
• Joining fee: Nil
• Annual fee: Nil
• Metal card for credit limit above ₹50000
• Credit limit is 110% of fixed deposit
• Up to 7.5% interest on your fixed deposit
• Fixed deposit amount up to ₹5 lakh is insured by RBI

2. Paisabazar Stepup card

• Minimum fixed deposit: ₹2000 (Joining fee ₹200) no joining fee on fd above ₹5000
• Annual fee: Nil
• Minimum fixed deposit: ₹2000
• Fixed deposit amount up to ₹5 lakh is insured by RBI
• Credit limit will be 100% of the fixed deposit
• Up to 7.5% interest on your fixed deposit

3. SBI Unnati

• Minimum Fixed deposit: ₹25000
• Annual Fee – Nil ( for first 4 years and Rs. 499 after that)
• 1 Reward Point on every Rs. 100 spent on the card.
• Rs. 500 cashback within 15 days of achieving annual spending of Rs. 50,000 and above.
• 1% fuel surcharge waiver.

4. ICICI Platinum

• Minimum Fixed deposit: ₹30000
• Up to 100% credit limit of fixed deposit
• Annual Fee: Nil
• Joining fee: Nil
• Discount of Rs. 100 on up to 2 movie tickets per month at BookMyShow
• 2 Reward Points for every Rs. 100 spent on all purchases, except for fuel transactions
• 15% discount on dining at over 2,600 restaurants via Culinary Treats Program
• Instant virtual credit card

5. Kotak 811

• Minimum Fixed deposit: ₹10000
• Up to 100% credit limit of fixed deposit
• Annual Fee: Nil
• Joining fee: Nil
• Instant virtual credit card

6. Axis Insta Easy

• Minimum Fixed deposit: ₹10000
• Up to 100% credit limit of fixed deposit
• Annual Fee: Nil
• Joining fee: Nil
• Instant virtual credit card

Conclusion

There are many banks in India that offer secured credit cards means you will get a credit card against a fixed deposit, You will get a 90% to 110% credit limit on your fixed deposit amount. Onecard and Paisabazaar secured credit cards can be obtained by creating a minimum fixed deposit of ₹2000 while banks require a minimum ₹10000 fixed deposit to offer a secured credit card. Many secured credit cards are issued instantly (virtual cards). I would suggest you go with ONecard which offers a metal card if you create a minimum fixed deposit of ₹50000, unless go with ICICI bank which offers good rewards on spending and life time free credit cards.

FAQ

Thank you for reading this blog post completely, I hope it was helpful for you to find the best offers on credit card bill payments and you have earned some cashback rewards on your credit card bill payment this September 2023. Kindly share this blog post with your friends and family to earn cashback on credit card bill payments.

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