Best Secured Credit Cards in India

A secured credit card, as the name suggests, is secured by collateral (fixed deposit) that the customer has placed with the bank in lieu of getting approval for his/her card. Such a credit card is one of the best options for people without a good credit score or those who are new to credit. These credit cards are issued against fixed deposits and function in the same way as regular/unsecured credit cards. The only difference is that, in the case of secured credit cards, if the user defaults, the card issuer will recover the amount through the fixed deposit.

Best Secured Credit Cards in India for 2024

Secured Credit Card	Annual Fee	Minimum FD Amount
Step UP Credit Card	Nil (Joining fee – Rs. 250 + 18% GST for FDs of up to Rs 5.000; NIL for FDs above Rs 5,000)	Rs. 2,000
SBI Card Unnati	Nil (Rs. 499 from 5th year)	Rs. 25,000
IDFC FIRST WOW! Credit Card	Nil	Rs 20,000 (Rs 25,000 for NRIs)
Kotak 811 #DreamDifferent Credit Card	Nil	Rs 5,555 (for 811 saving account customers); Rs 10,000 (for Non 811 saving account customers)
ICICI Bank Instant Platinum Credit Card	Nil	Rs. 50,000

Last checked on 9 December 2024

Step UP Credit Card

Step UP Credit Card co-branded with SBM Bank Indian Ltd with Paisabazaar as a co-branded partner is one of the best credit cards suited for individuals with no or low credit history. People who wish to earn rewards on their spending and grow their money at the same time should consider getting this credit card. The best thing about this credit card is that you get 90% of the FD amount as your credit limit and no documents are required for this credit card at all.

Joining Fee: Rs. 250 + 18% GST (for FDs of up to Rs 5,000); NIL (for FDs above Rs 5,000)

Renewal Fee: Nil

Minimum Fixed Deposit Amount: Rs. 2,000

Features

Interest on Fixed Deposit: Cardholders can earn 6.50% interest on their fixed deposit for the tenure of 390 days

Credit Limit: The credit limit for your Step UP card will be 90% of your fixed deposit amount. For instance, Rs 12,000 will give a credit limit of Rs.10,800.

Interest-Free Period: The interest-free grace period could range from 20 to 50 days

Rewards: 1 reward point on every Rs. 100 spent (4 Reward Points = Rupee 1)

Easy Approval: The approval process is fast and easier because the bank is already risk-free by accepting a security deposit from the borrowers

Digital Process: A hassle-free, completely digital process to get your secured credit card

Apply for Paisabazaar Step Up Credit Card

SBI Unnati Credit Card

SBI Unnati Credit Card is best for people who are looking for a basic credit card for everyday use. It has some unique features and benefits which make it stand out from other credit cards.

Annual Fee: Nil for the first 4 years and Rs. 499 fifth year onwards

Minimum Fixed Deposit Amount: Rs. 25,000

Features

Reward Points: 1 reward point for every Rs. 100 spent

Milestone Rewards: Rs. 500 cashback within 15 days of achieving annual spending of Rs. 50,000 and above

Fuel Surcharge Waiver: 1% fuel surcharge waiver for every purchase of fuel for the transaction between Rs. 500 to Rs. 3,000

Balance Transfer on EMI: Transfer accumulated outstanding amount of other banks’ credit cards to the SBI Unnati credit card, and avail SBI’s lower interest rates to repay in EMIs. Interest rates vary from a low 0.50% for 3 months to 0.75% for 6 months EMI.

Interest-free Credit Period: Interest-free credit period of 20-50 days on all purchases. The interest-free period is dependent on whether outstanding balances of previous months have been paid.

Also Read: Best SBI Credit Cards

Book FD with SBM Bank & Get Virtual Credit Card Instantly Apply Now

IDFC FIRST WOW! Credit Card

IDFC FIRST WOW! Credit Card is a premium credit card issued against an IDFC fixed deposit with a minimum FD of Rs 10,000. This secured credit card features personal accident cover, roadside assistance and lost liability cover. No income proof and credit history are required for availing this credit card. Additional details of this card are mentioned below:

Annual Fee: Nil

Minimum Fixed Deposit Amount: Rs. 10,000

Features

Credit Limit: Minimum 100% of the deposit value

Interest Fee Period: Up to 48 days depending on the card transaction

Welcome Cashback on EMI: 5% cashback (up to Rs 1,000) is offered on the transaction value of the first EMI purchase within 30 days of card generation

Fuel Surcharge Waiver: 1% fuel surcharge waiver of up to Rs 200 at all fuel stations, on the transaction value of Rs 200 to Rs 5,000

Suggested Read: Top Axis Bank Credit Cards

Kotak 811 #DreamDifferent Credit Card

Kotak 811 #DreamDifferent credit card is a lifetime free credit card with no joining or annual fee. Individuals falling between the age bracket of 18 to 75 years can avail of this card with a credit limit of up to 90% of the fixed deposit amount.

Annual Fee: Nil

Minimum Fixed Deposit Amount: Rs 5,555 (for 811 saving account customers); Rs 10,000 (for Non 811 saving account customers)

Features

Reward Points: 2 reward points on every Rs. 100 spent online and 1 reward points on every Rs. 100 spent offline

Easy Cash Withdrawal: Cash withdrawal of up to 90% of the credit limit is allowed. Note that a processing fee of Rs. 300 is charged per Rs. 10,000 withdrawn with the card. In addition to that, no interest is charged for up to 48 days on cash advances.

Fuel and Railway Surcharge Waivers: 1% fuel surcharge waiver on all petrol pumps subject to transactions amounting between Rs. 500 to Rs. 3,000. The maximum surcharge waiver on fuel is limited to Rs. 3500 per year. Apart from that, a waiver of 1.8% is applicable on transactions on irctc.co.in and 2.5% on Indian railway booking counters, subject to a limit of max Rs. 500 in a year.

Milestone Benefits: Cashback of either Rs. 750 or can claim 4 free PVR tickets on spending Rs. 75,000 in an anniversary year

811 #DreamDifferent Shield: Cover of Rs. 50,000 provided against frauds up to seven days of pre-reporting of a stolen card

Note: Kotak 811 #DreamDifferent does not provide reward points on fuel spends, railway spends and cash withdrawals.

Also Read: Kotak Mahindra Bank Credit Cards

ICICI Bank Instant Platinum Credit Card

ICICI Bank Instant Platinum Credit Card is suitable for those who need an instant and free credit card. A customer can build and repair his/her credit score with a secured credit card against a fixed deposit.

Annual Fee: Nil

Minimum Fixed Deposit Amount: Rs. 50,000

Features

Entertainment Offers: Discount of 25% of up to Rs. 100 on the purchase of a minimum 2 movie tickets in a month at BookMyShow. Cardholders can avail this offer twice a month.

Contactless Technology: Secure payments at retail outlets with a built-in contactless technology

Low-Interest Rate: Credit card are available at a low-interest rate of just 2.49% per month

Know More about ICICI Bank Credit Cards

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Features of Secured Credit Cards

Who Should Apply for Secured Credit Cards?

Things to Keep in Mind when Getting a Secured Credit Card

Features of Secured Credit Cards

Secured credit cards are different from traditional credit cards. Those who fail to get credit cards approved can opt for secured credit cards that come with the following features:

100% Approval: As secured cards are issued against FDs, the approval of the credit card is guaranteed even if you have a poor credit score

Less/No Documentation: Secured credit cards require less or no paperwork or submission of documents as details are pre-fetched from the existing FD

Instant Credit Card: In most cases, cardholders get to use these credit cards instantly as the provider issues a virtual credit card as soon as the FD is booked.

Up to 100% Credit Limit: Most banks offer secured credit cards with a credit limit of 80%-100% of the FD amount. Cardholders can also increase their credit card limit by making additional deposit amounts.

Helps in Building Credit History: People with no or low credit score can use this credit card to build or improve their credit score. A good credit score can help in getting credit applications approved without much difficulty in the future.

Interest on FD: Cardholders can use the credit card for expenses and keep on earning interest on FDs as usual at the same time.

Quick and Easy Process: Secured credit cards do not require additional inquiries of your credit history. It makes them a preferred choice for people who want to build up their credit.

Customized Fixed Deposit Amount: The amount of fixed deposit is quite affordable as it varies from Rs. 10.000 to Rs. 20,000. Paisabazaar Step UP credit card has the lowest FD requirement of Rs. 2,000.

Also Read: Secured Credit Cards

Book FD with SBM Bank & Get Virtual Credit Card Instantly Apply Now

Who Should Apply for Secured Credit Cards?

Secured credit cards can be a good choice for the following:

Individuals with entry-level jobs
Retired people with no regular income
Individuals to whom banks are not offering unsecured cards
Individuals who do not have income proof, but need a credit card
Home-makers

Things to Keep in Mind when Getting a Secured Credit Card

Secured credit cards work in the same way as regular credit cards but they come with some obligations
These cards require a cash deposit as collateral
Secured credit cards can also be applied when the customer has a poor or no credit score
The tenure of the fixed deposit varies from bank to bank (ICICI Bank offers a minimum tenure of 6 months)

Book SBM Bank FD @6.5%* p.a.

Best Secured Credit Cards in India