Credit Cards

Pay your balance in full and on time

The most important rule of credit card usage is to pay your balance in full before the due date to avoid interest and protect your credit score. If you cannot make the full payment, try to pay more than the minimum, which can reduce the interest charges.

Convert large purchases into EMIs

If you make a large purchase, consider converting it to EMIs, which usually comes with a lower interest rate than the standard credit card rate. This way, you can manage the entire expense in smaller and more manageable payments over time.

Avoid cash withdrawals with your credit card

Cash advances do not offer an interest-free period; instead, interest is levied as soon as you withdraw cash. These charges can quickly accumulate debt, so use cash withdrawals only as a last resort.

Keep track of your spending

Monitor your spending to stay within your credit limit and avoid building up a difficult-to-manage balance. Check all SMS alerts and your bank statements carefully about credit card transactions. Besides this, you should also check your credit report at regular intervals to notice and rectify any errors.

Do not apply for multiple credit cards at a time

Applying for too many cards at once can make you look credit-hungry and lower your credit score due to multiple hard inquiries. While a single inquiry may not have significant consequences, multiple inquiries within a short period can negatively impact your credit score. Hence, apply only for cards that truly meet your needs and spending habits.

Here are some do’s and don’ts for using your credit cards wisely:

HSBC TravelOne Credit Card Adds Complimentary Airport Transfers for 2026

19 February 2026

HSBC has enhanced TravelOne Credit Card with a new benefit for 2026, primary cardholders can now avail 4 complimentary domestic airport transfers (one per quarter) throughout the year. The benefit covers numerous cities and uses premium SUVs for transfers. This comes in addition to the card’s existing travel perks like reward points and welcome benefits.

Scapia Federal Bank Credit Card Undergoes Changes, Effective 27th Feb 2026

05 February 2026

Scapia and Federal Bank have revised certain features of their co-branded card which will come into effect from 27th February 2026 onwards. They have introduced a new benefit of international airport privileges in India, including up to Rs. 2,000 back as rewards on duty-free shopping and dining, which the users can avail by booking an international flight of min. Rs. 50,000 through the Scapia app. Apart from this, there are also some devaluations including exclusion of insurance, utility, telecom and cable spends from the rewards accrual program and increase in the monthly spending requirement to avail unlimited domestic airport lounge access and domestic airport privileges from Rs. 10,000 to Rs. 20,000 across Visa and RuPay card variants combined.

AU SFB Devalues Zenith Credit Card, Effective 1st Jan 2026

30 December 2025

AU Small Finance Bank is revising the reward structure and milestone benefits of its Zenith Credit Card, thus reducing the value-back it offers from 1st January 2026 onwards. Currently, for every Rs. 100 spent, card users get 20 reward points on dining, 10 reward points on international, grocery and departmental store purchases and 5 reward points as the base rate on other eligible spends. However, post devaluation, accelerated reward categories will earn 5 reward points per Rs. 100 spent and the base rate will decrease from 5 to 3 reward points. Moreover, the current quarterly and yearly milestone bonuses will be replaced with a new benefit of 1,000 bonus reward points on reaching Rs. 50,000 monthly spends.

IDFC FIRST Bank Launches Invite-Only Gaj Metal Credit Card

27 December 2025

IDFC FIRST Bank has launched Gaj Metal Credit Card, a new invite-only premium card designed for affluent travellers and lifestyle-focused consumers. The metal card comes with 0% forex markup, accelerated reward points on travel spends, and premium privileges such as domestic and international lounge access, airport meet-and-greet services, and luxury hotel benefits. At an annual fee of Rs. 12,500, this card offers up to 33.33% savings on travel along with premium travel & lifestyle benefits.

IDFC FIRST Bank Credit Cards Undergo Devaluation, Effective 18th Jan 2026

22 December 2025

IDFC FIRST Bank is revising the reward program of all its credit cards from 18th January 2026 onwards. Cardholders will no longer accrue any reward points if they do not pay at least the minimum amount due by the payment due date of that billing cycle. Reward earnings on railway spends have also been restricted under the fair usage policy. In addition, rewards on international purchases have been changed from up to 10X to 5X for cards like Ashva and Mayura, while cards like Wealth, Select and Classic will now earn rewards on the base of every Rs. 200 spent, instead of the previous Rs. 150. Furthermore, revisions in other features, like milestone benefit and complimentary lounge access, for certain card variants will apply in March and April 2026.

Credit and debit cards may look similar and sometimes offer similar benefits, but they function differently. Here’s a detailed comparison to help you understand the key differences:

Choosing the right credit card is subjective based on your profile and requirements. To make a wise choice, here are some suggestions:

Identify your preferred spending category

There are different types of credit cards, such as travel, shopping, dining, etc. To maximize the benefits of a credit card, you should analyze your shopping habits. The best credit card for you would be one that fulfills your core needs. For instance, if you frequently travel, choosing a credit card that offers accelerated benefits on travel spends would be beneficial for you.

Shortlist cards based on your eligibility 

Once you've identified your shopping pattern, start by shortlisting the cards based on eligibility. Understand your credit profile & find out the cards you may be eligible for. To do so, you can also check your eligibility at Paisabazaar for pre-qualified card offers.

Evaluate features & benefits

After shortlisting the preferred credit cards, the hardest part is to decide which credit card to choose. To find the right card, you must evaluate all the features and benefits of the respective card and choose the one that fits your needs and complements your budget.

Read the fine print

Once you’ve decided which card to apply for, review all the related fees & charges associated with the card. Analyze whether you will be able to pay the associated fees. Apart from the annual fee, also check for other related charges, like interest rates, late payment fees, etc., to make an informed decision.

While the eligibility criteria may differ across issuers and cards, some general requirements are:

• Age: Minimum 18 years
• Credit Score: Preferably 700 and above
• Employment Type: Salaried or Self-employed

To process your credit card application, you need to submit the following proofs:

• Identity & Signature Proof
• Address Proof
• Age Proof
• Income proof

Some common documents are PAN card, Aadhaar card, employee identity card (in case of Government employees), bank statement, salary slips,  rent agreement, or utility bills. For self-employed applicants income proof requirements may vary. You need to submit ITR documents, Form 16, etc.

Note: Document requirements may vary.

RuPay Credit Cards on UPI

RuPay is a domestic card payment network and currently the only one offering credit card benefits on UPI transactions. In June 2022, RBI allowed the linking of RuPay credit cards to UPI apps, enabling quick payments while earning benefits on UPI spends. Initially, only a few credit cards were available on the RuPay network. However, most card issuers, including HDFC Bank, SBI Card, Axis Bank, ICICI Bank, and more, now offer RuPay variants of their existing cards or are launching new cards on the RuPay network. Additionally, while some cards—such as HDFC UPI RuPay Credit Card—are designed for UPI transactions and offer accelerated rewards on UPI spends, other RuPay credit cards offer a base reward rate or cashback on UPI payments.

Secured Credit Cards:  A Smart Way to Build Credit

Most credit card issuers prefer applicants with a good credit score (preferably above 750). While some issuers offer entry-level credit cards for new-to-credit individuals, getting approval can still be challenging. If you’re struggling to get a credit card and want to start your credit journey, you can consider applying for a secured credit card.

Secured credit cards are issued against collateral, such as a fixed deposit. These cards function just like regular credit cards but usually come with basic benefits. The credit limit is assigned as per the fixed deposit’s value. Even students and unemployed individuals can apply for secured credit cards, making them a great option for building credit.

You can use secured credit cards for both online and offline transactions, just like a regular credit card. By paying bills on time, they can help you build a strong credit profile. In case of any default payments, the outstanding amount is recovered from the fixed deposit.

Instant Virtual Credit Cards in India

Virtual credit cards are digital versions of physical credit cards and work just like regular ones. With virtual cards, you can make online transactions and earn benefits such as rewards or cashback on your spends. A virtual credit card is issued electronically and all essential details—such as the card number, CVV, and validity—are accessible through your credit card issuer’s mobile app or website. While physical credit cards are usually delivered within 2–4 working days after approval, virtual credit cards are typically issued instantly. They often come with relaxed eligibility criteria, making them a convenient option, especially for new-to-credit consumers.

Using a credit card responsibly can help you build and improve your credit score. Whether you're starting from scratch or looking to improve your existing score, here are some effective ways to strengthen your credit profile through credit cards:

When you use a credit card and pay your dues on time, it shows your ability to manage credit effectively. Late payments not only attract high interest charges but can also significantly damage your credit score. Since credit bureaus give maximum weightage to repayment history while calculating your credit score, making timely payments can have a positive impact on your score over time.

Another important factor is your credit utilization ratio (CUR)—the percentage of your available credit limit that you’re using. While having a higher CUR and paying the entire bill may not affect your score drastically, maintaining a high CUR for a longer period of time can harm your credit score. Keeping this ratio low shows issuers that you're not overly dependent on credit and can manage your finances well.