By Ankur Mittal
Updated On September 12, 2022

If someone has a low or no credit score, it might be really difficult or impossible to qualify for a general credit card. Every credit card issuer looks for individuals with a pretty good credit score. But, a credit score can be built only if you have taken credit and that’s the reason why different card issuers have come up with the concept of secured credit cards in the market. In order to qualify for a normal credit card with a higher credit limit and premium benefits, you can build a strong credit history or a high credit score using a secured credit card.

Best Secured Credit Cards in India

List of Best Secured Credit Cards in India 2022

Thousands of people find it difficult to start their credit journey due to a lack of credit history, but secured credit cards make their tasks easier. You can get these cards even without a credit score just by opening a fixed deposit account in the respective bank. But, in order to get a secured card, you should be aware of what all credit cards are issued in the secured category. We are here to help you find out the list of best secured credit cards in India along with all their benefits and other important details:

Table of Contents

SBI Card

SBI Elite Credit card

Welcome Benefits

E-vouchers worth Rs. 5,000 from any one of the brands, including Yatra, Aditya Birla Fashion, Hush Puppies/Bata, Pantaloons, and Shoppers Stop.

Rewards Rate

2 Reward Points on every Rs. 100 you spend on retail purchases, 5X Reward Points on dining spends, departmental stores, and grocery purchases (reward rate of 2.5%)

Joining Fees

Rs. 4,999 (plus taxes)

Annual Fee – Rs. 4,999The SBI Elite Advantage Credit Card can be considered as the secured version of the SBI Card Elite, which is the most premium credit card offered by the SBI Card. With all the exclusive reward offers and other privileges, this card can be issued to you against a fixed deposit. The key features of this card include:

  • Up to 10 Reward Points on every Rs. 100 you spend.
  • Welcome gift vouchers worth Rs. 5,000.
  • A discount of up to Rs. 250 on movie tickets on purchasing a minimum of 2 movie tickets.
  • Bonus Reward Points worth up to Rs. 12,500 every year on achieving the milestone spend.
  • 6 complimentary international and 8 complimentary access to domestic lounges every year.
SBI Prime Credit Card

Welcome Benefits

Gift voucher (worth Rs. 3,000) from any of these brands, Yatra, Aditya Birla Fashion, Bata/Hush Puppies, Shoppers Stop, and Pantaloons.

Rewards Rate

10 Reward Points for every spend of Rs. 100 on groceries, dining, movie and departmental store, 2 RPs for every Rs. 100 spent on all other retail.

Joining Fees

Rs. 2,999 (plus applicable taxes)

Annual Fee – 2,999

The SBI Prime Advantage Credit Card is a secured credit card that is issued against a fixed deposit with all the benefits and privileges of SBI Card Prime. The card welcomes its customers with gift vouchers worth Rs. 3,000. More of the benefits of this card include:

  • Earn up to 20 Reward Points on every Rs. 100 spent.
  • Opportunity to earn Pizza hut vouchers worth Rs. 1,000 every quarter.
  • Complimentary Trident Privilege Red Tier membership.
  • Complimentary Club Vistara Membership.
  • 4 complimentary international and 8 complimentary access to domestic lounges every year.
SBI SimplyCLICK credit card

Welcome Benefits

Get an Amazon e-voucher worth Rs. 500 as welcome benefits after paying the annual fees.

Rewards Rate

1 Reward Point every Rs. 100 spent on offline spends (reward rate is 0.25%), 10X RPs on online spends at partner merchants (Amazon, BookMyShow, Apollo24x7, etc.) (reward rate is 2.5%), 5X RPs on other online spends (reward rate = 1.25%)

Joining Fees

Rs. 499 + GST

Annual fee – 499

The SBI SimplyCLICK Advantage Credit Card is a secured credit card with exclusive benefits same as the SBI SimplyCLICK Credit Card. The card offers decent reward points on all your spends and comes with several other advantages such as:

  • Up to 10 Reward Points per Rs. 100 spend on this card.
  • Welcome gift voucher worth Rs. 500.
  • Gift vouchers (worth up to Rs. 4,000) on achieving the milestone spend.
  • Spend-based annual fee waiver.
SBI SimplySAVE Credit Card

Welcome Benefits

2,000 Reward points (worth Rs. 500) on spending Rs. 2,000 or more in first 60 days of card set-up.

Rewards Rate

1 Reward Point for Rs. 100 spent (reward rate = 0.25%), 10X RPs for spends made in movies, grocery, dining, & departmental stores (reward rate = 2.5%)

Joining Fees

Rs. 499 (plus applicable taxes)

Annual Fee – Rs. 499

The SBI SimplySAVE Advantage Credit Card is another secured credit card issued by the SBI Card with all the benefits of the SBI SimplySAVE Credit Card. It is a great choice for people who need a credit card to build their credit history along with saving on all their spends. With this card, earn up to 10 Reward Points on every Rs. 100 spent. Moreover, other benefits on the card, such as fuel surcharge waiver & annual fee waiver, etc are additional opportunities for you to save amazingly with this card.

SBI Unnati credit card

Welcome Benefits

NA

Rewards Rate

1 reward point per Rs 100 you spend

Joining Fees

Nil

Annual Fee – Nil ( for first 4 years and Rs. 499 after that)

The SBI Unnati Credit Card is issued against a fixed deposit of over Rs. 25,000. The card is absolutely free to have for the first four years and after that, you have to pay a nominal annual fee of Rs. 499. The card comes with various benefits and reward offers that include:

  • 1 Reward Point on every Rs. 100 spent on the card.
  • A cashback of Rs. 500 on achieving the milestone spend.
  • 1% fuel surcharge waiver.

ICICI Bank

ICICI Bank Coral Credit Card

Welcome Benefits

N/A

Rewards Rate

1 Reward Point per Rs. 100 you spend on utilities & insurance related spends, and 2 Reward Points per Rs. 100 spent elsewhere.

Joining Fees

Rs 500 (plus applicable taxes)

Annual Fee – Rs. 500

The ICICI Bank Coral Credit Card is issued against a fixed deposit of Rs. 20,000 or more and comes with exclusive benefits over an array of categories, including travel, entertainment, dining, etc. Some of the key features of this card are as follows:

  • An opportunity to earn up to 10,000 PAYBACK Points every year.
  • 2 PAYBACK Points on every Rs. 100 you spend.
  • A discount of 25% on movie tickets on BookMyShow.
  • Complimentary airport as well as railway lounge access.
  • Spend-based annual fee waiver.
ICICI Bank Instant Platinum Credit Card

Welcome Benefits

N/A

Rewards Rate

2 Reward Points per Rs. 100 spent.

Joining Fees

Nil

Annual Fee – Nil The ICICI Bank Instant Platinum Card is a secured credit card that is issued against a FD of Rs. 20,000 or more. It comes with lots of benefits along with reward offers, entertainment & dining benefits, and many more. Some of the main advantages of this card include:

  • 2 PAYBACK Points on every spend of Rs. 100.
  • A discount of 25% on movie tickets on BookMyShow.
  • Savings of 15% or more on dining bills under the ICICI Bank Culinary Treats Programme.
ICICI Bank Rubyx Credit Card

Welcome Benefits

Travel & shopping vouchers worth over Rs. 5,000

Rewards Rate

4 Reward Points on every international spend of Rs. 100, 2 Reward Points on domestic spends & 1 Reward Point on every Rs. 100 spent on utilities and insurance categories.

Joining Fees

Rs. 3,000 (plus applicable taxes)

Annual Fee – Rs. 2,000

The ICICI Bank Rubyx Credit Card against fixed deposit is another secured credit card issued by the ICICI Bank against an FD of Rs. 75,000 or more. The card comes with exciting reward programs and various exclusive benefits, some of which are as mentioned below:

  • Gift vouchers worth Rs. 5,000 as a welcome benefit.
  • An opportunity to earn up to 15,000 bonus Payback Points every year.
  • Complimentary domestic airport and railway lounge access.
  • A discount of up to Rs. 150 on movie tickets on BookMyShow.

Axis Bank

Flipkart Axis Bank Credit Card

Welcome Benefits

Introductory benefits worth Rs. 1,100 on card issuance, benefit of up to Rs. 500 worth Flipkart vouchers, 15% cashback up to Rs. 500 on your first transaction on Myntra and 50% discount up to Rs. 100 on your first transaction for new to Swiggy customers.

Rewards Rate

5% cashback on Flipkart and Myntra, 4% cashback on prefered partners (Swiggy, Uber, PVR and cure.fit) and 1.5% cashback on all other spends.

Joining Fees

Rs. 500 + applicable taxes

Annual Fee – Rs. 500

The Flipkart Axis Bank Credit Card is a co-branded card that can also be issued against a fixed deposit. With this card, you can save up to 5% on your purchases. Other than that, the benefits of this card also include:

  • Welcome benefits worth Rs. 2,900.
  • Complimentary access to domestic airport lounges.
  • Exciting dining discount offers.
  • 1% fuel surcharge waiver.
Axis Bank ACE Credit Card

Welcome Benefits

N/A

Rewards Rate

5% cashback on paying bills & on mobile recharges via GPay, 4% cashback on Swiggy, Ola7 Zomato, and 2% cashback elsewhere.

Joining Fees

Rs. 499 + taxes

Annual Fee – Rs. 500

The Axis Bank ACE Credit Card is another secured credit card issued by Axis Bank with an aim to provide its customers with an opportunity to save amazingly on their online transactions. Some of the key features of the card include:

  • 5% cashback on mobile recharges and bill payments on Google Pay.
  • A cashback of 4% on Zomato, Ola, and Swiggy, and 2% on all other spends.
  • Complimentary domestic lounge access.
  • Savings of up to 20% on dining.

Kotak Mahindra Bank

Welcome Benefits

Welcome benefit in the form of 500 Bonus Reward Points

Rewards Rate

For every Rs. 100 spent on online transactions, you will get 2 Reward Points, and 1 Reward Points for every Rs. 100 spent on all other transcations.

Joining Fees

Nil

Annual fee – Nil

The Kotak 811 #DreamDifferent Credit Card, a secured credit card issued by Kotak Mahindra bank against a minimum fixed deposit of Rs. 10,000. Moreover, the card comes with zero annual fees and provides various benefits, including reward offers, entertainment benefits, etc. More of the card’s benefits include:

  • Up to 2 RPs on every spend of Rs. 100 made with card.
  • 500 bonus Reward Points as a welcome benefit.
  • A chance to earn 4 free PVR movie tickets each month.
  • Spend-based bonus Reward Points.

YES Bank

YES Prosperity Rewards plus Credit Card

Welcome Benefits

N/A

Rewards Rate

On every retail spend of Rs. 200, cardholders will get Reward Points, and 2 Reward Points on every Rs. 100 spent on tax payments, utilities, postal services, etc.

Joining Fees

Rs. 399 (plus applicable taxes)

Annual Fee – Rs. 499

YES Prosperity Rewards Plus Card is among the popular secured credit cards issued by the YES Bank that can be issued against an FD of Rs. 30,000 and more. As the name suggests, the card comes with great reward programs. Its benefits include:

  • Up to 4 Reward Points on every Rs. 200 spent.
  • Accelerate Reward Points on YES Cart.
  • An opportunity to earn up to 12,000 bonus Reward Points every year.
  • 1% fuel surcharge waiver.

Bank of Baroda

Bank of Baroda Prime Credit Card

Welcome Benefits

NA

Rewards Rate

4 RPs on every Rs 100 spent.

Joining Fees

Nil

Annual Fee – Nil

The BoB prime Credit Card is issued by the Bank of Baroda with a guaranteed approval against an FD of Rs. 15,000 or more. It is a lifetime free card that comes with exciting reward offers as follows:

  • 4 Reward Points for every Rs. 100 you spend, where 1 Reward Point is equal to Re. 0.25.
  • 1% fuel surcharge waiver up to Rs. 250 per month.

IDBI Bank

IDBI Imperium Platinum Credit Card

Welcome Benefits

500 Welcome bonus on the spending Rs 1500 within 30 days of card issuance and 300 Delight point on spending between 31 days to 90 days

Rewards Rate

2 Delight Points on every Rs 150 spent

Joining Fees

Rs 499 + GST

Annual Fee – Rs. 499

The IDBI Bank Imperium Platinum Credit Card is a secured credit card issued against a FD of Rs. 20,000 or more. This card allows its customers to withdraw cash up to 70% of the credit limit and comes with great reward programs and benefits that include:

  • 2 Delight Points every Rs. 150 spent.
  • Welcome bonus of up to 800 Delight Points.
  • Interest-free credit of up to 48 days.

HDFC Bank

HDFC Bank Regalia Credit Card

Welcome Benefits

2,500 bonus Reward points

Rewards Rate

4 reward points every time one spends Rs. 150.

Joining Fees

Rs. 2,500 + taxes

Annual Fee: Rs. 2,500
The HDFC Bank Regalia Credit Card is a popular credit card by HDFC Bank which can also be issued at a Fixed Deposit. The card is famous for its compelling travel and shopping benefits. As a welcome benefit, you get 2,500 bonus Reward points with this card. Following are the key features of this card:

  • 4 Reward Points on every Rs. 150 spent.
  • 15,000 bonus Reward Points on spending Rs. 8 lakhs in an anniversary year.
  • Lower international markup fee of 2%.
  • Complimentary international and domestic airport lounge visits.
HDFC MoneyBack Plus Credit Card

Welcome Benefits

500 CashPoints

Rewards Rate

2 CashPoints for every Rs. 150 you spend on retail purchases, 5X CashPoints per EMI spends at select merchants, 10X CashPoints on partner brands.

Joining Fees

Rs. 500 (plus applicable taxes)

Annual Fee: Rs. 500
HDFC Bank MoneyBack Plus Credit Card is a Cashback rewarding credit card that offers up to 10X CashPoints for purchases made with the card. The card can be issued at a fixed deposit and offer the following benefits:

  • 500 CashPoints as a welcome gift.
  • 5X CashPoints for EMI transactions.
  • 10X CashPoints on partner brands.
  • Up to 15% off on dining at over 2,000 premium restaurants.

Now, many questions can come to your mind, such as: What is a Secured Credit Card? How can it build your credit score? How can you get a secured credit card? And many more such doubts. In this article, we are here with the answers to all such questions and every additional information you need to know about the secured credit card. Keep reading to understand all these things and to know the Top secured Credit Cards in India.

What Are Secured Credit Cards?

Secured Credit Cards are the credit cards that are issued by the card issuer against a fixed deposit in order to fulfill the credit requirements of people with a low credit history or no credit history. The fixed deposit amount acts as collateral and reduces the risk of the card issuer in case the cardholder doesn’t make payments. The card issuer keeps your deposit in such a case and if you make payments regularly, you will get the deposit back when you close your card.

Features and Benefits of Secured Credit Cards

Secured Credit Cards, as mentioned earlier, are the best option for those who have no credit history. The following are some of the greatest benefits and features of secured credit cards:

  • Easy Approval: Your application for these cards gets approved easily as the card issuer is taking the fixed deposit. You don’t need to worry about the rejection of your application once you have opened the required fixed deposit account with the respective bank as you will surely get approved for a secured card provided that you fulfill the basic eligibility requirements.
  • Build Your Credit Score: You can build or rebuild your credit score with these cards and then get an unsecured card once you build a good credit history.
  • Earn Rewards: You earn Reward Points on your spends. Some secured cards even offer very good reward rates on some categories and several other privileges like deals and discounts on dining, travel, etc.
  • Other Features: Secured credit cards also offer some other benefits, like fuel surcharge waiver, zero liability protections, and a number of other benefits under short and long-term offers.

Difference Between Normal & Secured Credit Cards

Normal Credit Cards

  • Normal/Unsecured credit cards are issued against valid income proof.
  • These are generally issued to individuals with a high credit score (typically above 700).
  • The credit limit of these cards varies depending on the type of card. It can go from very low to very high.

Secured Credit Cards

  • Unlike the general credit cards, secured Credit Cards are issued against a fixed deposit even if the cardholder doesn’t have a stable income.
  • These can be issued to people with a low credit score or no credit history at all.
  • The credit limit of these cards is generally 80-85% of the FD amount you deposit to the card issuer.

Difference Between Secured Credit Cards & Prepaid Cards

Secured Credit Cards

  • As a secured credit cardholder, you are borrowing money from the card issuer.
  • These cards help you build your credit history.
  • An interest rate is charged on these cards.

Prepaid Cards

  • In the case of prepaid cards, you are not borrowing money from anyone. It is your own money that you use to make purchases.
  • Prepaid cards do not have any impact on the credit score as you are using your own money.
  • These cards do not charge any interest.

How Can a Secured Credit Card Improve Your Credit Score?

Although secured credit cards can be issued to you with a bad credit score, they play a huge role in building your credit history. When you get a secured credit card, it is more likely that you have a bad or no credit history. But after getting one, your credit score can increase drastically if you make payments on time. Many people achieve a decent credit score within just six months by using a secured credit card responsibly. Your aim behind applying for a secured credit card should be building your credit score so that you can qualify for an unsecured or normal credit card.

Credit Limit of Secured Credit Cards

The credit limit of the secured credit cards is typically around 80-85% of the security amount you deposit to get the card issued. For example, if you have been issued a credit card against an FD of Rs. 25,000, then your credit limit will be around Rs. 20,000 to Rs. 21,250 only. It is set a bit less than the fixed deposit amount so that the card issuer has security in case you don’t pay back for the purchases you made using your secured credit card.

Eligibility Criteria For Secured Credit Cards

Secured Credit Cards usually do not have strict eligibility criteria. There are no specific criteria in terms of income to qualify for the secured credit cards as these are issued against a fixed deposit that acts as collateral. But in terms of age, your age should be more than 18 years or more than 21 years in some cases.

Who Should Apply for Secured Credit Cards?

Secured Credit Cards can be the best option for someone to start their credit journey. But, before you go for it, you should be aware of whether a secured card would be the right choice for you or not. The following points will help you understand the same:

  • A Secured Credit Card would be a great option for you if you have no credit history and you are finding it difficult to get an unsecured credit card. This will help you build your credit score so that you can get approved for premium cards later.
  • If you don’t have a source of income then also a secured credit card would be of great help to you. You can just open a fixed deposit account in a bank from which you want to have a credit card and avail of all the credit card benefits.
  • Students can also get a Secured Credit Card as they can’t get approved for an unsecured card without having an income source and a credit history.

Things to Keep in Mind When Getting a Secured Credit Card

Though Secured Credit Cards are the best option for everyone to start their credit journey, every individual needs to keep certain points in mind before getting a secured credit card. These points are mentioned below:

  • Secured Credit Cards may have a higher interest rate as the cardholders may be risky borrowers. However, if you use a secured card responsible for a few months, your card issuer may reduce the interest rate on your credit card as they will start trusting you then.
  • Secured Credit Cards have lower Credit limits, generally equal to or lower than the fixed deposit amount that they have collected from you. So, the higher the FD amount is, the higher will be your credit limit.
  • If you default your bill payments on a secured credit card, the card issuer might use your FD amount against the credit card bill payment. So, you should be very careful while using a secured card and try not to miss bill payments ever.

How To Apply For a Secured Credit Card?

Nowadays, most credit card issuers provide online as well as offline methods to apply for credit cards. You can apply for a secured credit card in India online as well as offline at your convenience. To apply offline, visit your nearest branch of the respective bank and open a fixed deposit account there if you don’t already have one. Make sure to carry the required documents like identity proof, address proof, etc, with you. You can also apply online through the respective bank’s official website as follows:

  • Visit the official website of the card issuer.
  • Search for the credit card of your choice under the ‘Cards’ section.
  • Click on apply now option.
  • Fill in all the required details and complete all the required formalities.

Pros & Cons of a Secured Credit Card

Everything has a positive as well as a negative side and so have secured credit cards. There are many advantages of using a secured credit card, but it can also be disadvantageous sometimes. refer to the following table to understand all the pros and cons of using a secured credit card:

Pros Cons
  • You don’t need income proof to apply for a secured credit card.
  • You don’t need a credit history to get approved for a Secured Credit card.
  • Secured Credit cards help you build your credit score from scratch.
  • Some secured Credit Cards have really good reward rates and benefits over other categories.
  • Secured credit cards generally have a higher interest rate compared to unsecured cards.
  • These cards have a lower credit limit, generally lower than the Fixed Deposit amount.
  • The FD amount can be used against your credit card bill when you fail to pay it off on time.

Bottom Line

If you are having a bad credit history or no credit history at all, the secured credit cards give you the best ever opportunity to build your credit score. Most of the secured credit cards come with exclusive rewards offers through which you can save on your spends. Just make sure to make all the payments on time to make the best use of your secured credit card. Also, if you are having a secured credit card, don’t forget to share your experience with it below in the comment section.

FAQs:

A secured credit card is a card that is issued against a fixed deposit (FD) and the credit limit of the card is fixed as per the deposit. Also, these cards are generally issued without any requirement of income proof and a credit score.

The secured credit cards work just like the secured credit cards. You receive the monthly bills and the charges on the same are also almost same. The only difference is that, secured credit cards are issued against a fixed deposit and this deposit acts as a credit limit on the credit card.

If you have little or no income or you are someone who has a bad credit score then getting a secured credit card is a wise choice as they can be issued against a lower income and a bad credit score. Moreover, you can use these cards to improve your credit score.

Secured credit cards are a good choice for those who have little or no income or have a bad credit score. However, these cards generally offer a few features and benefits as compared to unsecured credit cards. Therefore, if you want to enjoy the privileges like airport lounge access, dining benefits, travel benefits, and much more then you should go with an unsecured card. But if you want to improve your credit score then go for unsecured cards.

The BoB Prime Credit Card, ICICI bank Instant Platinum Credit Card, and Kotak 811 #DreamDifferent Credit Card are some credit cards having no annual fee.

To get a higher credit limit with a secured credit card, you can get it issued against an FD amount equal to or more than the credit limit you want.

Yes, just like the normal credit cards, secured credit cards also charge interest on your card’s balance.

No, you don’t need any income proof for secured credit cards as these are issued against an FD that acts as a security amount for the card issuer.

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