Credit Cards

3 Best Credit Cards For People With Bad Credit

Rebuild Your Credit Score With These Secured Cards

Buy today and pay tomorrow has never been the mantra of Indians in general. However, thanks to Ecommerce and the fact that carrying plastic money is so easy, credit card usage has increased exponentially over the years.

With that said, bad credit spoils the fun for a number of people who find it difficult to get hold of a decent credit card. Thankfully, there are still some credit cards that such people can avail to shop comfortably and improve their credit score at the same time.

Secured credit cards

If your credit score is low, a secured credit card is a great option to boost your score. You basically need to deposit cash collateral that will form the credit line for your account. That said, the credit limit on a card issued against collateral, like a fixed deposit, is a little below than the collateral amount. Usually, it is somewhere near to 80% of the collateral amount.

Benefits of secured credit cards

There’s no risk involved as far as the bank is concerned in case of the secured credit card. But what benefits do you get by getting one?

Here are some reasons:

  • Zero debt: There’s no risk of defaulting payment in case of secured credit card because it is given against collateral.
  • Rebuild your credit score: Using and making payments towards your secured credit card on time ultimately adds up in your credit score. Eventually, you’ll be able to get a good enough score to get better deals on other credit cards or loans.

Where do you get these cards?

That’s a good question. There are very few banks that offer secured credit cards in the country. The best ones are:

Axis Bank

h11-insta-easy-credit-cardAxis Bank offers an Insta Easy Credit Card, which you can get over the counter from any branch. Here are some of its features:

  • Up to 100 percent cash withdrawal from day one
  • A 2.5 percent fuel surcharge waiver on fuel transactions across petrol stations in India
  • A credit limit fixed at up to 80 percent of your principle fixed deposit
  • An eDGE loyalty rewards program to earn points on your purchases


icici-bank-coral-credit-card-against-fixed-depositICICI bank offers its Coral credit card against a fixed deposit. Here are some of its features:

  • Zero income documents and an INR 500 special joining fee
  • Minimum 15 percent savings on dining and unlimited cash rewards on purchases
  • A credit limit fixed at up to 85 percent of your fixed deposit
  • Complimentary airport lounge access and double the rewards on groceries, dining and supermarkets

State Bank of India (SBI)

sbi-advantage-gold-cardSBI offers its SBI Advantage Plus credit card, which lets you maximize your purchasing power by linking with your fixed deposit while giving you all the benefits of a fixed deposit as well. Here are some features:

  • A credit free period for up to 50 days, and a low interest rate of 2.25 percent per month
  • Credit card cash withdrawal with an up to 100 percent limit
  • Flexipay payment system to convert your purchases into easy EMIs
  • A credit limited fixed at up to 85 percent of the fixed deposit amount

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