Overview
Different Types of Credit Cards in India
As of today, credit cards are critical tools that empower a person to acquire goods, and avail of services with the comfort of making payments for those purchases on another date. Banks and NBFCs issue credit cards with credit limits, and the holder has to repay the amount used inside the allotted credit limits in accordance with the agreed due dates. The financial institution decides terms and conditions of the credit extended in agreement with the cardholder.
From travel to shopping, to expenses for day-to-day life, and various other needs, credit cards are meant to buy now and pay back later. There are many types of credit cards; some are secured credit cards, some deal with rewards, some are speciality cards that deal with important day-to-day needs such as fuel. Even cash back credit cards, and co-branded cards are a segment offered by financial institutions. With the use of these cards, you can increase your credit score too. Below you will find a list of types of available credit cards.
Travel Credit Card
You may avail credit cards that have a direct relation to expenses related to travel. Travel credit cards allow you to benefit from discounts on airline tickets, bus and rail tickets, and also cab bookings and more. You earn rewards points on every purchase to redeem those points in turn to earn air miles for purposes of discounts and future bookings. With these cards, you also have privileges such as access to VIP airport lounges, book tickets at discounted rates, and more.
Fuel Credit Card
Cost related to transportation and vehicles are the speciality of fuel credit cards. You enjoy the benefits of fuel surcharge waivers with these cards.Payments made for fuel purchases with the use of these cards helps you earn reward points too, which help you save substantially on fuel expenses right through the year.
Reward Credit Cards
Accelerated reward points on specific purchases and transactions are a speciality of reward credit cards. The points related to rewards or bonuses can be earned to be redeemed for discounts and offers on purchases, which directly relate to reduction in monthly credit card billings.
Shopping Credit Card
Going shopping, you can enjoy the credit services related to shopping credit cards. These cards are designed for you to enjoy discounts on purchases and transactions, both online, and offline. Schemes related to these kinds of cards are cash backs, discount vouchers, and other savings related plans.
Secured Credit Card
Cards that are secured by fixed deposits are known as secured credit cards. These cards allow you to enjoy smart and attractive interest rates.
