Top 10 Best Cashback Credit Cards in India
31 Jan 2026 8 mins Credit Cards
In an ever-evolving financial landscape, choosing the right card can significantly impact your savings and spending habits. Cashback cards offer an excellent way to earn rewards on everyday purchases, making them a popular choice among consumers. Whether you are looking for the best cashback credit card or a debit card that offers cashback, understanding your options is crucial for maximizing benefits. In this article, we will delve into the best credit cards in India, highlighting their unique features, benefits, and how they can help you save money. You will learn about the top 10 cashback cards, practical tips for usage, and frequently asked questions that can guide your decision-making process.
Understanding Cashback Cards
Cashback cards are financial instruments that return a percentage of your spending as cash rewards. They can be either credit or debit cards, and the cashback percentage varies based on categories such as groceries, fuel, dining, and online shopping. Here are some key points to understand:
Types of Cashback: Most cards offer tiered cashback rates, meaning higher percentages for specific categories. For instance, a card may offer 5% cashback on grocery purchases but only 1% on all other transactions.
Redemption Options: Cashback can typically be redeemed as statement credits, bank deposits, or gift vouchers. Some cards may even allow you to convert your cashback into airline miles or loyalty points.
Annual Fees: Some cards charge an annual fee, while others do not. It's essential to weigh the benefits against the costs. A card with an annual fee might be worthwhile if it offers substantial cashback rewards, while a no-fee card could be better for occasional users.
Spending Limits: Certain cards cap the amount of cashback you can earn in a billing cycle. For example, a card might limit cashback earnings to ₹500 per month, which could impact heavy spenders.
Criteria for Selecting the Best Cashback Card
When choosing a cashback card, consider the following criteria to ensure it aligns with your financial goals:
1. Cashback Percentage
Evaluate the cashback percentage offered on various categories. Some cards might provide higher cashback on groceries, while others excel in travel or online shopping. For instance, if you frequently shop on e-commerce platforms like Amazon or Flipkart, a card offering 5% cashback on those purchases could result in significant savings.
2. Fees
Review any annual fees or hidden charges associated with the card. A card with a hefty fee may not be worth it if the cashback rewards do not exceed the costs. For example, if a card charges ₹1,000 annually but offers only ₹500 in cashback, it may not be the best choice.
3. Redemption Flexibility
Look for cards that offer flexible redemption options, allowing you to choose how you want to use your cashback. Some cards may require you to reach a minimum threshold before redeeming, while others allow instant redemption.
4. Additional Benefits
Consider any added perks, such as travel insurance, purchase protection, or discounts with partner merchants. For instance, some cards offer complimentary access to airport lounges and discounts on hotel bookings, which can enhance the overall value of the card.
Top 10 Cashback Cards in India
Here’s a detailed list of the top 10 cashback cards available in India, including their features and benefits:
1. HDFC Bank MoneyBack Credit Card
The HDFC MoneyBack Credit Card offers a cashback of 1% on all purchases, with higher rates for select categories like online shopping (up to 5%). It allows for easy redemption through HDFC's extensive digital banking platform, making it a favored choice among users.
2. SBI Cashback Card
The SBI Cashback Card is designed for the everyday spender, offering 1% cashback on all transactions. Users can benefit from additional cashback on utility bill payments (up to 5%) and grocery purchases, making it a well-rounded option for daily expenses.
3. Axis Bank Ace Credit Card
The Axis Bank Ace Credit Card provides a remarkable 2% cashback on all online transactions and 1.5% on all other spends. It also features complimentary access to airport lounges, which enhances the travel experience, especially for frequent flyers.
4. ICICI Bank Instant Platinum Credit Card
This card offers cashback on all purchases, with an emphasis on online shopping (up to 5%). It is ideal for tech-savvy individuals who frequently shop online, providing a seamless experience through the ICICI mobile app.
5. Flipkart Axis Bank Credit Card
Perfect for avid shoppers, the Flipkart Axis Bank Credit Card offers 5% cashback on Flipkart and 4% on other online merchants. With no annual fees, it’s a great option for frequent shoppers, particularly during sales and festive seasons.
6. Citibank Cashback Card
The Citibank Cashback Card provides 5% cashback on bill payments and other select categories, making it a great choice for individuals who often pay bills through credit cards. Additionally, it offers 1% cashback on all other transactions, contributing to overall savings.
7. RBL Bank Platinum Rewards Card
This card offers a unique cashback structure, rewarding users with 1% cashback on all transactions. It also provides additional rewards points for specific spending categories, allowing users to accumulate points that can be redeemed for various rewards.
8. Standard Chartered Manhattan Platinum Credit Card
This card offers 5% cashback on grocery shopping and 3% on dining & entertainment. It also features exclusive discounts at partner merchants, making it a preferred choice for foodies and grocery shoppers alike.
9. Kotak Mahindra Bank Rewards Card
The Kotak Mahindra Bank Rewards Card offers a cashback of 1% on all purchases and additional rewards for online shopping. It is perfect for users who prefer a straightforward cashback approach without the complexity of tiered rewards.
10. Paytm First Card
This card offers 1% cashback on all transactions and additional benefits for Paytm wallet users, making it a great option for those who frequently use digital wallets. It also includes offers on movie tickets and travel bookings through Paytm.
Maximizing Your Cashback Benefits
To truly benefit from cashback cards, consider these actionable steps:
1. Track Your Spending
Keep a record of your expenses to understand where you can earn the most cashback. This will help you make informed choices about which card to use for specific purchases. Use budgeting apps or spreadsheets to categorize your spending effectively.
2. Pay Your Bills with Cashback Cards
Utilize your cashback card for utility bill payments, as many cards offer higher cashback rates for these transactions. This simple switch can lead to substantial savings over time. For example, if your utility bills total ₹5,000 monthly and your card offers 5% cashback, you could earn ₹250 just for paying your bills.
3. Redeem Wisely
Always redeem your cashback promptly. Some cards have expiration dates on rewards, so be sure to check the terms and conditions. Setting reminders can help ensure you don’t lose out on your earned cashback.
4. Stay Updated on Offers
Credit card companies often run promotions that can boost your cashback earnings. Regularly check for these offers and adjust your spending habits accordingly. Subscribing to newsletters from your card issuer can keep you informed about the latest deals.
Frequently Asked Questions
What is credit card cashback?
Credit card cashback is a reward program that returns a percentage of your spending as cash. This can be applied as a statement credit, bank deposit, or gift vouchers, depending on the card issuer's terms.
How do I choose the best cashback card?
Consider factors such as cashback percentage, annual fees, redemption options, and additional benefits when selecting a cashback card. It's also beneficial to analyze your spending patterns to choose a card that aligns with them.
Are cashback cards worth it?
Yes, if used responsibly, cashback cards can provide significant savings on everyday purchases. However, it’s essential to avoid overspending just to earn rewards, as this can negate the benefits.
Can I get cashback on credit card payments?
Some cards offer cashback on credit card bill payments, but this varies by card issuer. Always check your card's terms for specific offers to maximize your rewards.
What are the best cashback debit cards in India?
Some popular cashback debit cards include the HDFC Bank Debit Card and the Axis Bank Debit Card, which offer cashback rewards on various transactions, particularly in grocery and utility payments.
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Author - Abhishek Sonawane
Abhishek Sonawane, an MBA graduate from the prestigious Indian Institute of Management Visakhapatnam (IIMV), brings over ten years of experience in the finance domain. His extensive background includes various roles in financial management and strategy, providing him with a comprehensive understanding of the financial landscape. Abhishek’s expertise and dedication to financial education make him an authoritative voice in personal finance, helping readers make informed financial decisions.