Top 5 Credit Cards for Fair Credit Score in India
24 Jan 2026 9 mins Credit Cards
For many individuals in India, managing finances can be a daunting task, especially when it comes to credit scores. A fair credit score, typically ranging from 580 to 669, can limit your options when applying for credit cards. However, there are excellent credit cards designed specifically for those with fair credit, offering benefits that can help improve your financial situation. In this article, we will explore the best credit cards for fair credit in India, ensuring you make informed decisions that align with your financial goals. Key takeaways include understanding the features, benefits, and eligibility requirements of each card, enabling you to choose the one that suits you best.
Understanding Fair Credit Scores
Before diving into the best credit cards for fair credit, it's essential to understand what a fair credit score means. A fair credit score indicates that you have a history of managing credit, but there may have been some late payments or high credit utilization ratios in the past. This score can affect your ability to secure loans or credit cards with favorable terms.
In India, the credit score ranges from 300 to 900, with scores below 600 considered poor. A score between 580 and 669 falls into the fair category. Lenders may view applicants with fair credit as higher risk, leading to higher interest rates or lower credit limits. However, with the right credit card, individuals can improve their credit scores over time.
Importance of Choosing the Right Credit Card
Selecting the right credit card can significantly impact your financial health. Here are a few reasons why it's crucial:
Building Credit History: Using a credit card responsibly can help improve your credit score over time. Regular payments and low utilization ratios signal to lenders that you are a reliable borrower.
Rewards and Benefits: Many credit cards offer rewards such as cashback, travel points, and discounts, which can enhance your spending power. For instance, a well-chosen card can provide cashback on everyday purchases, effectively reducing your overall expenditure.
Financial Flexibility: Credit cards provide a safety net for emergencies and unexpected expenses. Having a credit card can help you manage cash flow effectively, especially if you encounter unforeseen expenses.
Top 5 Credit Cards for Fair Credit in India
1. HDFC Bank Regalia Credit Card
The HDFC Bank Regalia Credit Card is an excellent option for individuals with fair credit. It offers a plethora of benefits, including:
Reward Points: Earn 4 reward points for every ₹150 spent, which can be redeemed for a variety of products and services, enhancing the card's value.
Dining Offers: Enjoy discounts at over 2,500 restaurants across India, which can lead to significant savings for food enthusiasts.
Insurance Benefits: Free air accident insurance of up to ₹1 crore, providing peace of mind for frequent travelers.
Eligibility for this card requires a minimum income of ₹12,00,000 per annum, making it suitable for professionals and individuals with a stable income. The annual fee is ₹2,500, but it can be waived off based on your spending patterns, making it a worthwhile investment for those who utilize it effectively.
2. SBI SimplySAVE Credit Card
The SBI SimplySAVE Credit Card is another great choice for those with fair credit. This card is tailored for everyday spending and comes with various benefits:
Cashback Offers: Get 5% cashback on online purchases and 1% on all other transactions, which can accumulate quickly for regular shoppers.
Welcome Benefits: Receive a bonus of 2,000 reward points on your first transaction, providing an immediate incentive for new users.
No Annual Fee: If you spend ₹1 lakh in a year, the annual fee of ₹499 is waived off, making it accessible and economical for budget-conscious individuals.
To qualify for this card, you need a minimum income of ₹3,00,000 per annum. This makes it accessible for many individuals looking to improve their credit score, especially students and young professionals.
3. Axis Bank Insta Easy Credit Card
Axis Bank offers the Insta Easy Credit Card, which is designed for individuals with fair credit. The card provides a hassle-free application process:
Instant Approval: Get approval within minutes if you meet the eligibility criteria, allowing for quick access to credit when needed.
Reward Points: Earn 1 reward point for every ₹200 spent, which can be redeemed for various rewards, enhancing the card's usability.
Fuel Surcharge Waiver: Enjoy a waiver on fuel surcharge at select petrol pumps, which can lead to significant savings for those who drive regularly.
The eligibility criteria for this card are relatively lenient, requiring a minimum income of ₹15,000 per month. This makes it an attractive option for many, especially those just starting their careers.
4. ICICI Bank Platinum Credit Card
The ICICI Bank Platinum Credit Card is a solid choice for those with fair credit, offering various features:
Reward Points: Earn 2 reward points for every ₹100 spent on groceries and 1 reward point for every ₹100 on other purchases, making it a practical choice for everyday expenses.
Dining Offers: Discounts at over 2,500 restaurants across India, allowing for enjoyable dining experiences at reduced costs.
Insurance Coverage: Accidental death insurance coverage of up to ₹25 lakh, providing substantial financial protection for cardholders.
With a minimum income requirement of ₹20,000 per month, this card is suitable for working professionals looking to enhance their credit profile. Its diverse benefits make it appealing to a wide range of users.
5. Kotak Bank Aqua Gold Credit Card
The Kotak Bank Aqua Gold Credit Card is an excellent option for individuals looking for a no-frills card:
Reward Points: Earn 1 reward point for every ₹150 spent, which can accumulate over time to provide redeemable rewards.
Low Annual Fee: The annual fee is only ₹499, which can be waived based on spending, making it an economical choice.
Fuel Surcharge Waiver: Get a waiver on fuel surcharge at select outlets, making it beneficial for regular commuters.
With a minimum income requirement of ₹15,000 per month, this card is accessible for many individuals with fair credit scores. The simplicity of this card makes it suitable for those who want to avoid complicated terms and conditions.
Data-Driven Insights on Credit Cards for Fair Credit
According to a 2023 report by the Reserve Bank of India (RBI), the number of credit card users in India has increased by 20% year-on-year, highlighting the growing reliance on credit cards for everyday transactions. However, individuals with fair credit often face challenges in obtaining credit cards with favorable terms. Recent statistics indicate that only 40% of applicants with fair credit scores are approved for premium credit cards, emphasizing the importance of choosing the right card that aligns with your credit profile. Furthermore, a study by Experian India found that individuals who actively manage their credit cards can increase their credit scores by an average of 60 points within six months.
Actionable Steps to Improve Your Credit Score
Improving your credit score takes time and effort, but here are some actionable steps you can take:
Pay Bills on Time: Ensure all bills, including credit card payments, are paid on time to avoid late fees and negative impacts on your credit score. Setting up automatic payments can be a helpful strategy to ensure consistency.
Maintain Low Credit Utilization: Keep your credit utilization ratio below 30% to show lenders that you can manage credit responsibly. This means if you have a credit limit of ₹1,00,000, try to keep your outstanding balance below ₹30,000.
Check Your Credit Report: Regularly review your credit report for errors and discrepancies, and dispute any inaccuracies with the credit bureau. In India, you are entitled to one free credit report per year from major credit bureaus.
Limit New Credit Applications: Avoid applying for multiple credit cards in a short period, as this can hurt your credit score. Each application can lead to a hard inquiry, which may negatively impact your score.
Frequently Asked Questions (FAQs)
What is a fair credit score in India?
A fair credit score in India typically ranges from 580 to 669. This range indicates that you have a history of managing credit but may have some late payments or higher credit utilization.
Can I get a credit card with a fair credit score?
Yes, many banks and financial institutions offer credit cards specifically designed for individuals with fair credit scores, providing various benefits and rewards. These cards often come with lower income requirements and more flexible terms.
How can I improve my fair credit score?
To improve your fair credit score, focus on making timely payments, reducing your credit utilization, regularly monitoring your credit report, and avoiding new credit applications. Consider using credit-building tools such as secured credit cards if necessary.
Are there any fees associated with credit cards for fair credit?
Most credit cards for fair credit come with annual fees, but many offer waivers based on your spending. Always review the terms and conditions before applying to understand the fee structure and eligibility for waivers.
What should I look for when choosing a credit card for fair credit?
Look for cards that offer rewards tailored to your spending habits, low-interest rates, and reasonable fees. Additionally, ensure the card provides benefits that align with your lifestyle, such as cashback on groceries or travel rewards.
Key Insights
Fair credit scores range from 580 to 669, which may limit credit card options.
Choosing the right credit card can help improve your credit score and financial health.
The HDFC Bank Regalia, SBI SimplySAVE, Axis Bank Insta Easy, ICICI Bank Platinum, and Kotak Bank Aqua Gold are top choices for fair credit in India.
Regularly monitoring your credit score and responsible credit usage are essential for improvement.
Utilizing credit cards effectively can lead to significant benefits, including improving your credit score and maximizing rewards.
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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.