Credit Card Against FD

For individuals with limited or no credit history, securing a standard credit card can be challenging, as most issuers prioritize applicants with established credit scores. However, a credit score can only be developed through credit activity. Recognizing this situation is where a credit card against a fixed deposit (FD) comes into play. Many card providers now offer secured credit cards, which are backed by a fixed deposit. By using a secured credit card responsibly, one can gradually build a robust credit history, paving the way for eligibility to more premium cards with higher limits and benefits in the future.


What is Credit Card Against Fixed Deposit

A credit card against fixed deposit is a card offered by banks to customers who maintain a fixed deposit account with them. In essence, the FD acts as collateral against which the bank provides a credit card. In case the cardholder defaults on their payments, the bank can recover the amount from the fixed deposit.

This type of card is particularly beneficial for individuals who might not have a credit history or those who have a low credit score. It allows them to enjoy the benefits of a credit card without going through rigorous eligibility checks that typically come with regular credit card applications.

List of Banks Offering Credit Cards Against FD

Many banks in India offer credit cards against fixed deposits. Some of the prominent ones include:

  • State Bank of India (SBI)
  • ICICI Bank
  • Kotak Mahindra Bank
  • IDFC First Bank
  • Axis Bank
  • SBM Bank

Best Credit Cards Against FD in India for 2024

As of 2024, the best credit cards against FD based on rewards, interest rates, and customer feedback are listed below

Name of CardBest suited forWelcome Benefits
IDFC First WOW Credit CardDiningEnjoy 5% Cashback up to Rs. 1,000 on the first EMI transaction done within 90 days of card activation.
SBI Unnati Credit CardShoppingNA
ICICI Bank Platinum Credit CardMoviesNA
Axis Bank Insta Easy Credit cardShoppingNA
Kotak Mahindra 811 #DreamDifferent Credit CardShoppingNA
One Card by SBM BankShopping NA

Top Banks Offering Credit Cards Against FD

A credit card against FD offers a robust solution for those who might find it challenging to get a regular credit card. It not only provides financial flexibility but also aids in establishing a healthy credit score. If used wisely, it can be a valuable financial tool in one's arsenal. To get into further detail we have elaborated the features and benefits of the credit cards offered by banks against fixed deposits.

IDFC Fixed Deposit Credit Card

The IDFC First Wow credit card operates on a fixed deposit foundation, requiring a minimum deposit of Rs. 5000 for eligibility. This card generously rewards users with points for virtually every transaction, and these points come with the added advantage of no expiration date. Cardholders can enjoy dining privileges, savings at over 3,000 wellness centers, on-the-road support, and more. A standout benefit of this card is the absence of foreign exchange markup fees on international expenses.

Features & Benefits of IDFC WOW Card

  • Secured credit card for which you must have a FD of atleast Rs. 5000
  • 4x RPs on all spends and reward points do not expire
  • Up to 5% cashback on the first EMI transaction
  • Up to 20% discount at over 1500 restaurants
  • Up to 15% discount at over 3000 health and wellness centers
  • 1% fuel surcharge waiver
  • Rs. 1399 worth complimentary roadside assistance
  • No forex markup fees charged on foreign currency spends

SBI Credit Card Against Fixed Deposit

The SBI Unnati Credit Card is anchored to a fixed deposit of a minimum Rs. 25,000. For the initial four years, there's no annual fee, but from the fifth year onward, a modest charge of Rs. 499 is applicable. This card boasts an array of advantages which can be beneficial if you are looking to get an SBI credit card on FD.

Features & Benefits of SBI Unnati Credit Card

  • 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 Credit Card Against FD

The ICICI Bank Instant Platinum Card, a secured credit card, requires a backing of a fixed deposit of at least Rs. 20,000. Packed with a plethora of perks, this card offers rewards, entertainment and dining privileges, among other benefits. This ICICI bank credit card on FD allows you to get complimentary movie tickets as well.

Features & Benefits of ICICI Bank Instant Platinum Credit Card

  • 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.

Axis Bank Credit Card Against FD

The Axis Bank Insta Easy Credit Card, equipped with chip and pin technology, is issued against your Fixed Deposit held with Axis Bank. With no annual fee, it's an optimal choice for regular shoppers. Ideal for those seeking a predetermined credit limit without the burden of annual or joining fees, this Axis Bank offering is designed to meet specific needs.

Features & Benefits of Axis Bank Insta Easy Credit Card

  • Up to 80% of FD deposit amount available as the credit limit
  • Cash withdrawal for up to 100% of the credit limit
  • 50-day free credit (in the case of no outstanding balance)
  • 1% surcharge waiver on fuel purchase pan-India
  • 15% off on partner restaurants in India

One card against FD

OneCard, in collaboration with SBM Bank India, delivers a digital-first credit card experience. Showcasing a sleek metal design, OneCard is entirely managed through the OneCard app. This digitally-driven card is equipped with cutting-edge functionalities and distinct features. What's more, it comes with the added perk of being free for life.

Features & Benefits of One Card against FD By SBM Bank

  • 1 reward point on every Rs. 50 spent via this credit card. For purchase amounts below Rs. 50, fractional points will be credited. For example, if you spend Rs. 25 on a recharge, 0.5 reward points will be credited.
  • 5X reward points on top 2 spend categories. To qualify, you must make purchases across at least 3 categories in a month. From these, the top 2 categories would be eligible for 5X rewards.
  • Redeem earned reward points without any charges.
  • No Expiry Date: Reward points do not expire and have lifetime validity.

Kotak Fixed deposit Credit Card

Experience the Kotak 811 #DreamDifferent Credit Card's perks like interest-free cash withdrawals, rewards on every purchase, a credit limit that extends to 90% of your term deposit, and a lifetime-free credit card. Embrace a distinctive way to manage your finances with this offering.

Features & Benefits of Kotak Bank 811 #DreamDifferent Credit Card

  • No Joining or Annual Fees.
  • Earn 500 bonus reward points on Activation + Rs. 5000/- spends in the first 45 days of card set up.
  • Earn rewards on daily spends. [2 reward points against every Rs. 100/- of online spends, 1 reward point against every Rs. 100/- of other* spends]
  • Spend Rs. 75.000/- in a year and get Cash Back of Rs. 750/- or 4 free PVR tickets. 
  • Fuel and Railway surcharge waiver

Eligibility Criteria for Credit Card Against FD

Generally, the eligibility criteria for obtaining a credit card against FD are relatively lenient compared to regular credit cards:

  • The applicant should have an FD with the respective bank.
  • The minimum FD amount varies between banks but is typically around INR 20,000 to INR 25,000.
  • The term of the FD should usually be at least 6 months.
  • The cardholder might not require a separate income proof, as the FD serves as collateral.
  • No credit check is generally needed, making it suitable for those with low or no credit score.

Benefits of Credit Card against FD

Secured credit cards present numerous benefits in the longer run:

  • Credit Establishment: For those new to credit or with a limited credit background, secured cards are gateways to build a favorable credit record. Timely payments can pave the way for future credit opportunities.
  • Credit Restoration: Individuals with past financial challenges can use secured cards as a tool to enhance their credit scores by consistently demonstrating fiscal responsibility.
  • Credit Accessibility: They serve as a boon for those sidelined by conventional banks due to inadequate credit history. The deposited collateral ensures banks provide these individuals a credit avenue.
  • Financial Prudence: Such cards encourage judicious spending, as they tie credit limits to the deposit amount. This practice ingrains budgeting and nurtures sound financial habits.
  • Graduating to Unsecured Credit: Consistent, responsible secured card usage can unlock doors to unsecured credit options with more attractive features and higher limits.
  • Digital Payments Adoption: With digital transaction modes like UPIs gaining traction, users find a seamless transition to utilizing secured credit cards for their digital expenditures.
  • Promoting Financial Inclusivity: These cards democratize financial access. They combine ease of use, clarity, and education, enabling individuals to stride towards a more secure financial horizon.

FAQs on Credit Cards Against FD

Is it good to get a credit card against FD?


Yes, especially for those looking to build or repair their credit score, as it offers an opportunity to do so while providing the convenience of a regular credit card.

What is the maximum credit card limit against FD?


Typically, the credit limit is 75%-85% of the FD amount, though this can vary between banks.

How can I increase my CIBIL score with an FD credit card?


Regular use and timely repayment of the FD credit card can positively impact your CIBIL score.

How much FD is required for OneCard?


Simply create an FD in the OneCard app for any amount between 2000 Rupees and 1 Lac to get hold of your One Card backed by FD.

How is OneCard’s FD with Credit card combo different from a prepaid card?


One Card FD credit card allows users to avail credit based on a certain percentage of the FD, whereas a prepaid card is more like a debit card; you can only spend what you have loaded onto the card.

Why You Should Apply for a Credit Card Against FD?


It's a great way to enjoy the benefits of a credit card without stringent eligibility criteria and also serves as a tool to improve or establish credit history.

What is the minimum amount of fixed deposit for a credit card?


It typically ranges from INR 20,000 to INR 25,000, depending on the bank. But some cards like One Card can be issued by opening an FD as low as Rs 2000.

Can I get a HDFC credit card against a fixed deposit?


Currently HDFC does not offer any FD based credit card.

Can I get an SBI credit card against a fixed deposit?


Yes, SBI provides the Unnati Card against an FD.

Can I get an IDFC credit card against a fixed deposit?


Yes, IDFC First Bank offers the WOW Card against an FD.

How to increase credit card limit against FD Kotak Mahindra Bank?


Typically, by increasing the FD amount with the bank, you can request a higher credit limit. However, it's best to consult directly with the bank for specific procedures.