5 Best Credit Cards against Fixed Deposit in India

By | October 5, 2016

The credit cards that are issued against a fixed deposit are also called as secured credit cards and it is one of the easy yet under utilized way to improve the CIBIL score. I’ve had a credit card based on fixed deposit for about 4 years since i was in college and it had undoubtedly contributed a lot to improve my CIBIL score.

Unsecured credit cards or loans are not easily given to you when your CIBIL score is below 750 as lenders donot know your credit worthiness and can’t predict you without data. So you have to start with secured credit cards, usage of which can tell credit bureaus like CIBIL as how good you’re managing the credit.

Your credit card usage over a period of time gives them enough data to arrive at a proper CIBIL score, which then helps you to get approved for loans & unsecured credit cards in future. Here are some of the most famous credit cards issued based on FD for starters.

Best Secured Credit Cards in India (FD Based)

1. Axis Insta Easy Credit Cards:

Axis Bank Insta Easy Credit Card was the first credit card i’ve ever had in my life. Axis Bank credit cards are pretty good to use and their customer support is responsive for any queries you initiate. I had a nice time with them and their Edge Loyalty rewards program has evolved very much in recent times. I used to redeem my reward points for Flipkart vouchers and use it to buy some cool items those days.

Axis Bank Insta Easy Credit Card

Axis Bank Insta Easy Credit Card on FD

Interesting Facts with Axis Bank Cards: Axis is generous in giving the credit limit on FD that one of our reader had 16 Lakhs credit limit on 20Lakhs FD. Some banks do not give such huge limits even though your FD value is high. Usually banks provide 70%-80% of the fixed deposit amount as your credit limit.

2. ICICI Instant Platinum Credit card

ICICI is famous for its instant credit card. You simply visit the branch and walk away with a credit card in matter of minutes with basic documentation. ICICI Instant Platinum Credit card is one of my most used credit card in my earlier ages. With all these Payback promotions, i thought its the best card in the industry which helps you get a lot of payback points. Well, now it turned out to be one of the worst rewarding card i’ve ever used in my life.

ICICI Bank Platinum Chip Credit Card

ICICI Instant Platinum Credit card issued against Fixed Deposit

I accumulated thousands and thousands of points in a span of 3 yrs or so and filled my home with Speakers, card holders, saree’s for my Mom, etc. If i had the knowledge on credit cards those days, i would have saved 4 times more than what i earned with this card. That’s a huge loss as i had been using the card for quite a lot of transactions.

However, its one of the best cards for those who simply need to improve your credit score with no joining fee.

Tip: I personally like this card as they instantly increase your credit limit if you pay online. Infact, you can even increase your credit limit as high as you wish to carry out bigger txn’s simply by depositing an extra amount to the card account. I’ve done it countless times.

3. SBI Credit Cards

I recently opted for SBI Signature credit card which is now SBI Elite Card based on my Fixed Deposit of 1.25 Lakhs and its one of the best premium credit cards. I was able to earn Rs.18,000 Cashback with SBI Signature Credit Card reward points with this card. I have this even now as on Oct 2016 and might cancel it as its recently devalued to Elite card.

I had to go for this secured card as my city was not serviceable for SBI credit cards an year back.

SBI Elite Credit Card

SBI Elite Credit Card

Tip: Apart from CIBIL benefits, if you plan to spend a lot on your card, say 7 Lakhs or so, consider this one. BookMyShow Offer on this card is my Favorite.

4. HDFC Credit Cards

HDFC like any other bank also issue credit cards based on FD and they are the leader in credit card industry in India having the maximum market share both in volume of cards and also in amount of transactions.

HDFC Regalia Credit Card

HDFC Regalia Credit Card (also issued on FD)

Most of HDFC Credit cards can be obtained based on FD including premium cards like HDFC Regalia if you have FD of approx 4L or so.

5. Indusind Credit cards

While i’m still not a fan of Indusind credit cards because they charge a very high joining fee for almost all credit cards except one, which is Indusind Aura Credit Card. You can apply for this card based on FD with Rs.899+ST as joining fee which they’ll waive off after spends of Rs.25,000 within first 3 Months of applying the card.

Tip on CIBIL Score: Usage of secured credit cards for 2+ years can easily lift your CIBIL score to a very good level. If you need a quick way to boost your score its fine to have 2 or 3 credit cards, as long as you can manage them properly.

While there maybe other banks issuing credit cards on FD, these are my top 5 picks. What’s your experience with secured Credit cards? Share your comments below.

54 thoughts on “5 Best Credit Cards against Fixed Deposit in India

  1. Sujit

    Hi Siddharth,
    Currently mulling about SBI Elite Card. I have a FD of 8 lacs.
    Is it possible?!

    Reply
  2. Jeet

    Sir, can you please review the newly launched Axis Bank Reserve visa infinite credit card.

    Reply
  3. Akhil

    Hi Siddharth,

    I was planning for a secured Credit Card, so recently paid a visit to my local HDFC branch, I was offered HDFC regalia card for 4 lakhs, and Regalia first for 2 Lakhs, since regalia is being downgraded from Nov 1, should i go for the Regalia first for 2 lakhs FD ?

    Reply
    1. Siddharth Post author

      Depends on your usage, benefits that you need etc. Regalia is still better than Regalia First.

      Reply
      1. Akhil

        Thanks for the reply Siddharth, I have another question.

        I have almost decided to got for the Regalia First for 2 lakhs FD, but sometimes I have transactions that are almost 80%-90% of the credit limit(in this case 85% of 2 lakhs), I do not want these high utilization transactions to affect by CIBIL score. In that case can I Increase the credit card limit by depositing more money into the credit card account, is this possible with HDFC secured credit cards(Regalia First) ?

        Reply
          1. Akhil

            Yes even i was wondering is the option to Pre-Pay into the credit card account exists with hdfc regalia cards like they do with Icici Platinum cards ?

            Thanks a lot for clarifying, i really appreciate your responses.

        1. amit

          hi akhil iam using credit cards since last 10 years and my cibil is 856 now credit utilization has no affect on your score if you paid your bill regularly i have 6l limit on my my regalia card and most of time credit utilization is 100% but my payment history is awesome and bank regular give me insta jumbo loan offer and at present bank offered me for 925000 jumbo loan without blocking credit limit try to understand bank loves top spenders and regular payers in my case every time credit utilization is 90-100% and bank still offer me 9.25l jumbo loan because for bank iam like a old friend and credit manager clearly knows my payment behaviour from last 10 years so if iam not capable to handle 6l limit on main card so ask yourself why bank is again agrree to give you 925000 extra

          Reply
  4. Captain Bishuddha Bharatiya

    What is the minimum FD required for SBI Elite card and how much percentages of FD would be the limit of credit card ?

    Reply
  5. abhishek

    Standard chartered Super Value Titanium Credit Card is offering 5% cashback on fuel(including surcharge), telecom bills and utility bills on every payment of more than 750 rs.
    My total monthly expenditure on fuel and bills comes at around Rs. 10,000, 5% of which will come around 500 rs which is quite good. I haven’t seen such an offer in any other credit card recently. I am planning to get this card. Kindly share your views regarding this card and associated pros and cons.

    Reply
  6. Narayan Joshi

    Hi Siddharth,

    Is the SBI Elite Card still being provided against Fixed deposits? The product page of the Elite card doesn’t seem to mention it. As far as i can see currently they seem to have only listed the “SBI Advantage Plus Credit Card” against FD in their website.

    Regards

    Reply
    1. Siddharth Post author

      I think they should be. They din’t do this transition of the elite card clearly on website.

      Reply
  7. Narayan Joshi

    Hi Siddharth,

    Also, i think in addition to the instant platinum, ICICI also offers coral credit cards against FB which offers better rewards and privileges.

    Regards

    Reply
  8. IFSC Code Hub

    I Think Axis and HDFC are best in India. Their services are really awesome.

    Reply
  9. Amol

    I think best service is provided by American Express, using since an year. Second best is Citi, using 2 CC and as per my opinion ICICI is worst, as they do not have any offer except buy one get one movie ticket, which i never used since took it. Just started with IndusInd, will see how it goes. Even SBI is better than ICICI. I’m using all of them.

    Reply
  10. surendra

    HI SIR
    iam intrested to deposit 20000 rupees and take credit card which bank is best

    Reply
  11. Ashish

    So if i take ICICI Instant Platinum Credit card against FD of 2.50 lakhs and build good CIBIL score over a year… will i be able to close FD after 1 year and keep the credit card for lifetime??

    Reply
    1. Siddharth Post author

      No, you have to close the card and then apply for a new one based n IT.

      Reply
  12. Vamshi Bharadwaj

    I am student and want to take a secured credit card with a fd of 50,000₹ to build my CIBIL score by the time i come out of college
    Which bank should i approach to get the beat bang for the buck including offers
    As i keep seeing that HDFC offers huge cashbacks while axis bank offers 10% discount or should i go for any other bank ?
    Please suggest me the best one
    Thanks

    Reply
    1. Siddharth Post author

      HDFC is good to go Vamshi. They’re the market leader as well 🙂

      Reply
  13. PRADEEP KHANANI

    Hi Siddharth,

    I am NRI. Can I apply for credit card against my NRE FD In India? Usually NRIs usually can not apply for credit card for various reasons.

    Awaiting for your early response.

    Reply
    1. Siddharth Post author

      Pradeep,
      It varies from bank to bank.
      Some bank still issues credit cards for NRI’s. I’m unsure about them though. Its better to talk to your bank.

      Reply
  14. Ananthi

    Hi Siddharth,

    I am planning to take a credit card on FD. My main goal is to do big shopping for home and pay them via EMIs.

    Which one would be better ICICI or SBI ? Please suggest

    Reply
    1. Siddharth Post author

      Ananthi,
      HDFC is good with offers/reward points and much more than ICICI/SBI.
      Would suggest Regalia/ Diners Black.
      Read reviews of both to get an idea.

      Reply
  15. Gopal

    Hi Siddharth
    I had applied for IndusInd credit card 2 times in a span of 6 months respectfully but both the time they have rejected without giving any valid reasons. All my documents are clear but no idea on the rejection. Is there a option of credit against fixed deposit. Please confirm. So that I can approach IndusInd bank for a credit card.

    Reply
  16. Gokul

    Hi. Am settling my old credit card balance by 3000/month in hdfc. So obviously my credit rate is poor. Will any bank still give me secured credit card against an FD of 1 lakh, so as to improve my cibil score?

    Reply
  17. Hardesh Rajput

    Hi Siddarth,
    M looking forward to Opt CC against FD as my CIBIL score not good. My personal chose is SBI with FD of 80K to 100K.
    Pls suggest if any better option for me.

    Reply
  18. Himesh

    In which bank i will get instant credit card in hand or next day against fd.

    Reply
  19. Shiv

    For ICICI, I am unable to choose between Insta Platinum and Coral Credit Card against FD. I also have an option to go for SBI Elite. Please suggest best option between Both in ICICI and ICICI vs SBI.

    And Thanks for pretty informative article. 🙂

    Reply
    1. Siddharth Post author

      Coral Mastercard is good, as it also has lounge access. SBI Elite of course stands above ICICI.

      Reply
  20. Nitin

    Hi I want cc against FD . But I want with free airport lounge access. Pls guide.

    Reply
  21. Shafwan

    Hello Sid,

    Is axis CC against FD application is fast? Like that of ICICI?? How long to get the card and get it activated? Awaiting reply . Thanks !

    Reply
    1. Siddharth Post author

      It took me long time when i applied, now it should not be longer than 2~3 weeks.

      Reply
  22. Subburam

    Don’t be 100% sure that you can get a secured credit card by offering a fixed deposit as ‘collateral security’ against the credit card for which you are applying.

    In order to get a secured credit card from SBI Card recently (in JAN 2017), I offered to place a lien on (i.e., offer as collateral security) a fixed deposit of more than INR 90,000, which I have at a branch of State Bank of India in Chennai. I completed all the credit card application paperwork as required by SBI Card.

    In spite of this, it looks like my application has been declined; at least that is the information I get when I track my application, both on the SBI Card Official Website, and also when I call SBI Card’s Customer Service. It appears there is ZERO TRANSPARENCY in how these decisions are made.

    I have no liabilities of any kind (no home loan, no vehicle loan, no personal loan).

    Reply
  23. Subburam

    Here’s an update to my previous post that SBI Card has declined my Jan 2017 application for a SECURED credit card: I found out a few minutes ago that my CIBIL TRANSUNION score is currently close to 850. I believe that a score close to 850 is a good score, but some one please correct me if I am wrong. Despite this, SBI Card has declined my application.

    Thank you.

    Reply
    1. Siddharth Post author

      850 is indeed an awesome score. There might have been some other issue with the application. You need to check with the bank.

      Reply
      1. Subburam

        Hello Siddharth:

        Thank you for responding. I spoke with an officer in the bank.

        The preliminary information I have got is that the problem seems to be related to the method/policies that the credit card company uses to process term deposits (i.e.,fixed deposits) for lien/hold purposes. They have asked me to wait for 3-4 working days, during which they will try to find out more, and will then try to solve the problem.

        Now if I contact other banks or credit card companies like Kotak Mahindra Bank, or ICICI Bank for a SECURED credit card, would they know that there has been a “denial” by the above-said credit card company? More importantly, would the “denial” negatively affect my chances of obtaining a SECURED credit card in India? I have never had any kind of account with them thus far, meaning I don’t have any relationship with them.

        I would appreciate having your thoughts on this. Thanks again!

        Reply
        1. Siddharth Post author

          They know that you’ve applied but not “denial” as they’ll report the new card ac only after a couple of weeks.
          Yes, all new applications will lower your score a bit.

          Reply
  24. sameer

    i never file itr nor i have any account in axis bank . but i want to have a credit card from axis bank.
    i have a sum of rs 25000 to fd is this possible to have a credit card in this case

    Reply
  25. Anwar

    Hi Sid,

    I have a 20-30K to park as an FD. As you know, I already have an HDFC moneyback at the moment. I want to maintain a good relationship with a new bank. Do you have any recommendation? Is it possible to get an Amex card based on FD?

    Anwar

    Reply
    1. Siddharth Post author

      Yes, you can get cards on FD, from Axis, ICICI suggested as you already have one with HDFC. No, Amex not possible as its not a bank in India.

      Reply
      1. Anwar

        I think I should go with ICICI as they instantly raise limit if we paid in advance. Also, my ICICI rejected my last credit card application. Hope I can compensate the CIBIL lose by doing this. Regarding the Amex, I was talking about the AMEX cards from the banks like this – http://www.cardexpert.in/icici-bank-coral-credit-card-review/

        Is it feasible? I think maintaining relationship with Amex in this way can help in future.

        Reply
        1. Siddharth Post author

          Yes, you can get it, but its ICICI, you get no advantage with Amex reg. this in future.

          Reply
  26. Jay

    If you have a FD at ICICI Bank and also have savings account then you can easily place a request online through netbanking for the Credit Card based on the FD from their service request menu. NO need to visit branch or fill any form.

    My advice is try to park a FD for more than 50k then take the credit card on that basis. FD with 25k-30k will be useless.

    If you have a good credit limit on the card then later you can apply with other banks on the basis of that FD card.

    Reply

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