Navigating the world of credit cards can feel like a treasure hunt. With countless options offering different perks, rewards, and benefits, finding the best credit card for online shopping in India is essential.
In the year 2022, total number of active credit card users in India was 7.5 crore. Coming to 2024, India has surpassed 10 crore active credit cards users! That’s a straight 33.33% rise!
Nearly 80% of online buyers shop at least once a month, frequently using credit cards to maximize benefits like cashback and points (Fit Small Business).
In India, the best credit cards for online shopping in 2024 include the SBI Cashback Credit Card, Amex Membership Rewards Credit Card, Amazon Pay ICICI Credit Card, Myntra Kotak Credit Card, And Tata Neu Infinity Or Tata Neu Plus Credit Card.
This guide will help you discover the perfect credit card for online shopping in 2024, ensuring you get the most out of every purchase.
Importance of Credit Cards for Online Shopping
Credit cards have become indispensable for online shopping. They offer convenience, security, and a host of benefits that enhance your shopping experience.
Understanding the importance of credit cards for online shopping is crucial in today's digital age. Here are the key benefits of credit cards for online shopping:
Convenience: With a credit card, you can make purchases anytime, anywhere, without worrying about carrying cash.
Rewards and Cashback: Many credit cards offer rewards points and cashback on purchases, which can lead to significant savings.
Security: Credit cards provide enhanced security features that protect against fraud and unauthorized transactions.
Key Features to Look for in a Credit Card for Online Shopping
Imagine you're filtering the best location for your new home. How do you choose the best one? To find the top option, we need to know what features to look for. Let's explore the key features that an online shopping credit card should have.
Rewards Programs
When it comes to credit card rewards in India, you want to look for cards that offer generous and versatile rewards programs. These might include earning points on every purchase, special rewards for shopping with specific retailers, or bonus points for spending milestones.
Understanding the types of rewards programs available can help you choose the right card. For example, some cards might offer travel points, while others provide discounts on groceries or fuel.
Cashback Offers
Maximizing your credit card cashback benefits is a smart way to save money on your purchases. The best cashback cards in India offer significant cashback percentages on various spending categories. Look for cards that provide higher cashback rates for online shopping, utilities, or dining.
Security Features
Security is paramount when shopping online. The best credit cards come equipped with essential security measures to ensure secure online transactions. These features may include:
EMV Chip Technology: Provides enhanced protection against fraud.
OTP (One-Time Password): Adds an extra layer of security for transactions.
Fraud Detection Systems: Monitors and flags suspicious activity.
Fees and Charges
Understanding the credit card fees in India is crucial before selecting a card. Look out for hidden credit card costs, such as:
Annual Fees: Some cards charge an annual fee that may or may not be worth the benefits offered.
Transaction Fees: Additional charges on foreign transactions or specific services.
Late Payment Fees: Penalties for missing payment deadlines.
Top Credit Cards for Online Shopping in 2024
We’re all unique, each with our own needs and preferences, especially in shopping. So, which credit card is best for your online purchases? It all boils down to your personal tastes. That’s why we’ve curated a list of the top credit cards for online shopping in 2024, tailored to individual preferences:
Credit Card | Key Features | Annual Fee | Joining Fee | Interest Rate | Late Payment Fee | Foreign Transaction Fee | Best For | Additional Benefits |
SBI Cashback Credit Card | - 5% Cashback on online transactions | INR 499 (waived if annual spending > INR 1 lakh) | INR 499 (often waived during promotional periods) | 3.35% per month | INR 100 to INR 1300 | 3.5% | Cashback on online shopping | - Fuel surcharge waiver, Contactless payments, Regular discounts on e-commerce platforms |
- 1% Cashback on other retail spends | ||||||||
- Global Acceptance | ||||||||
Amex Membership Rewards Credit Card | - 1 Membership Reward Point per INR 50 spent | INR 4,500 (waived 1st year) | INR 1,000 (includes 4,000 points) | 3.5% per month | INR 400 to INR 1000 | 3.5% | Earning rewards | - Exclusive offers and promotions, Flexible reward redemption, Supplementary cards |
- 1,000 bonus points each month | ||||||||
- Reward Multiplier Program | ||||||||
Amazon Pay ICICI Credit Card | - 5% Cashback on Amazon for Prime members | None | None | 3.5% per month | INR 100 to INR 1200 | 3.5% | No annual fee | - Fuel surcharge waiver, Instant issuance for Amazon purchases, Easy cashback redemption |
- 3% Cashback on Amazon for non-Prime | ||||||||
- 2% Cashback on Amazon Pay | ||||||||
Myntra Kotak Credit Card | - 7.5% Cashback on Myntra | INR 499 (waived if annual spending > INR 50,000) | INR 499 (includes welcome voucher) | 3.5% per month | INR 100 to INR 700 | 3.5% | Fashion shopping | - Exclusive discounts on Myntra, Myntra Insider membership, Fuel surcharge waiver |
- 5% Cashback at partner stores | ||||||||
- 1% Cashback on other retail spends | ||||||||
Tata Neu Infinity Credit Card | - 5% NeuCoins on Tata brand purchases | INR 1,499 (waived if annual spending > INR 1 lakh) | INR 1,499 (includes welcome bonus) | 3.5% per month | INR 100 to INR 1300 | 3.5% | Grocery shopping within Tata ecosystem | - Travel benefits, Easy redemption within Tata ecosystem, Fuel surcharge waiver |
- 2% NeuCoins on other purchases | ||||||||
- Complimentary airport lounge access |
Best for Cashback: SBI Cashback Credit card
SBI Cashback Credit Card has the best credit card offers for shopping and getting cashback.
Key Features
The SBI Cashback Credit Card is tailored for those who love earning cashback on their purchases. Here are the key features that make this card stand out:
5% Cashback: Earn 5% cashback on all online transactions, making it one of the best cashback credit cards in India.
1% Cashback: Get 1% cashback on all other retail spends, ensuring you earn rewards on every purchase.
Easy Redemption: Cashback earned can be easily redeemed against your statement balance, providing straightforward benefits.
Welcome Benefits: Attractive welcome offers for new cardholders, including bonus cashback and discounts on partner websites.
Global Acceptance: Accepted at millions of locations worldwide, making it ideal for both domestic and international use.
Fees
Understanding the fees associated with the SBI Cashback Credit Card is crucial for evaluating its overall value:
Annual Fee: INR 499, which is relatively low compared to other premium cards. The fee is waived if annual spending exceeds INR 1 lakh.
Joining Fee: INR 499, often waived during promotional periods.
Interest Rate: Competitive interest rates on revolving credit, generally around 3.35% per month.
Late Payment Fee: Ranges from INR 100 to INR 1300, depending on the outstanding balance.
Foreign Transaction Fee: 3.5% of the transaction amount, applicable on international spends.
Benefits
The SBI Cashback Credit Card offers a range of benefits designed to enhance your shopping experience:
High Cashback Offers: Maximize your savings with 5% cashback on online transactions, positioning it as one of the best cashback cards in India.
Fuel Surcharge Waiver: 1% fuel surcharge waiver on transactions between INR 500 and INR 3000, up to INR 100 per month.
Contactless Payments: Enabled for contactless transactions, making your payments faster and more secure.
Exclusive Offers: Regular discounts and deals on popular e-commerce platforms, ensuring you get the best value for your money.
Security Features: Advanced fraud detection and EMV chip technology for secure transactions, offering peace of mind during online shopping.
Ideal For
The SBI Cashback Credit Card is perfect for those looking to maximize their cashback on online shopping, with competitive fees and a host of additional benefits to enhance your spending experience.
Best for Rewards: Amex Membership Rewards Credit Card
Amex Membership Rewards Credit Card has the best credit card offers for earning loyalty rewards.
Key Features
The American Express Membership Rewards Credit Card (MRCC) is renowned for its exceptional rewards program. Here are the key features that make this card a top choice:
Membership Rewards Points: Earn 1 Membership Rewards Point for every INR 50 spent, making it one of the best rewards credit cards for accumulating points quickly.
Bonus Points: Earn up to 1,000 bonus points each month by making four transactions of INR 1,500 or more.
Welcome Gift: Enjoy a generous welcome gift of 4,000 Membership Rewards Points upon spending INR 15,000 within the first 90 days of card membership.
Reward Multiplier Program: Accelerate your point earnings by shopping at partner merchants and through special promotions.
Global Acceptance: Widely accepted at millions of locations worldwide, ensuring ease of use during both domestic and international travels.
Fees
Understanding the fees associated with the American Express Membership Rewards Credit Card is crucial for evaluating its overall value:
Annual Fee: INR 4,500, which is competitive for a premium rewards card. The fee is waived in the first year.
Joining Fee: INR 1,000, which grants you an immediate 4,000 Membership Rewards Points.
Interest Rate: 3.5% per month on revolving credit, aligning with standard industry rates.
Late Payment Fee: Ranges from INR 400 to INR 1,000, depending on the outstanding balance.
Foreign Transaction Fee: 3.5% of the transaction amount, applicable on international spends.
Benefits
The American Express Membership Rewards Credit Card offers a range of benefits designed to enhance your shopping experience and reward accumulation:
Maximize Reward Points: With the ability to earn and accumulate points on every spend, you can maximize reward points for travel, shopping, and lifestyle redemptions.
Exclusive Offers: Access to exclusive American Express offers and promotions, including dining, travel, and shopping deals, making it a comprehensive rewards program credit card.
Reward Redemption Flexibility: Redeem your points for a wide range of rewards, including gift cards, travel vouchers, and merchandise.
Supplementary Cards: Get supplementary cards for your family members at no additional cost, allowing them to earn points on your account.
American Express Invites: Enjoy exclusive access to events, pre-sale tickets, and special experiences curated by American Express.
Security Features: Advanced fraud protection and zero liability on fraudulent transactions, ensuring secure online and offline purchases.
Ideal For
The American Express Membership Rewards Credit Card (MRCC) is ideal for those looking to maximize their rewards through everyday spending and special promotions, with comprehensive benefits and competitive fees that enhance the overall value of the card.
Best for No Annual Fee: Amazon ICICI Credit card
Amazon ICICI Credit Card has the best credit card offers for no annual fee benefits.
Key Features
The Amazon Pay ICICI Bank Credit Card is designed specifically for avid online shoppers. Here are the key features that make this card a standout choice:
5% Cashback: Earn 5% cashback on purchases made on Amazon.in for Amazon Prime members, making it one of the best cashback cards in India.
3% Cashback: Non-Prime members earn 3% cashback on Amazon.in purchases.
2% Cashback: Earn 2% cashback on payments made using Amazon Pay at 100+ partner merchants.
1% Cashback: Earn 1% cashback on all other transactions, ensuring you get rewards on every spend.
No Expiry: Cashback earnings do not expire and can be redeemed as an Amazon Pay balance, providing flexibility in how you use your rewards.
Instant Issuance: Digital card issuance for instant use on Amazon.in once approved.
Fees
Understanding the fees associated with the Amazon Pay ICICI Bank Credit Card is crucial for evaluating its overall value:
Annual Fee: No annual or renewal fee, making it a cost-effective option for regular users.
Joining Fee: No joining fee, allowing you to start earning cashback without any initial costs.
Interest Rate: Competitive interest rates on revolving credit, typically around 3.5% per month.
Late Payment Fee: Ranges from INR 100 to INR 1,200, depending on the outstanding balance.
Foreign Transaction Fee: 3.5% of the transaction amount, applicable on international spends.
Benefits
The Amazon Pay ICICI Bank Credit Card offers a range of benefits designed to enhance your online shopping experience and maximize your savings:
High Cashback Offers: With up to 5% cashback on Amazon.in for Prime members, this card is perfect for frequent Amazon shoppers looking to maximize cashback offers.
Universal Acceptance: Accepted at all merchants that accept Visa, both online and offline, in India and globally.
Fuel Surcharge Waiver: 1% fuel surcharge waiver at all fuel stations across India on transactions between INR 400 and INR 4,000.
Welcome Benefits: No welcome gift, but the instant cashback and zero fees structure provide immediate value.
Easy Cashback Redemption: Cashback is automatically credited as Amazon Pay balance each month, simplifying the process of redeeming rewards.
Security Features: Equipped with advanced fraud detection and EMV chip technology to ensure secure online transactions.
Ideal For
The Amazon Pay ICICI Bank Credit Card is perfect for those who frequently shop online, especially on Amazon.in. With its high cashback rates, zero fees, and extensive acceptance, it offers significant savings and value for all types of spenders.
Best for Myntra: Myntra Kotak Credit card
Myntra Kotak Credit Card is best for shopping offers on Myntra.
Key Features
The Myntra Kotak Credit Card is tailored for fashion enthusiasts who love shopping on Myntra and other fashion platforms. Here are the key features that make this card a top choice for fashionistas:
7.5% Cashback: Earn 7.5% cashback on all purchases made on Myntra, making it one of the best cashback cards in India for fashion shopping.
5% Cashback: Enjoy 5% cashback on all spends at partner fashion and lifestyle stores.
1% Cashback: Earn 1% cashback on all other retail spends, ensuring you benefit from everyday purchases.
Welcome Benefits: Receive a welcome gift voucher worth INR 500 on Myntra upon first transaction within 30 days of card issuance.
Myntra Insider: Complimentary membership to Myntra Insider, Myntra’s loyalty program, providing exclusive access to sales, discounts, and other member-only benefits.
Fees
Understanding the fees associated with the Myntra Kotak Credit Card is crucial for evaluating its overall value:
Annual Fee: INR 499, which is relatively low considering the high cashback benefits. The fee is waived off if annual spending exceeds INR 50,000.
Joining Fee: INR 499, which is often compensated by the welcome gift voucher.
Interest Rate: Competitive interest rates on revolving credit, generally around 3.5% per month.
Late Payment Fee: Ranges from INR 100 to INR 700, depending on the outstanding balance.
Foreign Transaction Fee: 3.5% of the transaction amount, applicable on international spends.
Benefits
The Myntra Kotak Credit Card offers a range of benefits designed to enhance your shopping experience and maximize your savings on fashion purchases:
High Cashback Offers: With up to 7.5% cashback on Myntra, this card provides significant savings for frequent shoppers, positioning it as one of the best cashback cards in India.
Exclusive Discounts: Enjoy exclusive discounts and offers on Myntra and partner stores, enhancing your overall shopping experience.
Fuel Surcharge Waiver: 1% fuel surcharge waiver on transactions between INR 400 and INR 4,000, up to INR 100 per month.
Easy Cashback Redemption: Cashback earned is automatically credited to your card account, simplifying the process of redeeming rewards.
Security Features: Advanced fraud detection and EMV chip technology ensure secure online transactions, providing peace of mind while shopping online.
Lifestyle Benefits: Access to special events, fashion shows, and curated shopping experiences, thanks to the complimentary Myntra Insider membership.
Ideal For
The Myntra Kotak Credit Card is perfect for fashion lovers who frequently shop on Myntra and other lifestyle platforms. With its high cashback rates, exclusive discounts, and additional lifestyle benefits, it offers exceptional value and a premium shopping experience.
Best credit card for grocery shopping in India: Tata Neu Infinity Credit card, Tata Neu Plus credit card
Tata Neu Infinity or Tata Neu Plus Credit cards are best for grocery shopping in India.
Key Features
The Tata Neu Infinity Credit Card is designed for those who seek a holistic shopping and rewards experience. Here are the key features that make this card stand out:
5% NeuCoins: Earn 5% NeuCoins on all Tata brand purchases, including Tata Neu, BigBasket, Croma, and more.
2% NeuCoins: Earn 2% NeuCoins on all other purchases, ensuring rewards on every transaction.
Welcome Benefits: Receive 1,499 NeuCoins as a welcome bonus upon card activation.
Milestone Benefits: Earn additional NeuCoins for reaching spending milestones, providing extra incentives for high spenders.
Complimentary Airport Lounge Access: Enjoy complimentary access to domestic airport lounges, enhancing your travel experience.
Instant Issuance: Digital card issuance for immediate use once approved, perfect for those eager to start earning rewards right away.
Fees
Understanding the fees associated with the Tata Neu Infinity Credit Card is crucial for evaluating its overall value:
Annual Fee: INR 1,499, which is competitive given the comprehensive benefits. The fee is waived off if annual spending exceeds INR 1 lakh.
Joining Fee: INR 1,499, which is offset by the welcome bonus of NeuCoins.
Interest Rate: Standard interest rates on revolving credit, generally around 3.5% per month.
Late Payment Fee: Ranges from INR 100 to INR 1,300, depending on the outstanding balance.
Foreign Transaction Fee: 3.5% of the transaction amount, applicable on international spends.
Benefits
The Tata Neu Infinity Credit Card offers a range of benefits designed to enhance your overall shopping and rewards experience:
Comprehensive Credit Card Benefits: With up to 5% NeuCoins on Tata brand purchases, this card offers significant rewards for loyal Tata brand shoppers, making it one of the top credit card features.
Universal Acceptance: Accepted at all merchants that accept Visa, both online and offline, in India and globally.
Travel Benefits: Complimentary airport lounge access adds convenience and comfort to your travel.
Easy Redemption: NeuCoins can be easily redeemed for a wide range of products and services within the Tata ecosystem, including electronics, groceries, and travel.
Fuel Surcharge Waiver: 1% fuel surcharge waiver at all fuel stations across India on transactions between INR 400 and INR 4,000.
Security Features: Equipped with advanced fraud detection and EMV chip technology to ensure secure transactions.
Lifestyle Benefits: Access to exclusive Tata brand offers, discounts, and promotions, enhancing your shopping experience across multiple categories.
Ideal For
The Tata Neu Infinity Credit Card is perfect for those who regularly shop within the Tata ecosystem and seek a card that offers comprehensive benefits, high reward rates, and travel perks. With its competitive fees and extensive benefits, it provides excellent value for a variety of spenders.
How to Maximize Your Credit Card Benefits?
Ready to supercharge your credit card perks? Follow these methods to maximize your credit card benefits:
Tips for Earning More Rewards and Cashback
Choose the Right Card: Match your card to your spending habits.
Utilize Bonus Categories: Take advantage of rotating and special promotion categories.
Pay Bills with Your Card: Earn rewards on utilities and subscriptions.
Track Your Spending: Ensure you meet thresholds for bonus rewards.
Maximize Everyday Purchases: Use your card for daily expenses like fuel and dining.
Strategies for Safe Online Shopping
Use Secure Websites: Look for HTTPS and padlock icons.
Enable Alerts: Monitor transactions for suspicious activity.
Use Virtual Card Numbers: Protect your actual card details.
Update Passwords Regularly: Use strong, unique passwords.
Avoid Public Wi-Fi: Use secure connections for purchases.
Using Card Offers and Bonuses Effectively
Track Offers: Stay updated on the latest promotions.
Maximize Sign-Up Bonuses: Time large purchases to meet spending requirements.
Leverage Partner Discounts: Use your card at partner merchants for extra rewards.
Redeem Smartly: Choose high-value options like travel points or statement credits.
Combine Offers: Stack credit card deals with other discounts.
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When you shop in any of the 160+ stores, you can avail bank card offers right inside the app.
Moreover, you can also share credit card and debit card offers with your friends inside the app and also see card offers on your friend's card. This way you get to avail all offers and never miss out on any potential extra savings!
All this comes with top-tier security measures, so it’s a complete win-win!
How to Choose the Best Credit Card for Online Shopping? [Checklist]
Following this checklist can help choose the best credit card for online shopping:
✅Check Your Credit Score
Before applying for a credit card, check your credit score.
A higher credit score usually qualifies you for better rewards and benefits.
✅Identify Your Needs
Consider your spending habits and lifestyle.
Choose a card that aligns with your specific needs (rewards, low interest, or credit-building).
✅Ask the Right Questions
Inquire about fees, interest rates, bonus categories, and credit tools.
✅Evaluate Overall Value
Compare benefits, rewards, and fees to find the best fit.
Secure Shopping Tips with your Credit Card
🔏Shop on Secure Websites. Look for the padlock symbol (🔒) in the address bar.
🚫Avoid unencrypted or suspicious websites.
💪Use Strong Passwords. Create unique, complex passwords. Consider a password manager.
🔐Enable Two-Factor Authentication (2FA). Add an extra layer of security during login.
🗃️Monitor Your Accounts Regularly. Check credit card statements for unauthorized transactions.
📶Avoid Public Wi-Fi for Sensitive Transactions. Public Wi-Fi can be insecure.
🔕Be Cautious with Emails and Links. Phishing emails may trick you—don’t click suspicious links.
Frequently Asked Questions (FAQs) About Using Credit Cards for Online Shopping
Which is the best credit card for online transactions?
The best card depends on your shopping habits and preferences. SBI Cashback is often recommended for its comprehensive benefits.
What is the best card to use for online purchases?
Amazon ICICI is great for cashback, while Amex MRCC excels in rewards points.
Which credit card is best with no charges?
Lifetime-free credit cards like Amazon ICICI, Axis Neo, Tata Neu plus are some great credit card to have.
Which type of credit card is best?
It varies by need: cashback, rewards, security, or no annual fee cards each have their strengths.
Is it good to use credit card for online shopping?
Yes, given the convenience, rewards, and enhanced security features, using credit card for online shopping is good.
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