Online shopping, travel, dining: Best credit cards for millennials Millennial customers should use the credit cards smartly and responsibly. Avoid overspending to earn bonus points and to waive off annual renewal fees.
June 14, 2022 / 09:54 AM IST
Millennials are known for having distinguished spending preferences. They would prefer online shopping over store visits, order food or dine out multiple times a month and would love to travel the world. Therefore, it’s important for millennials to opt for a credit card that fits their lifestyle and gives significant value back on their favourite spending categories. Keeping these things in mind, Paisabazaar has compiled the best credit cards for millennials in India.
Axis Bank | Flipkart Axis Bank Credit Card offers 5 percent cashback while shopping on Flipkart and Myntra and 4 percent cashback on preferred merchants (Uber, Swiggy, Clear trip, Tata Sky, 1 Mg). Besides cashback on spending, during the year a cardholder gets four domestic lounge access. The annual fee is Rs 500 on this credit card. The annual fee is waived off on spending Rs 2 lakh in a year.
Standard Chartered Bank | Standard Chartered DigiSmart Credit Card offers 10 percent off while shopping online at Blinkit. For shopping on Myntra cardholder gets 20 percent off once in a month, 20 percent discount up to Rs 750, while booking domestic flight tickets and 10 percent discount while booking international flight tickets upto Rs 10,000 on Yatra once in a quarter. It also offers 25 percent discount on domestic hotel bookings at Yatra up to Rs 4,000 for one transaction per quarter and other benefits. The monthly fee is Rs 49 (i.e. Rs 588 per annum) on this credit card. The monthly fee is waived off on spending Rs 5,000 in a calendar month.
HDFC Bank | HDFC Millenia Credit Card offers 5 percent cashback while shopping on Amazon, Flipkart, Myntra, Zomato, etc. It also offers 1 percent cashback on offline spends and wallet reload. The customers get 20 percent discount on partner restaurants via Dineout. During the year, a cardholder gets eight domestic lounge access (two in a quarter). This credit card has an annual fee of Rs 1000. It is waived off on spending Rs 1 lakh in a year.
HDFC Bank | HDFC Diners Club Privilege Credit Card offers complimentary yearly membership of Amazon Prime, Zomato Pro, Times Prime, etc. It offers 4 reward points for spending every Rs. 150, 2X reward points on dining during weekends and up to 10x reward points on spends via SmartBuy. There is a foreign currency transaction fees of 2 percent. It offers complimentary 12 airport lounge access in India and worldwide. The annual fee is Rs 2,500 on this card.
Citibank | Citibank Rewards Credit Card offers 10 reward points on spending Rs 125 on apparel and at department stores (online and in-store) and one reward point on spending Rs 125 on other categories. It offers up to 1,500 bonus points on your first spend made within 30 days of card issuance. The bank communicates an annual fee at the time of sourcing.
For millennial customers, this could be one of the first credit cards. You must have a disciplined approach to your credit behaviour. Once you get a credit card, it is critical that you use it smartly and responsibly. Since credit cards offer a significant interest-free period, there may be a tendency to overspend in multiple categories including shopping, traveling, dining and more. Avoid overspending to earn bonus rewards points and waive off annual renewal fees. If you spend more than you can repay and cannot pay your credit card bill timely, you will incur hefty interest charges ranging from 28 to 49 percent p.a. along with late payment fees.
Paisabazaar has compiled the best credit cards for millennials based on the rewards and benefits across multiple categories offered by each card compared to their annual fees. All credit card information is sourced and updated as of June 2, 2022. We have arranged these rewards credit cards according to the least annual fees.