Turning 21 comes with a lot of excitement. You’ve got adulthood knocking at your door, but if you’re thinking about getting a credit card, you’ll quickly realize it’s not as simple as walking into a bank. Most credit cards in India come with a minimum age criterion of 21, but that doesn’t mean you’ll automatically be approved for one. If you’re dreaming of a high-limit credit card with killer perks, you need to work your way up strategically, and it all starts with the basics!
Here’s your thrilling roadmap to go from zero to hero in the world of credit cards.
Level 1: The Foundation – FD-Backed Credit Cards
To kick things off, you might not qualify for a traditional credit card, but that’s where FD-backed credit cards come into play. These are secure credit cards that require you to open a Fixed Deposit (FD) with the bank, and they give you a credit limit based on that deposit. It’s a smart way to start building your credit score without any risky commitments.
Here are some Top FD-Backed Credit Cards that are ideal for beginners:
– IDFC FIRST WOW: Great for low-income earners and students.
– Tata Neu HDFC FD-Backed Credit Card: Combines perks with security.
– SBM Credilo: Offers flexibility with a small FD.
– Axis Bank Insta Easy: Minimal FD amount and instant approval.
Once you get an FD-backed card, use it wisely. A golden rule: Keep your usage to 30% of the credit limit. Make your payments on time. And avoid making multiple credit card applications at once — this will hurt your credit score rather than help it. With responsible use, this will act as the stepping stone for building a strong credit score.
Pro Tip: Apps like KreditBee and SimpL offer short personal loans and BNPL (Buy Now, Pay Later) services. These tools can also contribute positively to your credit score when used responsibly.
Level 2: Moving Up – Co-Branded or Basic Credit Cards
After about 6 months of using your FD-backed card, your credit score should be in decent shape. Now it’s time to level up!
You can start applying for Co-Branded or Basic Credit Cards that often have lower joining and renewal fees. To make things easier, apply for a card from the same bank where you already have your FD-backed card. Banks are more likely to approve you when you’ve already shown them you’re a reliable customer.
Some great options include:
– HDFC Rupay Credit Card: Perfect for new credit card users.
– IDFC FIRST SWYP Credit Card: Designed for younger users.
– Axis Bank Neo Credit Card: Great for online shopping perks.
– SBI SimplySAVE Credit Card: Low fees and generous reward points.
– ICICI Platinum Chip Credit Card: Basic, but solid for building credit.
By this point, you’ll have an average to good credit score. Keep using your cards responsibly, and watch your offers improve over time.
Level 3: The Big Leagues – Premium Credit Cards & Upgrades
You’ve now reached the final stage, and things start to get exciting. After a year or so of responsible usage, banks will start offering you upgrades. If not, don’t be shy — reach out to customer service and ask for an upgrade. The key here is to go for cards that offer higher limits and better perks.
Some cards to aim for:
– HDFC Regalia: Known for travel perks and premium rewards.
– Axis Bank Magnus: Cashback on utility payments and services.
– SBI Prime Credit Card: High reward points and free memberships to streaming services.
– ICICI Sapphiro: Exclusive for high spenders, with luxury benefits.
Also, keep an eye on your spending patterns and salary. If you’re handling your credit well and showing steady growth in your income, banks will automatically start increasing your credit limit.
The Hidden Factor: Your Bank Account 🤫🤫🤫
Your savings account plays a bigger role than you think in your credit journey. Maintaining a healthy balance in your savings account shows banks that you’re financially stable and trustworthy. The more money you have in the bank, the more likely you’ll get better offers — sometimes without even asking for them!
So, keep your account active, avoid overdrafts, and don’t go below the minimum balance. A thriving savings account can lead to higher credit limits and better credit card options over time.
Private Banks vs. Government Banks: What Should You Choose?
Government banks have their advantages, but private banks often offer better customer service, quicker responses, and more benefits like higher credit limits and special offers. Look for private banks that provide free accounts or have low service fees to get the best of both worlds.
For a detailed comparison of government and private banks, check out [this detailed blog post]() to help you decide why having both types of accounts can be a smart strategy for your financial growth.
A Word on BNPL & Short-Term Loans
Need extra funds for quick expenses? Consider using BNPL (Buy Now Pay Later) options like SimpL or ZestMoney. These services help you split payments into smaller chunks, and regular repayment can further improve your credit score. For more extensive needs, KreditBee offers quick personal loans.
Both these options can be fantastic tools for managing expenses, but use them wisely. It’s easy to get carried away with short-term credit, and missing payments can hurt your credit score.
Wrapping It Up
Building a strong credit score isn’t a sprint — it’s a marathon. Start slow, be patient, and don’t get tempted by multiple applications or overusing your cards. By following the levels outlined here, you’ll position yourself to not just get good credit cards but also unlock premium offers that most people only dream of.
Remember to bookmark this page! This way, you can track your progress as you move through the stages of your credit journey. Plus, we’ll be constantly updating it with the latest bank products with best offers, so you can apply for the best options available according to your credit score and needs.
And one last tip: maintain a good balance in your savings account. Banks value trust, and the more stable your financial habits are, the more they’ll trust you with bigger, better opportunities.
Thank you for reading! Now go out there, build your credit responsibly, and make your way to the financial freedom you deserve. Happy spending — but remember, it’s always better to be a smart spender than just a spender.
Good luck and see you at the top!
