What is RuPay Credit Card? Benefits, Types, and How to Apply

RuPay is a payment system developed in India by the National Payments Corporation of India (NPCI). It works just like other major payment services, such as VISA, MasterCard, or American Express. RuPay is widely accepted across India and is now being used in several other countries too.

Payment service providers have strong networks that connect with banks worldwide, making them widely accepted across different countries. These providers have the licenses to operate globally, making them a reliable option for international transactions.

For a long time, American companies dominated the market for payment services. However, RuPay was introduced by the Reserve Bank of India and the Indian government to compete in this space. With the government forming partnerships with various countries, RuPay's presence is growing rapidly.

In this article, we’ll look at some of the best RuPay credit cards available today, so let’s get started.

What is a RuPay Credit Card?

RuPay is a homegrown payment system in India, with its name coming from the combination of 'Rupee' and 'Payment'. It allows banks or card issuers to offer RuPay debit and credit cards as an option for payments. The RuPay network is backed by 10 major banks in India, including State Bank of India, Bank of India, Punjab National Bank, Canara Bank, Bank of Baroda, Union Bank of India, HSBC, and HDFC Bank.

RuPay has formed partnerships with more than 600 banks across the country, covering both local and international banks. In 2016, 56 additional banks joined the network, further extending its reach into various sectors. One of the main benefits of RuPay credit cards is that they can be linked to UPI, which makes payments easy for both online and everyday use. Since UPI is widely accepted, from local shops to big retailers, having a RuPay credit card gives you the option to use credit for even small purchases.

Types of RuPay Credit Card

1. RuPay Platinum Credit Card

   The RuPay Platinum Credit Card is designed to enhance everyday spending for users. It offers special deals and benefits through partnerships with different merchants across various categories. With this card, cardholders can enjoy a wide range of perks with every purchase, making everyday transactions more rewarding.

2. RuPay MSME Credit Card

   The RuPay MSME Credit Card was launched as a pilot initiative by the Ministry of Micro, Small, and Medium Enterprises (MSME) and the National Payment Corporation of India (NPCI). This card is aimed at supporting MSMEs that are registered under Udyam. It helps small businesses manage their financial transactions, like making digital payments, paying utility bills, and handling tax payments more easily. This card gives MSMEs a simple way to handle their business expenses.

3. RuPay Classic Credit Card

   The RuPay Classic Credit Card offers users special deals and discounts at select merchants. As an Indian-developed card, RuPay operates on a local payment gateway, making it a widely accepted option within the country.

4. RuPay Select Credit Card

   The RuPay Select Credit Card is a premium option, offering additional lifestyle benefits. As part of the NPCI (National Payments Corporation of India) program, cardholders can enjoy exclusive offers listed on the NPCI website, making it a card that caters to a more enhanced and enriched lifestyle.

   In addition to these, there are also several co-branded RuPay credit cards available in India. These cards come with various benefits like cashback on your purchases and free access to airport lounges.

Benefits of RuPay Credit Card

1. Lower Transaction Fees

   When merchants accept RuPay cards, they usually pay lower transaction fees than they would with international networks like Visa or Mastercard. This is important because lower costs encourage more businesses to accept RuPay, making it more widely used.

2. Easy UPI Payments

   One of the biggest advantages of RuPay credit cards is the ability to use them with UPI apps. This feature makes it easy and safe to make online payments. Many people find this convenient, leading to an increase in new users signing up for RuPay cards.

3. Wider Acceptance

   RuPay has been growing steadily, and today, you can use RuPay credit cards not just in India but also in many places around the world. This means cardholders can shop at various stores and online platforms with ease.

4. Made for Indians

   RuPay cards are designed specifically for Indian consumers. They offer features and services tailored to meet local needs, allowing for greater customisation and flexibility.

5. No Maintenance Fees

   A significant advantage of RuPay credit cards is that many of them come without joining or annual fees. This makes them an appealing choice for many people in India, especially those looking for cost-effective options. Additionally, RuPay credit cards generally have lower interest rates, which adds to their affordability.

6. Offers and Deals

   When looking at RuPay credit cards, you'll find plenty of attractive offers. These cards come with various deals, such as cashback on purchases and special travel discounts, making them a great choice for savvy shoppers.

7. Insurance Coverage

   One of the unique perks of RuPay credit cards is the insurance coverage they may offer. Some premium cards include complimentary insurance for events like accidental death, hospitalisation, or if your card gets lost. This extra layer of protection can give you peace of mind.

8. Security Features

   Security is a top priority for RuPay credit cards. They come equipped with advanced features like EMV technology, two-factor authentication (2FA), and SMS alerts for transactions. These measures help keep your information safe. Additionally, RuPay cards often provide tailored rewards programs and further security options, focusing on the needs of Indian consumers.

9. Better Access to Services

   RuPay cards help bring various payment options and services closer together for people in India. With these cards, customers can easily use services like ATMs, and online banking, and request credit products across different banks.

10. Reaching New Customers

    RuPay cards allow banks to reach out to new groups of people in India who may not have had access to banking services before. By offering these cards, financial institutions can introduce more people to digital banking, making it easier for them to manage their money.

Uses of RuPay Credit Card

RuPay credit cards offer several benefits that make them convenient for users:

1. UPI Payments: You can link RuPay credit cards to UPI apps, making it easy to make payments directly from your phone. This feature allows for quick transactions and helps avoid long lines.
2. Fuel Surcharge Waiver: When you use a RuPay credit card to buy fuel at Indian gas stations, you can enjoy a 1% waiver on fuel surcharges each month. This can help you save a little money on your fuel expenses.
3. Reward Points: Many RuPay credit cards let you earn reward points for every purchase. For instance, the IDFC FIRST Bank RuPay card gives you three times the reward points for transactions over ₹3,000, making it a great choice for larger purchases.
4. Lounge Access: Holders of RuPay Platinum and Select Debit Cards can enjoy free access to select lounges. This benefit allows for two visits per quarter at domestic lounges and two visits per year at international ones.
5. BookMyShow Discounts: Some RuPay credit cards offer discounts on movie tickets when you book through the BookMyShow platform, giving you a little extra value for your entertainment.
6. Concierge Services: If you hold a RuPay debit card, you can access 24/7 concierge services throughout India. These services include things like gift delivery, courier assistance, reservations, and investment advice.

Overall, RuPay credit cards are also budget-friendly, with low annual fees and joining costs, making them an attractive option for many users.

How to Select the Best RuPay Credit Cards

Choosing the right RuPay credit card involves looking at several factors to make sure the card fits your financial situation and spending habits. Here are some tips to help you pick the best one:

1. Understand Your Needs and Goals

   Start by figuring out why you want a credit card. Are you interested in cashback rewards, travel benefits, or keeping your interest rates low? Knowing your goals will help you narrow down your options.

2. Check Annual Fees and Other Charges

   Look into the annual fee and any other costs associated with the card. Compare these expenses to the benefits you could receive, like rewards or discounts, to see if the perks are worth the fees.

3. Know Your Credit Limit and Eligibility

   Review your credit score and find out if you’re eligible for the card. If you tend to spend a lot, you might want a card with a higher credit limit. On the other hand, a lower limit can help you keep your spending in check.

4. Look at Interest Rates

   Pay attention to the interest rates on the card. If you plan on carrying a balance, choosing a card with lower interest rates can save you money in the long run.

5. Explore Rewards and Benefits

   Take a close look at the rewards and benefits offered by each card, like cashback, discounts, or travel perks. Choose a card that gives you features that matter to you and offer real value.

6. Know Your Redemption Options

   Understand how you can use the rewards you earn. Some cards offer flexible ways to redeem rewards, while others have specific rules. Pick a card that provides easy and attractive redemption choices.

7. Check the Grace Period and Billing Cycle

   Consider the grace period, which is the time you have to pay your balance without incurring interest. A longer grace period can help you manage your payments better.

8. Read the Terms and Conditions

   Make sure to read the card's terms and conditions carefully. This includes late payment fees and any other penalties. It's important to be comfortable with these terms before you commit.

9. Look at RuPay Network Acceptance

   Find out where the RuPay network is accepted, especially in places you often visit. While RuPay cards are widely accepted in India, their use internationally is growing but may still be limited in some areas.

10. Consider Customer Support

    Think about the quality of customer service offered by the bank issuing the card. Good customer support can be very helpful if you run into problems or have questions about your card.

11. Compare Different RuPay Cards

    Finally, it’s a good idea to compare several RuPay credit card options from various banks. Use comparison websites to help you find the card that best meets your needs.

By considering these factors, you can choose a RuPay credit card that works well for you.

How To Apply for a RuPay Credit Card?

Wondering how to apply for a RuPay credit card? It’s a simple process that you can mostly complete online from home. Here’s a step-by-step guide on how to get started:

1. Visit the Bank's Website: Go to the official site of the bank that offers RuPay credit cards, such as Freo Money, SBI, or HDFC. You can also check the official RuPay website for more information.
2. Choose Your Card: Look through the different RuPay credit card options available. Each card has its own set of benefits and features, so pick one that best meets your needs.
3. Check Your Eligibility: Make sure you meet the eligibility requirements for the card. Generally, you should be at least 18 years old, have a stable income, and maintain a good credit score.
4. Complete the Application Form: Fill out the online application form. You’ll need to provide details about yourself, your job, and your finances.
5. Upload Required Documents: You’ll need to submit several documents as part of your application. These usually include:
   • Proof of Identity (POI): You can use documents like your passport, PAN card, voter ID, or driving license.
   • Proof of Address (POA): This could be a utility bill (like electricity or water), a rental agreement, or your passport.
   • Income Proof: If you’re salaried, include recent salary slips or bank statements. If you’re self-employed, you might need your income tax returns or business registration documents.

   Optional documents can include your employer’s details (like a company ID) if you are salaried, or business ownership papers if you are self-employed.

6. Wait for Approval: After submitting your application, the bank will review it to assess your creditworthiness. This process might take a few days to a couple of weeks.
7. Receive Your Card: If your application is approved, the bank will send your RuPay credit card to your registered address. This usually happens within 10 to 15 business days.

Following these steps can help you easily apply for a RuPay credit card and get access to its benefits.

Best RuPay Credit Cards of 2024

1. YES BANK Freo Credit Card

   The YES BANK Freo Credit Card is a partnership between YES BANK and FREO, designed to make payments easier for users. With this card, you can enjoy contactless payments and virtual transactions. It offers reward points for UPI and online purchases, making it a great choice for those who shop online. Plus, it includes a quick loan option and allows for contactless transactions. Another advantage is that there’s no annual membership fee for the first year, making it a budget-friendly option to consider.

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2. Bank of Baroda Premier RuPay Credit Card

   The Bank of Baroda Premier RuPay Credit Card is perfect for those who travel often and enjoy shopping. This card offers benefits like free access to airport lounges and lets you earn 5X reward points on travel and international purchases. Plus, you get a welcome bonus of 500 reward points when you sign up.

3. IDFC First Power RuPay Select Credit Card

   The IDFC First Power RuPay Select Credit Card has appealing features. Its low annual fee is often waived if you spend a minimum amount. Another great perk is that there are no extra charges for foreign transactions, making it a good choice for anyone who makes occasional purchases abroad.

4. Yatra SBI Card

   The Yatra SBI Card is a special credit card linked with Yatra.com. When you sign up, you receive vouchers as a welcome gift. For every ₹100 you spend, you earn reward points that can be redeemed for discounts on Yatra.com. The card also offers travel benefits like discounts on flights and hotels, along with complimentary air accident coverage and waivers on fuel surcharges.

5. ICICI Coral RuPay Credit Card

   The ICICI Coral RuPay Credit Card is designed for everyday use and comes with various benefits. You can earn reward points, enjoy cashback, and access discounts and airport lounges. The annual fee for this card is ₹500 plus GST. To qualify, you need to be an Indian citizen, at least 21 years old, and provide proof of income and identity.

6. PNB RuPay Select Credit Card

   The PNB RuPay Select Credit Card could be a smart option for you. It features a rewards program that gives bonus points on regular shopping, especially for retail purchases. In addition to rewards, the card provides complimentary access to airport lounges, cashback offers across different categories, and solid insurance coverage.

7. HDFC MoneyBack+ RuPay Credit Card

   The HDFC MoneyBack+ RuPay Credit Card is a great choice for earning cashback. It offers a flat cashback rate on all purchases and bonus rewards for online spending. Food lovers will appreciate the exclusive dining discounts available through the Good Food Trail program and Swiggy Dineout.

Frequently Asked Questions (FAQs)

1. What is the cash withdrawal limit for a RuPay credit card?

   The cash withdrawal limit for a RuPay credit card varies by bank. Generally, banks set a specific amount you can withdraw, depending on your credit limit and the bank’s policies.

2. Can you use RuPay cards for international transactions?

   RuPay cards are primarily designed for use within India. While some RuPay cards may work internationally, most are limited to domestic use. It's best to check with your bank for specific details on international acceptance.

3. What are the fees and charges associated with a RuPay credit card?

   Fees and charges for using a RuPay credit card can differ between banks. Common charges may include annual fees, late payment fees, and cash withdrawal fees. It’s best to check with your bank for specific details.

4. Which banks issue RuPay credit cards?

   Many banks in India offer RuPay credit cards. Some of the popular banks include State Bank of India, HDFC Bank, and Axis Bank, among others. Each bank may have different features and offerings.

5. Is a RuPay credit card better than a Visa card?

   Whether a RuPay credit card is better than a Visa card depends on your needs. RuPay cards often have lower fees and are widely accepted in India, while Visa cards may offer more features for international transactions and travel.

6. Is there any cost for a RuPay credit card?

   Some RuPay credit cards may have no annual fee, while others might charge one. It’s important to look at the details from your bank to understand any costs associated with the card.