Synopsis: This article highlights the top 5 credit cards that offer exceptional rewards and cashbacks on every spend during your New Year shopping.
The holiday season encourages generous spending but it doesn’t have to strain your finances. New Years shopping – whether online, in-store, or tied to travel – offers an excellent opportunity to maximize the benefits of your credit card.
The right card for your festive expenses can turn into meaningful cashback, reward points, or travel benefits. Here is a guide to the best types of credit cards to consider for your holiday purchases.
Axis Bank ACE Credit Card
- Joining Fee: ₹499
- Annual Fee: ₹499 (waived on ₹2,00,000 spend or more)
Best For: Daily transactions and utility bills
Benefits:
- 5% cashback on select bill payments via Google Pay (where available; subject to updated category rules
- Capped at ₹500 on both 5% and 4% categories
- 1.5% cashback on all other eligible card spends (unlimited)
Good for holiday spending: If you are planning to spend on food delivery and rides. It’s a low-cost card that gives reasonable returns without needing big spending.
SBI Cashback Credit Card
- Joining Fee: ₹999+ taxes
- Annual Fee: ₹999+ taxes (waived at ₹2,00,000 spend annually)
Best For: Heavy online shoppers during festive sales
Benefits:
- 5% (up to) return on most online retail spends (capped at ₹5,000 monthly) (Several categories like rent, insurance and others do not qualify)
- 1% cashback on offline spends
- Automatic cashback credit
Good for holiday spending: As it has a percentage of return on purchases like gifts, clothes, gadgets and also travel bookings.
HDFC Bank Millennia Credit Card
- Joining Fee: ₹1,000+ taxes
- Annual Fee: ₹1,000+ taxes (waived at an annual spend of ₹1,00,000)
Best For: Shoppers and travellers
Benefits:
- Up to 5% CashPoints (equivalent to cashback value) on popular online platforms ( capped at 1,000 CashPoints per statement cycle.
- Gift voucher worth ₹1000 rewarded on a spend of ₹1 Lakh (per calendar quarter)
- 1% return as CashPoints on other purchases (capped at 1,000 CashPoints per statement cycle)
Good for holiday spending: This card mixes reward for both online shopping and travel. Thus, helping if the holiday plans are included with travel.
Also Read: 5 Best Credit Cards for Maximum Online Shopping Benefits in 2025
YES Bank Paisabazaar PaisaSave Credit Card
- Joining Fee: ₹0
- Annual Fee: ₹499+ taxes (waived at a sufficient spend)
Best For: Under Budget Shoppers
Benefits:
- 3% cashback on online spends
- 1.5% on offline spends (category-wise caps and UPI-linked usage conditions)
- 1% cashback on most other eligible spends
The benefits after 15th December 2025 are:
- 6% return on dining/travel spends (capped at ₹3,000 per month)
- Unlimited 1% cashback on other eligible spends (including UPI transactions)
- 1% Waiver on Fuel Surcharge (Up to ₹250)
Good for holiday spending: As this card allows the cardholder to keep their shopping spree under budget and also reward for online and occasional offline purchases.
Amazon Pay ICICI Credit Card
- Joining Fee: NIL
- Annual Fee: NIL
Best For: Those who shop often from Amazon
Benefits
- 5% return on purchases made on Amazon (for Prime members)
- 3% return on purchases made with the card (except for digital products and gift cards) on Amazon (non-Prime members)
- 1% surcharge waiver on all fuel spends
Good for holiday spending: This is best for Amazon shoppers and for the holiday season additional discount and cashback would help in saving some digits.
Conclusion
The right credit card for your holiday shopping would add on to real savings instead of extra financial pressure. If you are planning on shopping online and buying gifts from Amazon these cards might be helpful for you to earn meaningful cashback and rewards while you shop.
Written by Kenbi Riba
