Synopsis: FD-backed credit cards in India let you earn steady interest on your fixed deposit while building credit without income proof. Here are the top 5 credit cards offering competitive interest rates and easy approval process
Most banks check your credit score before they approve an FD credit card. If you have little to no credit history, a low credit score or an unstable income, getting an FD credit card can be really hard. In that situation FD-backed credit cards work as an alternative because they are issued against a fixed deposit and carry lower risk, for the bank that gives you the FD credit card.
What are FD Credit Cards?
An FD (Fixed Deposit) credit card is a type of secured credit card that is issued against a fixed deposit you place with the bank. The FD acts as a safety net, which is why even people with little or no credit history can easily get one without needing income proof. In most cases, you can use around 80–90% of your FD as your credit limit, while your deposit continues to earn interest in the background.
- It is ideal for students, freelancers, or beginners to start building a credit score by making regular payments.
- As it is secured by an FD, approval is instant with no income proof or detailed credit checks.
- The collateral fixed deposit continues to earn interest for the holder.
- It acts as a ready credit line, ensuring liquidity while keeping the safety of the FD intact.
- Similar to regular credit cards, they offer rewards, cashback, and sometimes fuel benefits or lounge access.
- Some cards offer features like zero forex markup on international spending.
Top 5 FD Credit cards that offer high interest rate
1. IDFC FIRST WOW Credit Card
This card lets your FD earn around 6-7.25% annually and gives you up to 100% of your FD as a credit limit, which is quite generous. It’s lifetime free and stands out with features like zero forex markup on international spends, reward points on most transactions, fuel surcharge waiver, and personal accident cover, making it a strong all-rounder.
To apply for this card, please visit the Official Website
2. Rupicard FD Credit Card
Rupicard offers up to 7% per annum on your FD, making it one of the higher-yield options among newer platforms. It’s easy to get started with a low minimum FD (₹5,000) and provides around 90% credit limit, along with cashback-style rewards, app-based control, and a simple onboarding process, making it ideal for beginners.
3. SBM ZET Credit Card
This card is issued by SBM Bank India in partnership with ZET and is designed to make credit access simple, especially for beginners. Your FD earns up to 7% interest annually, and you can use around 90% of it as your credit limit. It’s completely lifetime free, requires no income proof, and supports UPI payments with cashback and discounts on popular brands, making it a convenient option for everyday spending while building your credit score.
To apply for this card, please visit the Official Website
Also read: IndusInd Tiger Credit Card: Earn 2.4% Back on Every ₹100 Spent — Here’s How
4. Stable Money Suryoday Bank Credit Card
This card is backed by Suryoday Small Finance Bank and is known for offering relatively higher FD interest rates compared to most traditional banks, often going up to around 8.25%+ depending on tenure. You can usually get a credit limit of about 85–90% of your FD, and the entire process is made simple through Stable Money’s app. What makes it appealing is that your money continues to earn better returns while you build your credit score, making it a practical choice if you want both growth and convenience.
To apply for this card, please visit the Official Website
5. SBI Unnati Credit Card
Linked to SBI’s FD rates 6–7% annually, this is a simple and trusted option, especially for first-time users. It offers fee waiver for the first few years, basic reward points, fuel surcharge waiver, wide acceptance across India, and easy upgrade options, helping you build your credit history without complications.
Comparison Table
Conclusion
FD-backed credit cards can be a really helpful starting point if getting a regular credit card feels out of reach. At the end of the day, the right card depends on what works best for you whether that’s higher returns, a lower starting deposit, or simple, easy-to-use features. Used wisely, it’s not just a card, but a stepping stone to building a strong credit history over time.
Written by Shreya Tiwari
