In 2025, the demand for secured credit cards in India is soaring as financial literacy grows and more people seek accessible ways to build their credit without traditional income proof. Whether you’re a student, freelancer, homemaker, or someone rebuilding your credit score, FD-backed credit cards offer a low-risk, high-reward solution.
These cards, secured against fixed deposits, provide easy approval, help establish a strong credit history, and align with the evolving financial landscape in India. With new RBI guidelines emphasizing responsible lending, secured credit cards are a smart choice for first-time applicants or those with low CIBIL scores. In this guide, we’ll explore the best secured credit cards in India for 2025, their features, eligibility, and how they can help you achieve financial credibility.
What is a Secured Credit Card?
A secured credit card is a type of credit card backed by a fixed deposit (FD) that acts as collateral. Unlike unsecured cards, which rely on income proof and credit history, credit cards against FD are issued based on the deposit amount, reducing the bank’s risk. The credit limit is typically 70-90% of the FD value, and the FD continues to earn interest while pledged.
How It Works
- You open an FD with the bank (minimum amounts vary, starting as low as ₹2,000).
- The bank issues a credit card with a credit limit linked to the FD.
- You use the card for purchases, and timely repayments build your credit score.
- In case of default, the bank recovers dues from the FD.
Why It’s Useful
Secured credit cards are ideal for beginners or those with no credit history. They offer a practical way to enter the credit system, make purchases, and build a strong CIBIL score without needing income proof.
Why Choose a Secured Credit Card in 2025?
The credit landscape in India is evolving rapidly, with increasing awareness of credit scores and financial inclusion. Here’s why secured credit cards are a top choice in 2025:
- Easier Approval: No income proof or high CIBIL score is required, making these credit cards without income proof accessible to students, freelancers, and homemakers.
- RBI Guidelines: Recent RBI regulations emphasize responsible lending, encouraging banks to offer secured credit options to reduce risk.
- Build Credit History: Regular use and timely repayments help improve your CIBIL score, opening doors to unsecured cards and loans.
- Low Risk for Banks: The FD acts as collateral, ensuring banks can recover dues, which leads to higher approval rates.
With India’s digital lending platforms growing, FD-backed credit cards are a hassle-free way to access credit while keeping your savings intact.
Top 7 Secured Credit Cards in India for 2025
Here are the best secured credit cards in India for 2025, each designed to help you build your credit score while offering rewards and benefits.
SBI Advantage Plus Card
- Minimum FD Required: ₹25,000
- Credit Limit: Up to 85% of FD amount
- Fees: Annual fee of ₹500; no joining fee
- Key Features:
- 1% fuel surcharge waiver (transactions between ₹500-₹3,000)
- Reports to CIBIL, helping build your credit score
- Low interest rate of 2.25% per month
- Global acceptance at Visa/Mastercard merchants
- Best For: Those seeking a low-cost card with fuel benefits.
ICICI Bank Coral Credit Card (Secured)
- Minimum FD Required: ₹50,000
- Credit Limit: Up to 90% of FD amount
- Fees: Zero annual fee for the first 4 years
- Key Features:
- 25% discount (up to ₹100) on movie tickets via BookMyShow (twice monthly)
- 2 reward points per ₹100 spent (except fuel)
- Contactless payments for secure transactions
- Helps build credit with CIBIL reporting
- Best For: Entertainment lovers and those with higher FD budgets.
Axis Bank Insta Easy Card
- Minimum FD Required: ₹20,000
- Credit Limit: Up to 80% of FD amount
- Fees: Annual fee of ₹500; no joining fee
- Key Features:
- 5% cashback on utility bill payments via Google Pay
- 15% cashback (up to ₹500) on first Myntra transaction
- Reports to credit bureaus for score improvement
- Add-on cards for family members
- Best For: Online shoppers and utility bill payers.
HDFC Bank MoneyBack+ Secured
- Minimum FD Required: ₹15,000
- Credit Limit: Up to 90% of FD amount
- Fees: Annual fee of ₹500; no joining fee
- Key Features:
- 2 reward points per ₹150 spent
- SmartEMI option to convert purchases into installments
- Builds credit score with timely repayments
- FD continues to earn interest
- Best For: Beginners looking for rewards and EMI flexibility.
AU Bank Altura+ (Against FD)
- Minimum FD Required: ₹10,000
- Credit Limit: Up to 90% of FD amount
- Fees: No annual or joining fee
- Key Features:
- 1% cashback on all transactions
- 1% fuel surcharge waiver (₹200-₹5,000 transactions)
- Reports to CIBIL for credit score improvement
- Contactless payments
- Best For: Budget-conscious users seeking no-fee cards.
IndusInd Bank Secured Credit Card
- Minimum FD Required: ₹25,000
- Credit Limit: Up to 70% of FD amount
- Fees: Annual fee of ₹500
- Key Features:
- 1 reward point per ₹100 spent
- 1% fuel surcharge waiver (₹500-₹3,000 transactions)
- EMI conversion for purchases above ₹2,500
- Helps build credit with responsible use
- Best For: Those seeking flexible EMI options.
Bank of Baroda Prime Card
- Minimum FD Required: ₹15,000
- Credit Limit: Up to 90% of FD amount
- Fees: No annual or joining fee
- Key Features:
- 0.5% cashback on all transactions
- Reports to credit bureaus for CIBIL score building
- Interest-free credit up to 50 days
- Secure contactless transactions
- Best For: Cost-conscious users wanting lifetime-free cards.
How to Apply for a Secured Credit Card in India
Applying for a secured credit card India is straightforward and requires minimal documentation. Here’s the typical process:
- Choose a Bank: Select a bank offering FD-backed credit cards that suits your needs.
- Open an FD: If you don’t have an existing FD, open one with the minimum required amount (e.g., ₹10,000–₹50,000).
- Submit Application: Visit the bank’s website or branch, fill out the application form, and pledge your FD as collateral.
- Provide KYC Documents: Submit identity proof (Aadhaar, PAN, etc.) and address proof.
- Await Approval: Approval typically takes a few days to two weeks, with instant approvals available for existing FD holders.
Documents Required
- Aadhaar card or other identity proof
- PAN card
- Address proof (utility bill, passport, etc.)
- FD account details
Minimum FD Amount
The minimum FD varies by bank, ranging from ₹2,000 (e.g., SBM Bank) to ₹50,000 (e.g., ICICI Bank). Always check the bank’s specific requirements.
Who Should Get a Secured Credit Card?
Secured credit cards are perfect for:
- First-Time Applicants: Students or recent graduates with no credit history can start their credit journey with a credit builder card India.
- Low Credit Score Holders: Individuals with poor or no CIBIL scores can rebuild credit through responsible usage.
- Freelancers/Self-Employed: Those without regular income proof can leverage FDs to access credit.
- NRIs: Non-residents looking to establish an Indian credit profile can use FD-backed cards (offline application required).
These cards are a stepping stone to unsecured credit cards and other financial products, making them ideal for anyone aiming to build credit score India.
Secured vs. Unsecured Credit Cards
| Criteria | Secured Card | Unsecured Card |
|---|---|---|
| Approval Based On | Fixed Deposit | Income/Credit History |
| Risk | Low (FD as collateral) | High (no collateral) |
| Credit Limit | 70-90% of FD amount | Based on income/score |
| Ideal For | New users, low CIBIL score | Regular salaried users |
| Fees | Low or no annual fees | Higher fees |
Secured credit cards are easier to obtain and carry lower risk, making them perfect for beginners. However, they may offer fewer rewards compared to premium unsecured cards.
Final Thoughts
The best secured credit cards in India for 2025 offer a gateway to financial freedom for those with limited or no credit history. Cards like the SBI Advantage Plus, ICICI Bank Coral Secured, and AU Bank Altura+ stand out for their low fees, attractive rewards, and ability to build credit score India.
By using these FD-backed credit cards responsibly, you can establish a strong CIBIL score, paving the way for unsecured cards and loans in the future. With India’s credit landscape evolving and RBI guidelines promoting responsible lending, 2025 is the perfect year to start your credit journey with a credit card without income proof. Choose a card that aligns with your financial goals and start building your credit today!
For more tips, check out our guides on How to Improve Your CIBIL Score in 30 Days and Best Credit Cards in India for Beginners.
FAQs
1. What is a secured credit card, and how does it differ from an unsecured card?
A secured credit card is backed by a fixed deposit (FD) that acts as collateral, making it easier to get approved without income proof or a high credit score. Unlike unsecured cards, which rely on your income and credit history, secured credit cards in India have lower risk for banks, as they can recover dues from the FD. They’re ideal for beginners or those looking to build credit score India.
2. Who can apply for a secured credit card in India?
Anyone with a fixed deposit can apply, including:
- Students or young professionals with no credit history
- Individuals with low or no CIBIL scores
- Freelancers or self-employed individuals without income proof
- NRIs looking to establish a credit profile in India
These credit cards against FD are designed for easy approval.
3. What is the minimum FD required for a secured credit card?
The minimum FD varies by bank, typically ranging from ₹2,000 (e.g., SBM Bank) to ₹50,000 (e.g., ICICI Bank). Most banks, like SBI, Axis, and HDFC, require ₹15,000–₹25,000. Check with the bank for exact amounts.
4. Can I earn interest on my FD while it’s pledged for a secured credit card?
Yes, your FD continues to earn interest as per the bank’s FD rates, even when pledged for a credit card against FD. This makes FD-backed credit cards a win-win, as your savings grow while you build credit.
5. How does a secured credit card help build my credit score?
Using a secured credit card India responsibly—making timely payments and keeping credit utilization low—ensures positive reporting to credit bureaus like CIBIL. Over time, this improves your credit score, helping you qualify for unsecured cards or loans.
6. Are there any fees associated with secured credit cards?
Most secured credit cards have low or no annual fees. For example, AU Bank Altura+ and Bank of Baroda Prime are lifetime-free, while SBI Advantage Plus and Axis Insta Easy charge ₹500 annually. Always check the fee structure before applying.
7. Can I get rewards or cashback with a secured credit card?
Yes, many FD-backed credit cards offer rewards, such as:
- SBI Advantage Plus: 1% fuel surcharge waiver
- ICICI Coral Secured: 25% movie ticket discount
- AU Bank Altura+: 1% cashback on all spends
Check the card’s features for specific rewards.
8. What happens if I miss a payment on my secured credit card?
If you miss a payment, the bank may deduct the outstanding amount from your FD. This could reduce your FD balance or lead to the closure of your FD. Missed payments also negatively impact your CIBIL score, so timely repayment is crucial.
9. Can I upgrade from a secured to an unsecured credit card?
Yes, after 6–12 months of responsible usage (timely payments, low credit utilization), many banks offer the option to upgrade to an unsecured card. This depends on your improved CIBIL score and the bank’s policies.
10. Are secured credit cards safe to use?
Yes, secured credit cards are safe, as they’re issued by reputable banks and come with features like contactless payments and fraud protection. Since they’re backed by your FD, there’s no risk of over-borrowing beyond your credit limit.
For more details, explore our guides on How FD-Backed Credit Cards Work or visit the RBI’s official guidelines for the latest credit card regulations.