Types of bank Credit Cards that you can apply for

Certain purchases online are easy to make using a credit card. If you want to book a room in a hotel, you can do it easily with a credit card. Why is it so? A hotel can authorize a transaction, without any charges at the time of booking, but can charge you after your stay without swiping the card. With a credit card, you can find this facility as the hotel can successfully have a certain amount blocked during the period of your stay, which is debited only when you check out. This ensures that their payment is secured.

A credit card has become essential for anyone, for it offers easy access to credit. People with reasonable income find a credit card convenient for they can buy things they want urgently now and pay later. Considering the varied wants of people, a credit card is so designed that there are different types of cards ranging from regular and premium to super premium cards offering high-quality lifestyle.

It says understanding a customer is profitable, and hence, most types of credit cards are meant to offer personalized experience through features such as unlimited reward points, frequent flyer points, etc. Here are some common types of credit cards to help you choose a suitable one.

Types of Bank Credit Cards

Regular Credit Cards

A regular credit card is one of the types of cards a bank offers to a customer with several features. For instance, IDFC FIRST Bank has the FIRST Classic Credit Card and FIRST Millenia Credit Card in this category. The cards offer numerous benefits such as discounts, complimentary railway lounge access, personal accident coverage, fuel surcharge waiver, and free roadside assistance.

They also offer gift vouchers on joining, interest-free cash withdrawals and cashback offers. You also get a lot of reward points on offline and online buying, which are redeemable anytime.

Premium Credit Cards
 

If you are looking for better lifestyle benefits and privileges, premium credit cards can offer you. IDFC FIRST Bank offers you the FIRST Select Credit Card with amazing reward points on buying online and offline and a higher credit limit. It also attracts lower forex mark-up fee on shopping internationally. The premium types of credit cards also offer airport and railway lounge access, discounts on dining at restaurants and health and wellness outlets, comprehensive travel insurance coverage, personal accident insurance, and more.

These types of credit cards also come with super saver benefits such as no interest on cash withdrawals, no fees on over-limit usage and reward redemption.

Super Premium Credit Cards
 

With these types of credit cards, banks serve special customers who are highly worthy and have used several of their services. For exclusive lifestyle experience, IDFC FIRST Bank offers the FIRST Wealth Credit Card with unique benefits. They include travel privileges of complimentary lounge and spa access at both domestic and international airports, low forex mark-up fee, air accident and personal accident coverage, complimentary lost card liability and travel insurance.

In addition, the super privileges include golf round lessons every month, discounts on shopping, dining and health check-ups and fuel surcharge waivers.

Co-branded Credit Cards
 

As for the types of credit cards, you can also find cobranded cards offered for specific purpose and usage. For instance, IDFC FIRST Power and FIRST Power + Credit Cards, co-branded with HPCL, offers rewards on fuel payments. By using this fuel credit card at HPCL outlets, customers can Save up to ₹7,000 annually, enough to buy 65+ litres of fuel.

Reward and Cashback Credit Cards
 

Reward credit cards are a financial tool that allows you to earn incentives for your spending. These cards typically offer points, cashback, or miles based on your purchases. Points can be redeemed for various rewards such as travel, gift cards, or merchandise. Cashback cards provide a percentage of your spending back as a cash reward, while miles cards accrue airline miles for future flights.

IDFC FIRST Bank Classic Credit Card is a perfect example of a reward credit card. It offers a never-expiring reward point of up to 10X Rewards on incremental spending of ₹20,000 or above and up to 6X rewards on spending below ₹20,000. You also get to enjoy attractive shopping discounts, low interest rates, insurance coverage, and no annual charges.

However, to maximise benefits, choose a card aligned with your spending habits and goals. Reward credit cards can offer substantial perks when managed wisely.

Travel Credit Cards
 

Travel credit cards are designed to meet your travel expenses such as trip and hotel bookings, offer rail and airport lounge access as well as travel insurance coverage to provide you with a hassle-free journey experience. They often come with rewards in the form of airline miles, hotel points, or flexible travel credits. These rewards accumulate with each purchase and can be redeemed for flights, hotel stays, rental cars, and other travel-related expenses.

Moreover, travel credit cards often waive foreign transaction fees, making them cost-effective for international spending. They may also provide additional benefits like travel concierge services, trip cancellation insurance, and lost luggage reimbursement. For instance, IDFC FIRST Bank Select Credit Card offers travel perks such as trip cancellation cover, airport and rail lounge access, luxury hotel collections, and airport transfers in 83 countries as well as an incredibly low markup fee for international transactions.

To select the best travel credit card, consider your travel habits, spending patterns, and the card's annual fee. However, with the IDFC FIRST Bank Select Credit Card, you don’t need to pay joining fee or annual membership charges.

When used wisely, travel credit cards can significantly enhance your travel experiences while saving you money on your journeys.

Business Credit Cards
 

Business credit cards are tailored cards for entrepreneurs, small business owners, and professionals for short-term borrowings. These cards are distinct from personal credit cards, offering benefits and features specifically designed to meet the needs of businesses.

Business credit cards provide a convenient way to separate personal and business expenses, simplifying bookkeeping and accounting. They often offer higher credit limits, allowing businesses to manage cash flow and make necessary purchases. Moreover, they provide detailed monthly statements that can help monitor expenses, track tax deductions, and simplify financial reporting.

These cards typically come with rewards programs, and some also provide benefits like purchase protection, extended warranties, travel insurance, and more. Additionally, business credit cards may offer employee cards with customisable spending limits, allowing for easy expense management within the organisation.

Secured Credit Cards
 

Unlike traditional unsecured credit cards, secured cards require a security deposit, which serves as collateral. The amount of the deposit often determines the credit limit, typically equal to or slightly higher than the deposit itself. For instance, IDFC FIRST Bank WOW! Credit Card is an FD-secured card that not only offers exciting shopping, lifestyle, entertainment, and travel benefits but also comes with no income verification or credit check requirements. Simply said, WOW! Credit Card is a credit card for all, allowing you to use at least 100% of your deposits as credit limits while earning a high interest rate on your fixed deposit.  

Secured credit cards are an excellent option for those looking to build or rebuild their credit. By responsibly using the card and making on-time payments, cardholders can demonstrate their creditworthiness to lenders. Over time, this can lead to an improved credit score, which opens doors to better credit card offers and loans.

Store Credit Cards
 

Store credit cards, often referred to as retail credit cards, are a distinct category of credit cards issued by specific retailers or store chains. These cards are designed to foster customer loyalty and increase sales within a particular brand or store. They achieve this by offering a range of unique incentives and benefits tailored to shoppers of that specific retailer.

One of the primary attractions of store credit cards is the exclusive rewards they provide. These rewards can take various forms, including discounts on purchases, cashback on store spending, loyalty points that can be redeemed for future purchases, or promotional financing offers that allow cardholders to make big-ticket purchases with zero or low-interest financing for a specified period.

The usability of store credit cards is often limited compared to general-purpose credit cards. Typically, store credit cards can only be used for transactions at the issuing retailer or its affiliated brands, although some may offer limited acceptance at other merchants.

However, these cards can also be easier to obtain for individuals with limited or fair credit history, serving as a potential tool for credit building or rebuilding. In addition to the financial benefits, store credit cards often offer store-specific perks to cardholders, such as early access to sales events, special discounts, or extended return policies.

Student Credit Cards
 

Student credit cards are designed to meet the unique needs of college or university students. These cards offer young adults a convenient and responsible way to begin building a credit history while managing their finances during their academic years. Typically, student credit cards have lower credit limits, making them suitable for students with limited or no credit history. These lower limits help prevent students from accumulating excessive debt while they learn how to manage credit responsibly.

Since, students don’t usually have a regular income and credit history, normal credit cards aren’t available for them. However, as a student, you can enjoy the same perks and benefits of a normal credit card with an FD-secured IDFC FIRST Bank WOW! credit card for students. It comes with no credit checks or income requirements and offers several shopping rewards and discounts on various merchants and brands. If you are studying abroad, FIRST WOW! credit cards provide zero forex conversion fees for you to save more on international transactions.  

While student credit cards can be a valuable financial tool, it's essential for students to use them responsibly. Timely payments and avoiding high balances are crucial to building a positive credit history.

With several types of bank cards available, it is important that you choose your card carefully by reading the terms and conditions that apply to your card. If you don’t have one, you can apply here.

You can also keep track of all your credit cards using the mobile banking app.

Learn more about IDFC FIRST Bank instant credit card, click here.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.