Best No Annual Fee Credit Cards for Students in India

For students, a credit card can be a great tool for managing expenses, getting discounts on online shopping, and most importantly, starting to build a credit history. However, paying an annual fee doesn't make sense on a student budget. Fortunately, there are excellent student credit cards no annual fee options available in India.

Why Should a Student Get a Credit Card?

• Build Credit Score: Responsible usage of a credit card is one of the easiest ways to build a good CIBIL score early on. This will be incredibly helpful when you apply for bigger loans (like a car or home loan) in the future.
• Emergency Fund: It can be a safety net for unexpected expenses.
• Discounts and Offers: Get access to discounts on online shopping, movie tickets, and dining.
• Learn Financial Discipline: It teaches you to manage credit and pay bills on time.

Top Student Credit Cards with No Annual Fee

Banks offer specific credit cards for students, usually against a fixed deposit or as an add-on to a parent's card. Here are some of the best options:

1. Secured Credit Cards (Against a Fixed Deposit)

This is the most accessible route for a student with no income source. Most major banks like ICICI Bank (Instant Platinum Credit Card) and Axis Bank (Insta Easy Credit Card) offer a credit card against a Fixed Deposit (FD).

• You open an FD with the bank for a certain amount (e.g., ₹20,000).
• The bank issues you a credit card with a credit limit of around 80-85% of the FD amount.
• These cards are typically lifetime free (no joining or annual fee).
• You earn interest on your FD while building your credit score with the card. This is the best way to get a credit card for students.

2. SBI Student Plus Advantage Card

This card is offered to students who have an education loan from SBI. It comes with a low joining fee and is designed to help students manage their day-to-day expenses while studying. It offers reward points on various purchases.

3. ICICI Bank Student Forex Prepaid Card

While not a traditional credit card, this is a fantastic option for students studying abroad. It's a prepaid card that you can load with foreign currency. It's a secure way to manage funds without the hassle of currency conversion fees. It's a great starting point before graduating to a full-fledged credit card.

Conclusion

Getting a credit card as a student is a smart financial move if managed responsibly. Opting for student credit cards no annual fee, especially secured cards against an FD, is the perfect way to begin your credit journey. It provides the benefits of a credit card without any cost, setting a strong foundation for your financial future.