Student Credit Cards in India – Eligibility, Benefits & Top Picks

Student-focused credit cards are specially designed for college and university students to help them manage everyday expenses. These cards offer the convenience of digital payments and help build a credit history early. Part-time students with nominal income can apply, while those without an income can also get an add-on card linked to a parent’s account. Some government-backed student cards are also available for eligible applicants.

These cards offer young adults a structured way to access credit while developing essential financial habits. Besides facilitating immediate purchasing needs, they help set the foundation for long-term financial credibility. Here are some key advantages of these payment tools: 

• Lower Credit Limit

These cards usually have lower credit limits ranging from ₹10,000 to ₹50,000, so students do not fall into a debt trap by overspending. Some secured cards may offer a limit of up to 90% of their corresponding fixed deposit amount. 

• No or Low Annual Fees

Many student credit cards in India are offered with zero or nominal annual fees, which reduces the cost of ownership for first-time cardholders. 

• Low Cash Withdrawal Limit

These credit cards also have low cash withdrawal limits, so students must use them only for emergencies. 

• Nominal Interest Rates

The interest rate on credit cards for students is also low to ensure easy and convenient repayment. 

• Conversion to Standard Credit Cards

Some banks/issuers offer the facility to convert the student credit card to a standard credit card once students complete college education.

• Rewards and Discounts

You can earn and redeem reward points against various eligible purchases and get discounts against credit card transactions.

• No Exhaustive Documentation

The process of applying for these credit cards is fairly easy, and there is generally no extensive documentation involved.

These cards are tailored for young adults to build credit, often requiring no income proof. They typically feature zero annual fees, rewards, and lower credit limits to promote responsible spending. Here are the main types of student credit cards in India: 

• Fixed Deposit (FD) Backed Cards (Secured): 

An FD-backed credit card is most commonly available to students. These require a fixed deposit of around ₹5,000-₹25,000 with the bank or issuer, which acts as collateral. A popular example is the IDFC FIRST WOW! Credit Card. 

• Government Scheme Cards: 

Special schemes offered by state governments to provide loans for education. Examples include the West Bengal Student Credit Card and Bihar Student Credit Card Yojana.

• Forex Cards (International Students): 

These cards are specifically designed to help international students manage expenses like tuition, rent, and daily costs while avoiding high bank fees. They allow you to lock in exchange rates at the time of loading, protecting you from currency fluctuations during your studies. 

• Add-on Credit Cards: 

A supplementary card issued to a student against a parent’s existing credit card, useful for managing expenses without needing an independent credit history.

• Unsecured Student Credit Cards: 

Rare in India, these are issued without a fixed deposit based solely on student status, though they may require a co-signer. 

These cards create a formal credit record and, when used responsibly, can help you create a positive credit profile quicker. 

• Start Your Credit Journey: Create a formal credit account that gets reported to credit bureaus, beginning your credit history.

• Establish Repayment Discipline: On-time monthly payments build a positive repayment record, the most influential factor in credit scoring.

• Maintain Low Utilisation: Low credit utilisation (keeping balances well below limits) signals prudent usage and supports higher scores.

• Benefit from Limit Enhancements: Gradual increases in credit limit, when managed responsibly, can lower utilisation ratio and boost score over time. 

• Improve Credit Mix: A student card diversifies your credit mix, which lenders view positively alongside other credit lines.

• Strengthen Future Eligibility: A documented credit track record improves eligibility for future loans, higher-value cards, and lower interest rates.

The eligibility criteria for such cards are generally relaxed, focusing on student status and age rather than income or credit history. Here are the general criteria for qualification: 

• Age: The applicant must be a minimum of 18 years old to apply for a primary student credit card in their own name. Forex cards can have lower age limits. 

• Student Status: You must be enrolled in a recognised university, college, or similar academic institution in India or abroad. 

• Nationality/Residency: The applicant typically needs to be an Indian national and a resident of India.

• Income Proof (Generally Not Required): Most student-focused credit cards are designed for individuals without a regular income.

• Credit History (Not Required): A prior credit history or a high CIBIL score is generally not required, as these cards help students build a credit history from scratch. 

• Collateral Requirement: Most cards are secured, requiring an FD with the issuing bank, which acts as collateral. The credit limit is usually 75-90% of the FD amount.

The following are the basic documents you may need when you apply for a student credit card online: 

• Identity Proof: Aadhaar Card, PAN Card, Passport, Voter ID

• Address Proof: Utility bills, Aadhaar Card, Passport

• Age Proof: Birth certificate, 10th-grade certificate, Passport

• Proof of Enrollment: Student Identity Card or College Admission Letter

• Academic Proof: Identity card issued by the college/university

• Proof of Collateral: Fixed deposit receipt or documents (if applicable)

• Proof of Guarantor: Details or co-signer/guarantor details and their income proof

• Other Documents: Passport-sized photographs 
  
  

Disclaimer: Eligibility criteria and required documents mentioned above can vary from one issuer to another. Please understand the terms and conditions before applying for a credit card.

Much like any other card application, you can initiate the application process for student credit cards online as well as offline, depending on the issuer. 

Here are the steps that you must follow to apply on Bajaj Markets: 

1. Click on the ‘Check Eligibility’ button at the top of the page. 

2. Enter your mobile number and occupation details and accept the terms and conditions. 

3. Click on ‘Next’ to get an OTP on your mobile and enter it to proceed. 

4. Check the pre-filled details and enter any additional information required. 

5. Compare and choose a credit card from the options shown, as per your eligibility. 

6. Submit your credit card application and wait for approval and further steps.

Students can adopt disciplined habits with a credit card and build financial credibility for future borrowing. Here are some tips for smart usage: 

• Pay in Full and On Time: Pay the full statement balance each month to avoid interest and build a positive repayment record. 

• Keep Utilisation in Check: Keep credit utilisation below 30% of available limit to support healthy credit scoring. 

• Set Up Auto-pay: Enable standing instructions or auto-pay for at least the minimum amount to prevent missed payments. 

• Track Your Spending: Track transactions regularly and reconcile them with your budget to avoid overspending. 

• Avoid High-cost Transactions: Avoid cash advances and high-fee services; they attract steep interest and can harm your credit. 

• Monitor Your Credit Report: Review your credit report periodically and dispute inaccuracies to maintain an accurate credit profile.

The information on this page, including any “Top” or “Best” lists, is based on data from our Partner institutions and objective parameters such as interest rates, loan amounts, tenure, and other factual criteria. These lists are not exhaustive and do not cover the entire market. We do not claim that featured products are universally the best or suitable for everyone. Details are accurate as of the date shown and may change without notice. Rankings are for informational purposes only and do not constitute financial advice or personal recommendations. They should not be considered endorsements or guarantees of suitability. Bajaj Markets operates as a neutral marketplace and shall not be liable for any loss or damage arising from reliance on this information.