A secured credit card is secured by collateral that the customer places with the bank against approval for the card. People who do not have a good credit score or those who have never applied for credit earlier can use a secured credit card. 

Secured credit cards are issued against fixed deposits and are similar to any regular/unsecured credit card. The key difference is that if the user defaults on a secured credit card payment, the card issuer can recover the amount via the fixed deposit that has been tagged as collateral.

Banks offer secured credit cards to help customers in building their credit profiles over time. Such credit cards are issued only when the customer offers collateral, usually a fixed deposit held with the bank. The credit limit on a secured card is set at 80 - 90% of the associated fixed deposit.  Let’s have a look at some of the best-secured credit cards in India that can be used for rebuilding credit easily.

  1. Axis Bank Insta Easy Credit Card

The Axis Bank Insta Easy Credit Card requires the cardholder’s fixed deposit as collateral. This card offers a flexible credit limit along with the option of converting purchases to EMI. Here are some of the other details on this card:

Annual Fees: NIL

Fixed Deposit Amount: Minimum of Rs. 25,000

Key Features:

  • Credit Limit: A customer can request a credit limit as per his/her preferences up to 80% of the fixed deposit’s principal value
  • Dining Delights: Customers can enjoy a 15% discount at all partner restaurants in India
  • EMI Facility: The card allows users to convert any transaction above Rs. 2,500 into EMIs
  • Global Emergency Assistance: Users can report the loss of their card and ask for an emergency replacement through Visa International Global Card Assistance Services
  • Fuel Surcharge Waiver: The card comes with a 1% fuel surcharge waiver on fuel transactions across India
  1. ICICI Bank Coral Credit Card against Fixed Deposit

ICICI Bank Coral Credit Card is an ideal option for those credit card users who are seeking benefits associated with their lifestyle expenses. Customers can earn PAYBACK points and enjoy discounts on movies, dining, etc. Here are the other features and benefits of the card:

Annual Fee: Rs. 500

Fixed Deposit Amount: Minimum of Rs. 20,000

Key Features:

  • PAYBACK Points: The card lets users earn up to 10,000 PAYBACK Points from ICICI Bank Rewards every anniversary year
  • Airport Lounge Access: It comes with 1 complimentary domestic lounge access per quarter
  • Entertainment Benefits: The card offers 2 complimentary movie tickets per month under the ‘Buy 1 and Get 1 Free offer on BookMyShow
  • Dining Privileges: Users can avail 15% discount on dining bills across 2500+ restaurants in India
  1. SBI Unnati Credit Card

SBI Unnati Credit Card is an ideal secured credit card option for people who are looking for a regular use card. It comes with some unique features and benefits. Let’s have a look at some of them:

Annual Fee: None for the first 4 years and Rs. 499 from the fifth year onwards

Fixed Deposit Amount: Minimum of Rs. 25,000

Key Features

  • Reward Points: 1 reward point can be earned for every Rs.100 of spending
  • Milestone Rewards: Customers can avail of Rs. 500 cashback within 15 days of reaching annual spending of Rs. 50,000 and above
  • Fuel Surcharge Waiver: The card offers a 1% fuel surcharge waiver for every fuel purchase transaction between Rs. 500 to Rs. 3,000
  • Balance Transfer on EMI: Customers can transfer the accumulated outstanding balance of other bank's credit cards to the SBI Unnati Credit card. SBI Unnati credit card offers lower interest rates for repayment of EMIs, ranging from 0.50% for 3 months to 0.75% for 6 months EMI.
  • Interest-free Credit Period: Users can enjoy an interest-free credit period of 20-50 days on all purchases. The interest-free period can be availed only if all the prior month's outstanding balances have been fully paid.
  1. ICICI Bank Instant Platinum Credit Card

ICICI Bank Instant Platinum Credit Card is designed for those customers who require an instant and free credit card. Customers can build and repair their credit score by using a secured credit card against a fixed deposit.

Annual Fee: NIL

Fixed Deposit Amount: Minimum of Rs. 20,000

Key Features

  • Entertainment Offers: The card offers a discount of Rs. 100 on maximum 2 movie tickets per month booked through BookMyShow
  • PAYBACK Points: Customers can earn 3 PAYBACK Points for every Rs. 100 of expense on all purchases. This is not applicable to fuel transactions
  • Dining Benefits: Users can also enjoy a 15% discount on dining at over 2600 restaurants through Culinary Treats Program
  • Contactless Technology: Users can make secure payments at retail outlets since the credit card has built-in contactless technology
  • Low-Interest Rate: This credit card can be availed at a low-interest rate of 2.49% per month

Features of Secured Credit Cards

Mentioned below are the key features of secured credit cards:

  • Minimal Documentation: Secured credit cards require very limited paperwork and hassle-free submission of documents
  • Lower Credit Limit: Secured credit cards generally offer a lower credit limit
  • Quick Application Process: Secured credit cards can be availed without additional inquiries of the applicant’s credit history. It is an ideal choice for people who aim to build up their credit quickly
  • Less Fixed Deposit Amount: The fixed deposit amount required for secured cards is usually affordable and can vary from Rs. 10.000 to Rs. 20,000

Who Should Apply for Secured Credit Cards?

Secured credit cards can be helpful for the following applicant categories:

  • Individuals who have newly started a job
  • Retired individuals with no regular source of income
  • Individuals who cannot easily get unsecured cards
  • Individuals who cannot furnish income proof, but need a credit card
  • Home-makers

Things to Keep in Mind when Getting a Secured Credit Card

Here are some of the important points to remember while applying for a secured credit card:

  • Secured credit cards are similar to regular credit cards, however, they come with certain obligations
  • Secured cards need a cash deposit as collateral
  • Secured credit cards are also available for customers who have a poor or no credit score


Secured credit cards can help in rebuilding credit, especially for those who do not have a credit history or have a poor credit score. Customers can make the most of these by using the various offers available while continuing to improve their credit reports.


  1. What is a secured card?

A secured credit card is backed by a cash deposit which serves as collateral. It provides the credit card issuer with some level of security in case the user is unable to make the payments.

  1. How do secured cards work?

A secured credit card is backed by a deposit which is required while opening the account. The amount of deposit will be the same as the card’s credit limit. The deposit helps in reducing the risk for the card issuer.

  1. How quickly do secured cards help in rebuilding credit?

After opening a secured credit card account, it can take around 30-45 days for the account to be reported to the credit bureaus. Once reported, the credit report can be amended and the credit score improved.

  1. Which banks offer secured credit cards in India?

Some of the banks that offer secured credit cards in India are SBI, ICICI, Axis, Kotak, etc.

  1. Can a secured credit card application be rejected?

Banks and other card issuers can reject applications if some of the underwriting requirements are not met.