Best Travel Cards in India

If you are a frequent traveler these travel credit cards are designed specifically for people like you. They offer excellent perks like free access to airport lounges, free checked bags. These cards also offer you to exchange miles to buy air tickets. From points and miles to luxury perks, these travel credit card offers from our partners are the best around.
    HSBC Visa Platinum Credit Card
    Credithita Rating : 5

    HSBC Visa Platinum Credit Card

    Rewards Rate
    For every ₹150 you spend
    • Get 6 points on Dining, Hotels & Telecom
    • Get 2 points on others
    SignUp Bonus
    • ₹2000 Cleartrip voucher
    • ₹250 Swiggy Voucher
    • Get 10% cashback for the first 90 days.
    Fee
    ₹0
    Exclusive Privileges
    Get a BookMyShow voucher worth ₹500 on spending over ₹50,000 in a calendar month.
    Card Brand
    Card Details
    • No Joining and Annual Fees
    • 10% Cashback up to ₹2,000 in the first 90 days of issuance
    • Get a movie ticket voucher worth ₹500 on spending over ₹50,000 in a calendar month. Maximum of ₹3000 per cardholder in a year
    • BookMyShow Saturday Buy one get one free movie tickets Up to ₹250
    • 2 Reward points for every ₹150 spent
    • 3X Rewards on Dining, Hotels, and Telecom for the first 12 months from the date of issuance
    • 5 Times (5X) Rewards on subsequent purchases made upon spending ₹400,000 in a year, up to ₹1,000,000.
    • Fuel Surcharge Waiver
    • Redeem Air Miles on Jet Airways and Singapore Airlines
    • Discounts on Movies, Flights, Restaurants and more
    More Info for HSBC Visa Platinum Credit Card
    Citi PremierMiles Card
    Credithita Rating : 4.5

    Citi PremierMiles Card

    SignUp Bonus
    • 10,000 Miles within 60 days on your first spend of ₹1,000
    • 3,000 Miles on Card renewal.
    Privileges
    • Up to 15% savings across participating restaurants
    • Easy EMI options at more than 2,000 outlets
    Fee
    ₹3,000
    Complimentary Insurance
    • Air Accident Insurance Cover up to ₹1 Crore.
    • Lost Card Liability Cover of ₹10 Lakh.
    Card Brand
    Card Details
    • Get benefits worth ₹19,000 in the first year
      • Welcome miles worth ₹4500
      • Miles worth ₹3200 on airlines spends
      • Additional miles worth ₹11,600 on travel and other spends
    • Complimentary domestic airport lounge access
    • Instantly Pay with Points at select partners
    • Simply tap and pay using a contactless card
    • Never expiring miles
    • Cashback value per point - 0.45 paise. Benefits rounded down to nearest fifty
    More Info for Citi PremierMiles Card
    HDFC Diners ClubMiles
    Credithita Rating : 4.5

    HDFC Diners ClubMiles

    Rewards Rate
    • Earn 4 Reward Points for every ₹150
    Benefits
    • 6 Complimentary access to 700+ Lounges Worldwide
    • Air accident cover of INR 1 Crore
    Fee
    ₹1,000
    Welcome Benefits
    • Earn 1000 Reward Points.
    Card Brand
    Card Details
    • Earn 4 Reward Points for every Rs. 150/- spent
    • 1 Reward Point = 1 Air Mile; 1 Reward Point = 0.50
    • Get Up to 6 Complimentary access to 700+ Lounges Worldwide in a calendar year
    • Embark on a delectable journey where you can enjoy a 15% discount
    • Air accident cover of INR 1 Crore.
    • Emergency Medical Expenses Cover of up to INR 25 Lakh
    • Credit Liability Cover Of up to INR 9 Lakh
    • Welcome Benefit of 1000 Reward Points and Renewal Benefit of 1000 Reward Points
    More Info for HDFC Diners ClubMiles
    MakeMyTrip ICICI Bank Signature Credit Card
    Credithita Rating : 4

    MakeMyTrip ICICI Bank Signature Credit Card

    Rewards Rate
      For every ₹200 you spend
    • flight bookings on MakeMyTrip get ₹2 Mycash
    • holiday bookings on MakeMyTrip get ₹4 Mycash
    Benefits
    • Spend ₹5 lakh and earn ₹4,000 Mycash on the anniversary
    • 2 complimentary movie tickets every month under the Buy One Get One Free offer
    Fee
    ₹2,500
    Welcome Bonus
    • ₹2,500 Lemon Tree Hotels voucher
    • ₹1,500 Mycash plus MMTDOUBLEBLACK and MMTBLACK enrolment
    Card Brand
    Card Details
    • Get Rs 1,500 My Cash plus MMTDOUBLEBLACK and MMTBLACK enrolment, plus Lemon Tree Hotels voucher worth Rs 2,500 on joining.
    • Enjoy benefits worth up to Rs 70,000
    • Get every sixth ride complimentary with Ola and a complimentary Airtel international roaming pack.
    • Enjoy complimentary international and domestic airport lounge access and domestic railway lounge access.
    More Info for MakeMyTrip ICICI Bank Signature Credit Card
    MakeMyTrip ICICI Bank Platinum Credit Card
    Credithita Rating : 4

    MakeMyTrip ICICI Bank Platinum Credit Card

    Rewards Rate
      For every ₹200 you spend
    • flight bookings on MakeMyTrip get ₹2 Mycash
    • holiday bookings on MakeMyTrip get ₹3 Mycash
    Benefits
    • 2 complimentary movie tickets every month under the Buy One Get One Free offer
    • Spend ₹2.5 lakh and earn ₹1,000 Mycash on the anniversary
    Fee
    ₹500
    Welcome Bonus
    • ₹2,000 Lemon Tree Hotels voucher
    • ₹500 Mycash plus a complimentary voucher for MMTBLACK membership
    Card Brand
    Card Details
    • Rs 500 My Cash plus a complimentary voucher for MMTBLACK membership plus Lemon Tree Hotels voucher worth Rs 2000 on joining.
    • Enjoy benefits worth up to Rs 20,000
    • Enjoy complimentary domestic airport and domestic railway lounge access.
    • Annual savings of up to Rs 6,000 with the BookMyShow Buy 1 Get 1 offer, on first-come, first-serve basis.
    • Domestic spends outside MakeMyTrip get Mycash ₹1.00 per ₹200
    • International spends outside MakeMyTrip get Mycash ₹1.25 per ₹200
    • Spends on flight bookings on MakeMyTrip get Mycash ₹2.00 per ₹200
    • Spends on hotel/ holiday bookings on MakeMyTrip get Mycash ₹3.00 per ₹200
    More Info for MakeMyTrip ICICI Bank Platinum Credit Card
    Bank of Baroda Premier Credit Card
    Credithita Rating : 4.5

    Bank of Baroda Premier Credit Card

    Rewards Rate
      For every ₹100 you spend
    • Get 10 rewards on travel, dining and abroad
    • Get 2 points on others
    Benefits
    • Zero fuel surcharge
    • Complimentary airport lounge, 24x7 concierge, Golf program
    Fee
    ₹1,000
    In-built insurance cover
    • Get free Personal Accidental Death Cover to ensure financial protection of your family
    Card Brand
    Card Details
    • 2 Reward points for every ₹100 spent
    • 10 rewards on travel, dining and abroad for every ₹100 spent
    • Complimentary airport lounge, 24x7 concierge, Golf program
    • 5X Rewards are capped at 2,000 Reward Points on the mentioned categories per month. Further spends in that month on these categories will earn Reward Points at the regular earn rate
    More Info for Bank of Baroda Premier Credit Card
    British Airways Premium Credit Card
    Credithita Rating : 4

    British Airways Premium Credit Card

    Rewards Rate
      For every ₹100 you spend
    • Everyday spend get 4 Avios
    Benefits
    • Make 5 transactions each month on your ICICI Bank American Express Credit Card and get a BookMyShow e-voucher worth Rs.400
    Fee
    ₹ 7,000
    Welcome Bonus
    • Receive 8000 bonus Avios the first time you use your card
    Card Brand
    Card Details
    • Receive 8000 bonus Avios the first time you use your ICICI Bank British Airways Premium American Express
    • Everyday spend 4 Avios
    • Earn up to 9 Avios per ₹ 100 spent on your ICICI Bank British Airways Premium American Express Credit Card
    • Earn 25,000 Avios when you book and fly on a British Airways return ticket from India to London within your first three months of card membership
    • Make 5 transactions each month on your ICICI Bank American Express Credit Card and get a bookmyshow e-voucher worth Rs.400
    More Info for British Airways Premium Credit Card
    Standard Chartered Emirates World Credit Card
    Credithita Rating : 3.5

    Standard Chartered Emirates World Credit Card

    Rewards Rate
      For every ₹150 you spend
    • Earn 6 Skyward miles on Emirates transactions
    • Earn 3 Skyward miles on all others
    SignUp Bonus
    • Welcomed with 4,000 bonus Miles
    Fee
    ₹3,000
    Cashback
    • Get 5% cashback on duty free shopping
    Card Brand
    Card Details
    • Get your new card and be welcomed with 4,000 bonus Miles
    • Earn 6 Skyward miles on every INR 150 spent on Emirates transactions and 3 Skyward Miles on every INR 150 spent on all other transactions.
    • Get 5% cashback on duty free shopping, upto a maximum of INR 1,000 per month.
    • Get complimentary lounge access to 25+ domestic lounges through the Mastercard Lounge program and 2 complimentary accesses to Domestic and International Priority Pass lounges per month
    • Protect yourself with complimentary overseas air accident coverage of INR 1 Crore including insurance on loss of baggage and flight delay.
    • Tee off in style. Get access to three complimentary golf games a year, one free lesson a month and 50% discount on all games
    More Info for Standard Chartered Emirates World Credit Card
    Standard Chartered Yatra Platinum Credit Card
    Credithita Rating : 4

    Standard Chartered Yatra Platinum Credit Card

    Rewards Rate
      For every ₹100 you spend
    • Earn 4 reward points on Yatra
    • Earn 2 reward points on all others
    SignUp Bonus
    • Welcome gift worth INR 4,000
    Fee
    ₹499
    Cashback
    • Earn 10% cash back on travel bookings made through yatra.com
    Card Brand
    Card Details
    • Earn 10% cash back on travel bookings made through yatra.com
    • Earn 4x reward points on every INR 100 spent on yatra.com
    • Earn double the reward points on INR 100 for all other expenditures.
    • welcome gift of travel vouchers worth INR 4,000 from yatra.com within 60 days of card setup.
    • Changed your travel plans? Get waivers on Yatra cancellation fees for all tickets booked on yatra.com
    • Earn fuel surchange waiver of 1% on all fuel expenditures
    • Enjoy a host of discounts and offers across dining, shopping, travel and more with the Standard Chartered Good Life programme
    More Info for Standard Chartered Yatra Platinum Credit Card
    SBI IRCTC Credit Card
    Credithita Rating : 4

    SBI IRCTC Credit Card

    Rewards Rate
    • 10% back on AC1, AC2, AC3, AC CC as reward points for your ticket purchase on irctc
    • 5% back Air ticket purchases on www.air.irctc.co.in
    SignUp Bonus
    • Get 1500 reward points equivalent to INR 1500 on payment of first annual fee
    • Avail Movie voucher worth 500 from Book my show* on spends of INR 2000 within first 60 days
    Fee
    ₹1,499
    Milestone Benefit
    • Earn 2,500 Reward Points on annual travel spends* of ₹50,000
    • Earn 5,000 Reward Points on annual travel spends* of ₹1,00,000
    Card Brand
    Card Details
    • Get 1500 reward points equivalent to ₹1500 on payment of first annual fee
    • Avail Movie voucher worth 500 from Book my show* on spends of ₹2000 within first 60 days
    • 10% back on AC1, AC2, AC3, AC CC as reward points for your ticket purchase on www.irctc.co.in
    • 5% back Air ticket purchases on www.air.irctc.co.in
    • 5% back E-catering purchases on www.ecatering.irctc.co.in
    • Earn 2,500 Reward Points on annual travel spends* of ₹50,000
    • Earn 5,000 Reward Points on annual travel spends* of ₹1,00,000
    • Spend Based Reversal of Annual Fee on spends of ₹2 Lakhs
    • Complimentary Rail Accident Insurance of ₹10 Lakhs
    • Complimentary Air Accident insurance of ₹50 Lakhs
    • Complimentary Fraud Liability cover of ₹1 Lakh
    • Enjoy freedom from paying the 1% fuel surcharge across all petrol pumps in India, on transactions of ₹500 - ₹4,000, exclusive of GST and other charges
    • You save 1.8% transaction charges, exclusive of GST and all other charges, when you book railway tickets on irctc.co.in
    • You save 1.8% transaction charges, exclusive of GST and all other charges, when you book air tickets on air.irctc.co.in
    More Info for SBI IRCTC Credit Card


EDITORIAL PICKS - BEST TRAVEL CREDIT CARDS

Citi Prestige Credit Card
Credithita picked for: Total rewards earned in the first year and you can double what you pay as a joining fee.
Citi Prestige credit card has a joining fee of ₹20,000 + GST and a renewal fee of ₹20,000 + GST from second year onwards. With Citi Prestige credit card you almost double what you pay as a joining fee with great benefits worth ₹38,000+ in the first year. Citi Prestige credit card is a very good travel card with joining bonus miles worth ₹4,500 and free vouchers of ₹10,000 for Taj Group/ ITC Hotels. On annual spends of ₹24 Lacs, you get a burn rate of 1 rupee per point which equates to a cashback worth of ₹24,000. Based on your relationship with Citibank, you can get up to 50% bonus reward points every month and there is no expiry on earned reward points. You can convert your reward points to Airmiles with any frequent flyer partners at the rate of 1 point = 4 miles. Get free unlimited priority pass lounge access to over 800 airports, worldwide. This benefit applies to primary and supplementary credit cardholders. Citi Prestige credit card has a reward rate of 1 reward point per ₹100 spent on domestic and 2 reward points per ₹100 spent on international transactions.

Citi PremierMiles Credit Card
Credithita picked for: First year benefits
Citi PremierMiles credit card has a joining fee of ₹3,000 + GST and a renewal fee of ₹3,000 + GST from second year onwards. With Citi PremierMiles credit card you get almost 6.5 times upto ₹19,000+ worth of benefits in the first year on what you pay as a joining fee. Citi PremierMiles credit card is a very good travel card with joining bonus miles worth ₹4,500. You get 10,000 Miles within 60 days on your first spend of ₹1,000 and 3,000 Miles on every card renewal matching the renewal fees. Cashback value per mile/point is 0.45 paise rounded down to nearest fifty. You get complimentary domestic airport lounge access. Citi PremierMiles credit card has a reward rate of 10 Miles per ₹100 spent on airline spends at www.premiermiles.co.in and 4 Miles point per ₹100 spent on all others.

HDFC Diners ClubMiles Credit Card
Credithita picked for: Lesser annual fees
HDFC Diners ClubMiles has a joining fee of ₹1,000 + GST and a renewal fee of ₹1,000 + GST from the second year onwards. The renewal fee is waived off if you spend more than ₹1,00,000 in the previous year. You get the welcome benefit of 1000 Reward Points. HDFC Diners ClubMiles credit card provides several rewards such as earn 4 reward points on every ₹150 spent and burn rate of 1 Reward Point = 1 Air Mile or 1 Reward Point = 0.50 Paise. Get Up to 6 Complimentary access to 700+ Lounges Worldwide in a calendar year. Embark on a delectable journey where you can enjoy a 15% discount. Air accident cover of INR 1 Crore. Emergency Medical Expenses Cover of up to INR 25 Lakh. Credit Liability Cover of up to INR 9 Lakh.

MakeMyTrip ICICI Bank Signature Credit Card
Credithita picked for: No renewal fees
MakeMyTrip ICICI Bank Signature credit card has a joining fee of ₹2,500 and a renewal fee of ₹0 from the second year onwards. You get the Welcomed gift worth ₹2,500 Lemon Tree Hotels voucher and ₹1,500 Mycash plus MMTDOUBLEBLACK and MMTBLACK enrolment. MakeMyTrip ICICI Bank Signature Credit Card has a reward rate of ₹2 Mycash per ₹200 spent on flight bookings on MakeMyTrip and ₹4 Mycash per ₹200 spent on holiday bookings on MakeMyTrip. Spend ₹5 lakh and earn extra ₹4,000 Mycash on the anniversary. You get 2 complimentary movie tickets every month under the Buy One Get One Free offer. Get every sixth ride complimentary with Ola and a complimentary Airtel international roaming pack. Enjoy complimentary international and domestic airport lounge access and domestic railway lounge access.

Standard Chartered Emirates World Credit Card
Credithita picked for: Lesser annual fees
Standard Chartered Emirates World credit card has a joining fee of ₹3,000 and a renewal fee of ₹3,000 from the second year onwards. You get the 4,000 bonus miles as a welcome benefit. Standard Chartered Emirates World credit card has a reward rate of 6 Skyward miles per ₹150 spent on Emirates transactions and 3 Skyward miles point per ₹150 spent on all others. Get 5% cashback on duty-free shopping, up to a maximum of ₹1,000 per month. Get complimentary lounge access to 25+ domestic lounges through the Mastercard Lounge program and 2 complimentary accesses to Domestic and International Priority Pass lounges per month. Protect yourself with complimentary overseas air accident coverage of INR 1 Crore including insurance on the loss of baggage and flight delays. Get access to three complimentary golf games a year, one free lesson a month and 50% discount on all games.

Standard Chartered Yatra Platinum Credit Card
Credithita picked for: Lesser annual fees
Standard Chartered Yatra Platinum credit card has a joining fee of ₹499 and a renewal fee of ₹499 from the second year onwards. You get a welcome gift worth of ₹4,000. Standard Chartered Yatra Platinum credit card has a reward rate of 4 reward points per ₹100 spent on Yatra.com and 2 reward points per ₹100 spent on all others except fuel. Earn 10% cashback on travel bookings made through yatra.com. If you change your travel plans get waivers on Yatra cancellation fees for all tickets booked on yatra.com. Earn fuel surcharge waiver of 1% on all fuel expenditures. Enjoy a host of discounts and offers across dining, shopping, travel and more with the Standard Chartered Good Life programme.

Axis Bank Miles and More Select Credit Card
Credithita picked for: Welcome Benefit
Axis Bank Miles and More Select credit card has a joining fee of ₹10,000 and a renewal fee of ₹4,500 from the second year onwards. Welcome bonus of 15,000 award miles and second year after renewal fee you will get annual bonus 4,000 award miles. Axis Bank Miles and More Select credit card has a reward rate of 6 miles per ₹200 spent and 20 miles per ₹200 spent on Movie Bookings. You get 4 Priority Pass lounge visits per year. With the Priority Pass lounge access facility, you can enjoy complimentary access to more than 600 airport lounges around the world. Priority Pass will be issued to you automatically on activation of your credit card. You can avail a minimum discount of 15% at partner restaurants through the ‘Dining Delights’ program. Avail fuel surcharge refund of 1% when your fuel transactions range between ₹400 and ₹4,000. This is applicable to all the petrol stations across India. For any purchase of over ₹2,500, you get the option of converting it to EMI which you can easily off in monthly instalments.

Axis Bank Magnus Credit Card
Credithita picked for: Complimentary benefits
Axis Bank Magnus credit card has a joining fee of ₹10,000 + GST and the renewal fee of ₹10,000 + GST and is waived off if you spend more than ₹15,00,000 in the previous year. You get 12 Axis EDGE REWARDS Points for every ₹200 spent. Double points on purchases at MakeMyTrip, Yatra, and Goibibo. Every year you get a complimentary one-way flight ticket worth up to ₹10,000 to your favourite domestic location. You can get up to 25% discount at 600+(5-star dining) fine dine restaurants across India. On BookMyShow you get up to ₹500 off on the second ticket for a maximum of 5 in a month. Avail up to 8 complimentary international lounge accesses per year with the Priority Pass card and unlimited domestic lounge access in India. 8 complimentary end-to-end VIP services at the airport. Credit shield of ₹5 Lakhs and Air accident cover ₹4.5 Crore.

HSBC Visa Platinum Credit Card
Credithita picked for: No annual fees
HSBC Visa Platinum credit card gives 6 points for every ₹150 when you spend on hotel stays. One unique benefit this card offers is every new cardholder gets a 10% cashback for the first 90 days. In addition to being a very good travel card, HSBC Visa Platinum credit card offers a BookMyShow voucher worth ₹500 on spending over ₹50,000 in a calendar month. The accumulated reward points on this travel card can be redeemed as Singapore Airlines Air Miles using which you can buy your future tickets or upgrade your travel class.


TRAVEL CREDIT CARDS

Travel credit cards reward you with points while you spend on daily needs as well as on travel-related spending like flight booking. The travel credit cards will give rewards as cashback points or Air Miles. You can either redeem your cashback points as gift cards or redeem Air Miles on your future travel needs.

Travel reward cards can give you excellent returns if you are a frequent traveler and understand the redemption options available and plan according to your needs. Say rather than redeeming as gift cards or encashing as statement credit you can get great value if you use them for your planned travel-related bookings. Instead if you are looking for a return on your spending in terms of encashing as cash then cashback credit cards work best for you.


HOW TO REDEEM TRAVEL POINTS?

Air Miles: one of the best values for money is converting travel points to Air Miles. Issuers through travel partnerships provide great value to their credit card customers, where the customers can redeem their Air Miles for flight bookings or upgrade ravel class.

Redeem as Gift Card: Another option is you can redeem your Travel points as gift cards, log on to your credit card account and choose to redeem as gift cards for your favorite brand.


TRAVEL CARD BENEFITS

Complimentary Lounge Access: A lot of travel cards provide lounge access as a complementary benefit. For example HDFC Diners Club Miles provides up to 6 complimentary accesses to 700+ Lounges Worldwide in a calendar year.

Travel Insurance: Some travel cards provide air insurance. For example, Standard Chartered Emirates World Credit Card provides complimentary overseas air accident coverage of INR 1 Crore including insurance on the loss of baggage and flight delay.


HOW TO COMPARE TRAVEL CREDIT CARDS

Annual Fee

Travel credit cards charge an annual fee of ₹0 to ₹10,000. The question is - “Is it worth paying an annual fee to avail travel benefits offered by travel credit cards?” Paying an annual fee is worth it if you find the right credit card that offers you the maximum benefits. By paying annual fees allows you to unlock certain valuable perks, such as access to numerous airport lounges or free checked bags.

Are there travel cards that offer decent benefits without an annual fee? Absolutely! There are no-fee travel cards and one such best card is HSBC Visa Platinum Credit Card.

Rewards Rate

The rewards that a travel card offers can be evaluated using “Reward Rate”. A reward rate can be understood in terms of "earn rate" and "burn rate".

The earn rate is how many points or miles you receive per rupee you spent. Some travel cards offer flat-rate rewards, meaning you get the same rate on all kinds of purchases, like 5 points per ₹100 spent, and some cards pay higher points through a partner, such as airline tickets, hotel stays.

The burn rate is the value you get for the accumulated points or miles when you redeem them. The industry average is about ₹1 for each mile. Some cards provide a lower value per point when you redeem while offering a higher reward point per rupee spent.

So you shouldn’t just consider choosing a card just based on “earn rate” or “burn rate”. You need to pay attention to both rates and choose the one that maximizes your benefit.

Sign-up Bonus

To attract customers a lot of credit card issuers provide a very good welcome and signup bonuses, you get additional points/miles when you spend a certain amount of money in your first few months using the card. In most cases the value of the signup bonus perks will match the joining fee.

Foreign Transaction Fees

The reason you are looking at a travel card is that you are a frequent traveler. So it is advisable to pay attention to foreign transaction fees if you plan to use your INR card while you travel outside India. Most travel credit cards charge a fee of up to 3% on every transaction made outside India.

International Acceptance

While Visa and Mastercard are accepted pretty much worldwide, you may encounter limited acceptance for American Express and Rupay. Make sure you update your travel plans with your Issuer by calling their customer care or logging into your account before your travel so that your transactions are not denied by the Issuer suspecting these are fraudulent transactions.

Perks

Airport Benefits: Lounge access.Free checked bags. Priority boarding pass. Elite status.

Hotel Benefits: Discount at fine-dine restaurants. Free nights. Automatic room upgrades. Early check-in/late check. Free amenities. Elite status.

Travel: Travel Insurance. Air Accident Insurance. Discount on flight bookings. Free economy class tickets. Free Business class tickets. Elite status.


WHAT AFFECTS YOUR CREDIT SCORE?

Credit score is a three-digit number that is assigned by credit bureaus based on factors that define your credit profile. In the modern economy Credit Score rules, everyone’s life as more and more information systems are being linked to track your credit transactions. While you probably have a general idea of what credit score means and what your credit score is, it is also extremely important to know and understand what affects your credit score. So that there is no surprises when the next time you apply for a new credit card or loan. Below are the main factors that affect your score.

What factors impact your credit score and How?


Name Importance
Payment history Very High
Age of credit High
Credit utilization High
Negative marks Medium
Available credit Very Low
Credit inquiries Very Low


What is the Payment History?

How timely and consistently you are paying your credit card bills. It is also calculated as a percentage with a simple formula on-time payments/total no. of payments . It has a very high impact on your credit score and lenders will look at the payment history to calculate the lending risk. The more you pay on time, more likely increases your score and gains lender trust for your future loans.

What is the Age of Credit?

Age of credit denotes how long you have been maintaining your creditworthiness. To calculate the age of credit, find your oldest active account and see when it was opened and calculate how many years old that account is and that becomes your age of credit. To have a higher age of credit, one tip is don’t close your oldest account and it will help you with your credit score. Age of credit factor has a high impact on your credit score.

What is credit utilization?

Credit utilization is nothing but your overall spending percentage. It has a high impact on your credit score. You should always target to keep it below 30%. For example, you have 3 credit cards with a limit of 10,000, 25,000, 25,000 and you spent 10,000 overall. Your utilization will be 10,000/ 60,000 * 100 = 16%

What are the negative marks?

Any accounts that are delinquent or derogatory has a very negative impact on your credit report. Delinquent accounts are past dues and derogatory accounts are more serious marks against them such as bankruptcy (Insolvency Resolution Process “IP”) and foreclosure (lender by forcing the sale of the asset used as the collateral for the loan). Lenders won't process your future applications if you have any delinquent remarks on your credit report, so you should always avoid having any such remarks to have a good credit score.

What is Available Credit?

The total amount of credit that you have access. Available credit = Total credit - Used credit. It has the highest impact on your credit score. Let's say if you have two credit cards one with a credit limit of 10,000 and with a balance of 3,000 and another one with a limit of 20,000 and a balance of 0 then your Total Credit = 30,000 (10,000 + 20,000) and Used Credit = 3,000 (3,000 + 0), so your available credit is 27,000 (30,000 - 3,000) with a credit utilization of 10%.

What are Credit inquiries?

The number of hard inquiries (or “hard pulls”) on your report. Normally when you apply for a credit card or any type of loan, lenders will pull your credit report to determine your creditworthiness and this is called a hard inquiry or hard pull. If you have multiple hard inquiries then, lender will consider yours as a riskier profile.

Frequently asked questions

What’s the difference between points and miles on a credit card?

How do travel credit cards work?

How much is a point or mile worth on a travel credit card?