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The Axis Bank Cashback Credit Card arrived as the spiritual successor to the popular Citi Cashback Card. Initially offered only to migrating Citi customers, it’s now available for all. But does its complex reward structure live up to the headline 7% promise? Our comprehensive review breaks it down.
At a Glance: Key Specifications
| Feature | Detail |
|---|---|
| Card Type | Premium Cashback Credit Card |
| Best For | High online spends (excluding travel) |
| Key Highlight | Tiered cashback up to 7% on online spends |
| Joining Fee | ₹1,000 + GST |
| Annual Fee | ₹1,000 + GST |
| Renewal Waiver | On spends of ₹4 Lakhs (excludes rent & wallet) |
| Welcome Benefit | 5,000 Edge Rewards Points (worth ₹1,000) |
| CIBIL Score | 750+ recommended |
Detailed Breakdown
Fee Structure
A clear fee structure is crucial for any cardholder.
| Fee Type | Amount | How to Waive/Save |
|---|---|---|
| Joining Fee | ₹1,000 + GST | Offset by welcome benefit of 5,000 Edge points (≈ ₹1,000) |
| Annual Fee | ₹1,000 + GST | Spent ₹4 Lakhs in a year (excludes rent, wallet loads) |
| Welcome Benefit | 5,000 Edge Rewards | Credited upon paying the joining fee |
Reward Rates: The Tiered System
This is the card’s core feature, but it requires careful understanding.
| Spend Category | Reward Rate | Maximum Cashback per Month | Notes |
|---|---|---|---|
| Online Spends (Tier 1) | 2% | ₹100 (on ₹5,000) | Applies to the first ₹5,000 of online spend |
| Online Spends (Tier 2) | 5% | ₹1,750 (on ₹35,000) | Applies on spend between ₹5,001 – ₹40,000 |
| Online Spends (Tier 3) | 7% | Unlimited (on spend above ₹40,000) | The coveted 7% rate kicks in only after ₹40k monthly spend |
| Offline & Travel | 0.75% | Unlimited | Low rate, not this card’s strength |
| Utility Bills | 0.5% | ₹100 | Very low rate; use other cards for utilities |
Effective Reward Rate Calculation:
- On ₹40,000 spend: (2% on 5k) + (5% on 35k) = ₹100 + ₹1,750 = ₹1,850 (4.6%)
- On ₹70,000 spend: ₹1,850 + (7% on 30k = ₹2,100) = ₹3,950 (5.6%)
The headline 7% is only on the incremental spend beyond ₹40,000, making the effective rate lower.
Lounge Access & Other Benefits
- Airport Lounge Access: Not offered currently.
- Other Benefits: As a Visa Signature card, it comes with standard offers on dining, shopping, and entertainment on the Visa platform. Future benefits like lounge access linked to spends could be added.
Axis Cashback Card vs. SBI Cashback Card: Which is Better?
This is the most common comparison for cashback seekers.
| Parameter | Axis Bank Cashback Card | SBI Cashback Credit Card |
|---|---|---|
| Online Cashback | Up to 7% (Tiered) | Flat 5% |
| Cashback Simplicity | Complex tier system | Simple, flat rate |
| Annual Fee | ₹1,000 + GST | ₹999 + GST (FYF*) |
| Renewal Waiver | ₹4 Lakhs | ₹2 Lakhs |
| Monthly Cap | No hard cap, but tiers | ₹5,000 |
| Offline Spend | 0.75% | 1% |
| Track Record | Newer, from Axis (volatile) | Stable, minimal devaluations |
Verdict: The SBI Card is simpler and better for most users with consistent online spends under ₹50,000/month. The Axis Card becomes more rewarding for very high online spenders (over ~₹52,500/month) who can consistently hit the top tier.
Devaluation Meter & Stability
Meter Reading: Low (But proceed with caution)
Axis Bank has a reputation for frequent credit card devaluations. While this card, being a direct Citi replacement, has been stable so far, its attractive rewards could be a target for future changes. This is a risk factor to consider.
Should You Get The Axis Bank Cashback Credit Card?
This card is an excellent fit if you:
- Have consistent online spends above ₹50,000 per month (e.g., electronics, fashion, subscriptions).
- Are a high spender who has hit the monthly cap on the SBI Cashback Card.
- Want a powerful cashback card within the Axis ecosystem to complement cards like Atlas or Magnus Burgundy.
You should avoid this card if you:
- Have predominantly offline, utility, or travel spends.
- Prefer a simple, flat reward rate without tracking tiers.
- Are wary of Axis Bank’s history of devaluing card benefits.
The Bottom Line
LootdealTricky Rating: 4.5 / 5 ★
The Axis Bank Cashback Credit Card is a powerful product for a specific niche: the high-volume online spender. While its 7% claim is slightly misleading, its top-tier reward rate is genuinely best-in-class for those who can unlock it. Just be aware of the complexity and keep an eye on future devaluation announcements.
Ideal Card Combo: Pair this card with a Scapia Card (for Forex and lounge access) or an Axis Atlas (for travel rewards) to cover all your spending categories efficiently.
Frequently Asked Questions (FAQ)
Here are the top 20 Frequently Asked Questions (FAQ) for the Axis Bank Cashback Credit Card, based on the review and common consumer queries.
1. What is the effective cashback rate I will actually get?
The effective rate depends on your monthly online spend. You never get a flat 7%. For example:
- On ₹40,000 spend: ~4.6% effective rate.
- On ₹70,000 spend: ~5.6% effective rate.
The 7% rate applies only to the amount spent over and above ₹40,000 in a billing cycle.
2. Is the 7% cashback claim misleading?
It can be, if taken at face value. While you do earn 7% on a portion of your spend, the tiered structure ensures the overall effective rate on your total spend is always lower. It’s a marketing headline, not a flat rate.
3. How and when is the cashback credited?
The cashback is automatically credited to your credit card account as a statement credit (fee reversal) in the subsequent billing cycle. No manual redemption is required.
4. What transactions are excluded from the high cashback rates?
Typically, exclusions include:
- Wallet loads (like Paytm, MobiKwik)
- Fuel purchases
- Utility payments (capped at 0.5%)
- Insurance premiums
- Jewelry purchases
- Rent payments
Always check the bank’s detailed terms for the official list of excluded Merchant Category Codes (MCCs).
5. Is there a monthly cap on cashback?
There is no fixed maximum cap, but the tiered structure acts as a soft cap. The maximum cashback you can earn on the first ₹40,000 of online spend is ₹1,850. Above that, you earn an uncapped 7%.
6. How can I get the annual fee waived?
You can get the renewal fee waived by spending ₹4 lakhs in the previous year. Note that rent, wallet, and other excluded transactions do not count towards this milestone.
7. Why is the welcome benefit in reward points and not cashback?
This is a quirk of the card. The 5,000 Edge Reward points are equivalent to ₹1,000, which directly offsets the joining fee, making the card effectively free in the first year.
8. Does this card offer airport lounge access?
No, the Axis Bank Cashback Credit Card does not currently provide any complimentary airport lounge access.
9. Can I hold this card along with my Axis Ace card?
Axis Bank typically has a policy against holding multiple cashback cards. You will likely be asked to close your existing Axis Ace card to be approved for this one.
10. Is this card better than the SBI Cashback Credit Card?
It depends on your spending:
– For spends under ~₹50,000/month: The SBI Card (flat 5%) is simpler and better.
– For very high spends over ~₹52,500/month: The Axis Card becomes more rewarding due to its uncapped 7% tier.
11. What is a good CIBIL score to have for approval?
A CIBIL score of 750 and above is highly recommended for a smooth approval process for this card.
12. Are utility bill payments eligible for 5% or 7% cashback?
No. Utility bill payments are eligible for only a 0.5% cashback rate, which is very low and capped at ₹100 per month. Axis Bank Cashback Credit Card
13. I was a Citi customer. Did I get this card?
Most former Citi Rewards/Cashback customers were migrated to the Axis Rewards Credit Card, not this one. You must apply for the Axis Cashback Card separately.
14. How stable are the rewards? Will Axis devalue this card?
Based on Axis Bank’s history, there is always a risk of devaluation. However, as a newer card replacing a popular Citi product, it is considered stable for now (“Low” on the devaluation meter), but this could change.
15. Does spending on travel websites (like Booking.com, MakeMyTrip) count as “online” spend?
This is a crucial point. Typically, transactions categorized under “Travel” ( MCCs for airlines, hotels, travel agencies) are excluded from the high cashback tiers and only earn 0.75%. Always check the MCC.
16. What is the value of 1 Edge Reward Point?
For this card, Edge Reward Points are valued at 0.20 paise per point (5 points = ₹1) when redeemed as cashback against your statement. Axis Bank Cashback Credit Card
17. Can I convert my existing Axis card to this Cashback card?
You can request a product change, but it is subject to Axis Bank’s internal policies and your eligibility. It’s often easier to apply for it as a new card.
18. What is the best way to use this card? ( Axis Bank Cashback Credit Card )
Use it primarily for high-value online shopping (e.g., electronics, fashion, gadgets) where you can exceed the ₹40,000 threshold to maximize returns. Avoid using it for utilities, fuel, or offline swipes.
19. Is there a joining fee for Axis Bank Cashback Credit Card
Yes, there is a joining fee of ₹1,000 + GST. However, it is effectively waived as you get 5,000 reward points (worth ₹1,000) as a welcome benefit upon fee payment.
20. Who is the ideal user for this card?
The ideal user is someone with very high monthly online spends (excluding travel) who can consistently cross the ₹40,000 threshold to benefit from the top reward tier and doesn’t need lounge access.
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