Suryoday Small Finance Bank launches FD-backed credit cards

Suryoday Small Finance Bank launched two secured credit cards on Monday, backed by customers’ fixed deposits and offering 0.5 per cent cashback on all transactions. The Mumbai-based lender introduced the Suryoday SFB RuPay Select and Platinum variants, targeting customers who may not qualify for conventional credit cards due to income or documentation requirements.

The cards require minimum fixed deposits of ₹1,000 for the Platinum variant and ₹1,11,500 for the Select variant. Customers earn up to 8.40 per cent interest on their backing deposits while accessing credit equal to their FD amount. Both variants feature instant virtual issuance and integration with UPI platforms.

The move addresses India’s credit card penetration gap, with only 111 million cards in circulation as of May 2025 among the country’s 1.4 billion population. The bank aims to help first-time users and low-income households build credit history without traditional income proof requirements.

Key features include lifetime free status with no hidden charges, cashback capped at ₹3,000 per billing cycle, and exclusive RuPay offers across lifestyle categories. Annual fees of ₹150 plus GST are waived on spending ₹20,000 for Platinum and ₹50,000 for Select variants.

Chief Business Officer Gaurav Pawra said the product democratizes credit access while helping customers transition into the formal credit ecosystem. The bank operates 710 outlets across 15 states and union territories.

Published on September 2, 2025