Make sure annual spend justifies the card’s fee

Co-branded credit cards (CBCCs) are fast emerging as one of India’s most powerful credit growth engines.

- SANJEEV SINHA

Revenues from these partnerships are projected to triple by FY28, from %17,000-19,000 crore today, according to a study by Zeta. While these cards offer attractive benefits, users must stay alert about their conditions and costs.

Reward brand loyalty

Co-branded credit cards offer higher rewards than regular cards, especially to loyal users of specific brands or spending categories. “They provide higher reward rates, instant discounts, and complimentary memberships, turning regular purchases into valuable benefits such as free flights, lounge access, or shopping vouchers,” says Raoul Kapoor, co-chief executive officer (co-CEO), Andromeda Sales and Distribution.

“CBCCs offer a convenient payment option with added value through exclusive deals, often at no extra cost. Unlike regular cards with broader benefits, co-branded cards feature partner-specific perks,” adds Adhil Shetty, CEO, BankBazaar.com.

Selecting the right card