State Bank of India Cashback Card Review

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SBI Cashback Card Review: Your Ultimate Guide to Maximizing Rewards

Introduction to the SBI Cashback Credit Card

The SBI Cashback Credit Card has become a go-to choice for many in India, especially for those who love shopping online and want straightforward rewards without the hassle of complicated point systems. With its attractive cashback offers and simple structure, it's designed to appeal to both beginners and seasoned credit card users. In this detailed review, we'll explore everything you need to know about the SBI Cashback Card, from its features and benefits to its fees, eligibility, and how it stacks up against competitors. Whether you're a frequent online shopper or someone looking to save on daily expenses, this guide will help you decide if this card is right for you.

What Makes the SBI Cashback Card Stand Out?

The SBI Cashback Credit Card is tailored for those who prefer simplicity and direct savings. Unlike many credit cards that offer reward points requiring redemption, this card provides cashback that's automatically credited to your account, making it hassle-free. Its standout feature is the flat 5% cashback on all online purchases, which applies across major e-commerce platforms like Amazon, Flipkart, and Myntra, without any merchant restrictions. This makes it a versatile option for online shoppers who want to maximize savings on everything from groceries to gadgets.

For offline purchases, the card offers 1% cashback, ensuring you earn rewards even on in-store transactions like dining or shopping. Additionally, the card comes with a 1% fuel surcharge waiver, which adds value for those who frequently refuel their vehicles. With no need to track points or navigate complex redemption processes, the SBI Cashback Card is ideal for users who value convenience and transparency.

Key Features and Benefits

Let's dive into the core features that make the SBI Cashback Credit Card a compelling choice:

• 5% Cashback on Online Purchases: The card offers an industry-leading 5% cashback on all online transactions, with no restrictions on merchants or platforms. Whether you're ordering food from Swiggy, booking flights on MakeMyTrip, or shopping on Amazon, you'll earn cashback on every purchase. This feature is particularly attractive for digital-savvy users who do most of their spending online.
  
• 1% Cashback on Offline Purchases: For in-store shopping, dining, or other offline transactions, the card provides 1% cashback. While this is lower than the online rate, it ensures you're rewarded for all your spending, making the card versatile for various lifestyles.
  
• 1% Fuel Surcharge Waiver: The card offers a 1% fuel surcharge waiver on transactions between ₹500 and ₹3,000 at petrol pumps across India. The maximum waiver is capped at ₹100 per statement cycle, which can add up to significant savings for frequent drivers.
  
• Automatic Cashback Credit: One of the card's biggest advantages is its seamless cashback system. The cashback you earn is automatically credited to your SBI Card account within two days of your next statement generation, eliminating the need for manual redemption.
  
• Contactless Payments: The card supports Visa PayWave technology, allowing you to make quick and secure tap-to-pay transactions for purchases up to ₹5,000. This feature is perfect for small, everyday transactions like grabbing a coffee or shopping at a local store.
  
• Global Acceptance: Accepted at over 24 million outlets worldwide, including 3.25 lakh outlets in India, the card is ideal for both domestic and international use. You can also withdraw cash from over 1 million Visa ATMs globally, though cash withdrawals come with finance charges.
  
• Add-On Cards: You can share the card's benefits with family members by issuing add-on cards for your spouse, parents, children, or siblings over the age of 18.
  
• Balance Transfer on EMI: The card allows you to transfer outstanding balances from other credit cards and pay them back in easy EMIs at a lower interest rate, helping you manage your finances more effectively.
  
• Easy Bill Pay: Pay utility bills like electricity, telephone, and mobile with the card's Easy Bill Pay feature, streamlining your monthly payments.
  

Fees and Charges

Understanding the costs associated with a credit card is crucial before applying. Here's a breakdown of the SBI Cashback Card's fees and charges:

• Joining Fee: ₹999 + GST (one-time fee).
  
• Annual Fee: ₹999 + GST, charged from the second year onwards. This fee is waived if you spend ₹2 lakh or more in the previous year.
  
• Finance Charges: 3.5% per month (42% per annum) on unpaid balances or cash withdrawals.
  
• Foreign Currency Markup Fee: 3.5% + GST for international transactions.
  
• Cash Advance Fee: 2.5% of the amount withdrawn or ₹500, whichever is higher.
  
• Cashback Cap: The maximum cashback you can earn per statement cycle is ₹5,000, which includes both online and offline spends.
  

The annual fee waiver on ₹2 lakh annual spends is achievable for moderate to high spenders, effectively making the card cost-free if you meet the threshold. However, the high finance charges on cash withdrawals make it advisable to avoid using the card for cash advances unless absolutely necessary.

Eligibility Criteria

To apply for the SBI Cashback Credit Card, you must meet the following requirements:

• Be an Indian resident aged between 21 and 70 years.
• Have a stable source of income (salaried or self-employed).
• Maintain a good credit score, preferably 750 or higher.
• Provide valid proof of identity (Aadhaar card, PAN card, driver's license, or voter's ID).
• Submit proof of address (utility bills, Aadhaar card, passport, or driver's license).
• Provide income proof, such as recent salary slips, bank statements, or audited ITR for self-employed individuals.

The application process is straightforward and can be completed online through the SBI Card website or the SBI Card SPRINT platform. You'll need to fill in personal and professional details, complete KYC verification, and upload scanned copies of required documents. Once approved, the card is typically delivered within 7-10 business days.

How to Apply for the SBI Cashback Card

Applying for the SBI Cashback Credit Card is a simple process:

• Visit the official SBI Card website.
• Navigate to the "Credit Cards" section and select the SBI Cashback Card.
• Click "Apply Now" and fill out the online application form with your personal, professional, and financial details.
• Complete KYC verification, which may involve a telephonic or physical verification step.
• Upload required documents, such as proof of identity, address, and income.
• Submit the application and track its status on the SBI Card website.

Ensure all details are accurate to avoid delays or rejection. A strong credit score and complete documentation can significantly improve your chances of approval.

Who Should Get the SBI Cashback Card?

The SBI Cashback Credit Card is ideal for:

• Online shoppers who spend heavily on e-commerce platforms and want to maximize cashback without merchant restrictions.
• Beginners looking for a simple, no-fuss credit card with straightforward rewards.
• Individuals who prefer cashback over reward points, as it eliminates the need for redemption.
• Frequent drivers who can benefit from the fuel surcharge waiver.
• Users who want a globally accepted card for both domestic and international transactions.

However, the card may not be the best fit for those whose spending is primarily on excluded categories like rent, utilities, insurance, or fuel, as these do not earn cashback. If your expenses are mostly offline or in these categories, you might want to explore other cards like the SBI SimplyClick Credit Card or co-branded cards like Swiggy HDFC or Flipkart Axis.

Comparing the SBI Cashback Card with Competitors

To help you decide if the SBI Cashback Card is right for you, let's compare it with two popular cashback credit cards in India: the Amazon Pay ICICI Credit Card and the Flipkart Axis Credit Card.

• SBI Cashback Card vs. Amazon Pay ICICI Credit Card
  
  • Cashback: The SBI Cashback Card offers 5% cashback on all online spends, while the Amazon Pay ICICI Card offers 5% cashback for Amazon Prime members (3% for non-Prime members) on Amazon purchases and 2% on partner merchants. The SBI card's lack of merchant restrictions gives it an edge for versatile online shopping.
    
  • Fees: The Amazon Pay ICICI Card is lifetime free, while the SBI card has a ₹999 annual fee (waivable on ₹2 lakh spends). The Amazon card is more cost-effective for low spenders.
    
  • Other Benefits: The SBI card offers a fuel surcharge waiver and global acceptance, while the Amazon card focuses on Amazon-specific benefits and lacks fuel waivers.
    
  • Best For: The SBI card is better for those who shop across multiple platforms, while the Amazon card suits Amazon loyalists.
    
• SBI Cashback Card vs. Flipkart Axis Credit Card
  
  • Cashback: The Flipkart Axis Card offers 5% cashback on Flipkart and Cleartrip, 4% on preferred merchants like Swiggy and Uber, and 1.5% on other spends. The SBI card's 5% cashback on all online spends is more flexible due to no merchant restrictions.
    
  • Fees: The Flipkart Axis Card has a ₹500 joining and annual fee (waivable on ₹2 lakh spends), making it slightly cheaper than the SBI card.
    
  • Other Benefits: The Flipkart card includes milestone benefits like Flipkart vouchers, while the SBI card focuses on fuel waivers and contactless payments.
    
  • Best For: The SBI card is ideal for broad online spending, while the Flipkart card is better for Flipkart and partner merchant loyalists.
    

The SBI Cashback Card's strength lies in its universal 5% cashback on online spends, making it a strong contender for those who shop across multiple platforms without wanting to juggle multiple co-branded cards.

Pros and Cons of the SBI Cashback Card

Pros:

• High 5% cashback on all online purchases with no merchant restrictions.
• Automatic cashback credit within two days of statement generation.
• 1% fuel surcharge waiver up to ₹100 per statement cycle.
• Global acceptance at over 24 million outlets.
• Contactless payment support for quick transactions.
• Add-on cards for family members and balance transfer options.

Cons:

• ₹5,000 monthly cashback cap limits rewards for high spenders.
• No cashback on categories like rent, utilities, insurance, fuel, or jewelry.
• ₹999 annual fee may be a drawback for low spenders (though waivable).
• No lounge access or milestone benefits.
• High finance charges on cash withdrawals (42% per annum).
• Low credit limits for some users, especially those with multiple SBI cards.

Tips to Maximize Your SBI Cashback Card Benefits

To get the most out of your SBI Cashback Card, consider these strategies:

• Focus on Online Spending: Since the card offers 5% cashback on online purchases, prioritize using it for e-commerce, food delivery, travel bookings, and bill payments via online platforms.
  
• Use Amazon Pay for Utilities: While direct utility payments don't earn cashback, you can buy Amazon Pay vouchers and use them for bill payments to earn 5% cashback.
  
• Meet the Annual Fee Waiver: Spend at least ₹2 lakh annually to waive the ₹999 renewal fee, making the card cost-free.
  
• Avoid Cash Withdrawals: The high finance charges make cash advances costly, so use the card primarily for purchases.
  
• Track Your Spending: Use the SBI Card website's spend analyzer to verify cashback-eligible transactions, as the mobile app may show incorrect transaction types.
  
• Combine with Other Cards: Pair the SBI Cashback Card with cards like Axis Ace (for utility bills) or Amex MRCC (for fuel and insurance) to maximize rewards across all spending categories.
  

User Experiences and Feedback

Many users praise the SBI Cashback Card for its simplicity and high cashback rate on online spends. The automatic cashback credit is a favorite feature, as it eliminates the need to track or redeem points. Users who shop frequently on platforms like Amazon, Flipkart, or Zomato find the 5% cashback highly rewarding, especially for those who don't want to manage multiple co-branded cards.

However, some users report drawbacks, such as low credit limits, especially for those holding multiple SBI cards. The ₹5,000 monthly cashback cap can also be limiting for high spenders. Additionally, some have noted that the lack of transparency in transaction-wise cashback calculations can be confusing, as you may need to wait for the statement to confirm earnings. Customer service experiences vary, with some users finding it less responsive compared to other banks.

Is the SBI Cashback Card Worth It?

The SBI Cashback Credit Card is a strong choice for online shoppers who want a simple, rewarding card without the complexity of reward points. Its 5% cashback on all online spends, coupled with automatic crediting and no merchant restrictions, makes it a standout in the cashback card category. The fuel surcharge waiver and global acceptance add to its versatility, while the waivable annual fee ensures it's cost-effective for moderate spenders.

However, it's not perfect for everyone. If your spending is heavily focused on utilities, rent, or offline purchases, you may find the card less rewarding due to its exclusions and lower offline cashback rate. High spenders may also hit the ₹5,000 monthly cashback cap quickly, limiting their rewards. In such cases, exploring other cards or combining the SBI Cashback Card with complementary cards can optimize your savings.