Hey there, credit card enthusiast! Today, we\’re diving deep into the SBI Cashback Credit Card Review. This card used to be a darling for many, but a significant devaluation in May 2024 has really shaken things up. So, the big question is: Is it still worth having in your wallet?
Table of Contents
- SBI Cashback Card At A Glance
- The Big Devaluation: What Changed?
- Reward Rate Breakdown
- The Long List of Exclusions
- Other Noteworthy Benefits
- Pros & Cons: A Quick Comparison
- Who Should Still Consider This Card?
- MySwipe.in\’s Final Verdict
- Frequently Asked Questions
SBI Cashback Card At A Glance
Let\’s kick things off with a quick look at the card\’s main features, especially after the recent changes.
| Feature | Details |
|---|---|
| Annual Fee | ₹999 + GST |
| Annual Fee Waiver | Spend ₹2,00,000 in the previous year |
| Joining Fee | ₹999 + GST (reversed on ₹2,000 spend in 60 days) |
| Reward Rate (Post-May 2024) | 1.25% cashback on online spends; 0.5% cashback on offline spends |
| Cashback Cap | ₹5,000 per statement cycle (overall) |
| Lounge Access | None |
| Best For | Very moderate online shoppers who avoid excluded categories (and maybe as a secondary card) |
The Big Devaluation: What Changed?
Alright, let\’s address the elephant in the room. Before May 15, 2024, the SBI Cashback Card offered a flat 5% cashback on all online spends. That was amazing! But now? It\’s been slashed.
Online spends now fetch you a mere 1.25% cashback, while offline spends get just 0.5%. Plus, the overall cashback cap is ₹5,000 per month. This change has made many users question its value.
Reward Rate Breakdown
Here’s how your cashback adds up, keeping the new rules in mind.
| Category | Cashback Rate (Effective May 15, 2024) |
|---|---|
| Online Spends (e.g., Amazon.in, Flipkart, Swiggy, Zomato) | 1.25% cashback (capped at ₹5,000 per month overall) |
| Offline Spends (POS transactions, in-store shopping) | 0.5% cashback (subject to overall monthly cap) |
| Excluded Spends (see next section) | 0% cashback |
Remember, this cashback is automatically credited to your statement, which is a neat feature.
The Long List of Exclusions
This is where it gets tricky. SBI has a massive list of transactions that don\’t earn any cashback. It\’s crucial to know these to avoid disappointment.
- Rent payments
- Fuel spends (though there\’s a separate waiver)
- Wallet loads (e.g., Paytm, Google Pay)
- Insurance premiums
- Jewellery purchases
- Utilities (electricity, water bills)
- Educational institution fees
- EMI transactions
- Cash advances
- Balance transfers
- Gift card purchases
- Digital Gaming
- Tolls / FASTag recharges
- Government Payments & Taxes
- Railways
Phew! That\’s a lot, right? This means for many common spends, you won\’t get any benefit.
Other Noteworthy Benefits
While the cashback has taken a hit, some other benefits remain.
Annual Fee Waiver
You can get your ₹999 + GST annual fee waived if you spend ₹2,00,000 or more in the preceding year. This is a decent target for many.
1% Fuel Surcharge Waiver
You get a 1% fuel surcharge waiver, up to ₹100 per statement cycle. This is valid on transactions between ₹500 and ₹3,000. It\’s a standard benefit, nothing extraordinary.
Joining Benefit
The joining fee is reversed if you spend ₹2,000 within the first 60 days of card issuance. A small relief, but useful.
EMI Conversion
Like many SBI cards, you can convert large purchases into easy EMIs, which is a handy option if you need it.
![\"SBI](\"/path/to/sbi-cashback-card-image.jpg\")
Pros & Cons: A Quick Comparison
Let\’s sum up the good and the not-so-good about the SBI Cashback Card after the changes.
| Pros ✅ | Cons ❌ |
|---|---|
| Automatic cashback credit to statement | Major Devaluation: Online cashback cut to 1.25%, offline to 0.5% (May 2024) |
| 1% fuel surcharge waiver (up to ₹100/month) | Extensive list of cashback exclusions (Rent, Fuel, Utilities, Insurance, Education, etc.) |
| Annual fee waiver on ₹2 Lakh spend | No complimentary airport lounge access |
| No minimum spend required to earn cashback | High finance charges (up to 42% p.a.) and foreign currency markup (3.5%) |
| Simple and straightforward cashback mechanics (despite reduced rates) | Community reports poor customer support and frequent transaction blocking |
| Globally accepted, easy EMI conversion option | Low initial credit limits for some users |
| Cashback calculation can sometimes be tricky or inconsistent | |
| Further devaluation expected in April 2026 (even lower caps!) |
Who Should Still Consider This Card?
Honestly, after the devaluation, it\’s tough to recommend this card as a primary option for most. However, it might still fit a very niche user:
- If you have very moderate online spends (say, under ₹50,000 a month) and your spends largely fall outside the excluded categories.
- As a secondary card for specific small online purchases where other cards don\’t offer better value.
- If you consistently hit the ₹2 Lakh annual spend for fee waiver and don\’t pay much attention to reward rates anyway.
For better options, check out our list of Best Cashback Credit Cards in India.
MySwipe.in\’s Final Verdict
The SBI Cashback Credit Card, once a powerhouse, has unfortunately fallen from grace. The drastic reduction in cashback rates and the extensive list of exclusions make it a less attractive option in 2024.
While the automatic cashback credit is convenient, its overall value proposition has diminished significantly. Unless your spending perfectly aligns with its limited benefits and avoids all exclusions, you\’re likely better off exploring other cashback or reward cards in the market. It\’s sad to say, but for many, this card is now largely \’worthless\’ compared to its former glory. Do your research and compare it with cards like the HDFC Millennia or Flipkart Axis Bank Credit Card which often offer better value for online spends.