Best Credit Card for a Poor Credit Score
How to get a credit card with a low CIBIL score or past defaults, why FD-backed cards are the realistic route, and a 12-month plan to rebuild.
Updated 30 September 2026 · 107 cards from 17 issuers trackedWhat you need to know
With a score below about 700, recent defaults or a “settled” account on your report, unsecured card applications are usually declined — and each rejection adds a hard enquiry. A card secured against a fixed deposit sidesteps this, because the bank’s risk is covered by the FD. Used carefully for 6–12 months, it rebuilds your record so you can move to a regular card.
- Secured cards: SBI Card Unnati (FD ₹25,000), Kotak 811 Dream Different (lifetime free), ICICI Instant Platinum (FD ₹50,000, limit up to 90%), IDBI Imperium Platinum (FD ₹20,000, limit up to 85%).
- Lenders report to bureaus at least fortnightly since January 2025, so good behaviour shows up faster than before.
- You are entitled to one free full credit report a year from each credit bureau — check it for errors first.
Cards you can get with a low score
| Card | Issuer | Joining / annual fee | Min. income | Best for |
|---|---|---|---|---|
| SBI Card Unnati | SBI Card | Free / Free | No income proof or credit score needed; SBI FD of Rs 25,000 | Students and new-to-credit users |
| ICICI Bank Instant Platinum Credit Card (against FD) | ICICI Bank | Free / Free | Age 18+ resident with ICICI FD of Rs 50,000+; no income pro… | Students/first-time users building credit against an FD |
| Kotak 811 Dream Different | Kotak Mahindra Bank | Free / Free | Secured against FD | Credit-building for new-to-credit users |
| Kotak NRI Royale Signature | Kotak Mahindra Bank | Free / ₹1,000 | NRIs holding NRE/NRO term deposit with Kotak | NRIs wanting an INR card backed by NRE/NRO FD |
| Canara Bank RuPay Select Secured | Canara Bank | — / — | — | Building credit history against an FD |
| IDBI Bank Imperium Platinum | IDBI Bank | ₹499 / ₹499 | — | Secured card against FD (min Rs 20,000; limit up to 85% of FD) |
| BOI Swadhan RuPay Platinum | Bank of India | Free / Free | — | Secured card against term deposit |
12-month rebuilding plan
- Month 0: get your reportsDownload your free reports from CIBIL, Experian, Equifax and CRIF High Mark. Dispute errors with the bureau; lenders must correct settled accounts within 30 days of settlement.
- Month 0–1: clear or regularise overdue accountsAn account that is still overdue hurts more than anything else. Paying it off stops further damage.
- Month 1: open a secured cardChoose a fee-free or low-fee FD-backed card from a bank you already use.
- Months 1–12: use lightly, pay in fullPut one or two regular bills on it, keep the balance under 30% of the limit, and set auto-pay for the full amount.
- Month 6–12: reviewCheck your score. With a clean record, ask the bank to convert to or offer an unsecured card; apply for one card at a time.
What not to do
- Don’t apply for several unsecured cards hoping one gets approved — every rejection is another hard enquiry.
- Avoid “credit repair” agents who promise to delete genuine defaults; only inaccurate entries can be removed.
- Don’t revolve balances on the secured card. At 3.5%–3.75% a month plus GST, ₹20,000 unpaid costs about ₹850 a month in interest.
- Don’t settle a card or loan for less than the dues if you can repay in full — a “settled” status stays on your report and worries lenders.
Why your score is low — and what fixes it
- Utilisation: TransUnion CIBIL describes spending around 30% of available limit as healthy; higher utilisation may lower score.
- CIBIL: higher utilisation suggests over-extension; each credit application enquiry may have a marginal impact and many applications in a short period may hurt the score; checking your own score has no impact.
- Bureau update frequency: RBI circular of 8 Aug 2024 requires credit institutions to report credit information to CICs fortnightly (or shorter), effective 1 Jan 2025, submitted within 7 calendar days of the fortnight.
- Free Full Credit Report including credit score, once per calendar year from each CIC (RBI, 1 Sep 2016; effective 1 Jan 2017).
- Card issuers cannot report a new card to CICs before activation; must intimate cardholder before reporting default; update within 30 days of settlement.
- From 1 Apr 2027 (Amendment Directions 2026): card accounts reported ’past due’ only when overdue more than 3 days.
What carrying a balance costs
Frequently asked questions
Can I get a credit card with a CIBIL score of 600?
An unsecured card is unlikely. A secured card against a fixed deposit is the reliable option, since approval depends on the FD rather than your score.
How long does it take to rebuild a credit score?
Typically 6–12 months of on-time payments and low utilisation show a clear improvement. Serious defaults remain visible in history for longer, but their effect fades as good behaviour builds up.
Will a secured card show as a secured loan on my report?
It appears as a credit card account. What matters to future lenders is that it shows on-time payments and sensible utilisation.
Does settling a credit card debt improve my score?
It stops further delinquency, but “settled” is viewed negatively. Where possible, pay the full outstanding so the account is reported as “closed”.
Card features, fees and reward rates are compiled from issuers’ published terms and reputable card-review sites (source and date on each card page). Issuers change benefits often — confirm the latest MITC before applying.