E-commerce platform Flipkart and Axis Bank on Thursday jointly launched a Mastercard-powered credit card that offers unlimited cashbacks on all expenditures, online and offline.
The registration fee for the card is Rs 500, with an annual waiver on spends of Rs 2 lakh, a release said, adding the cashback will be auto-credited every month in the customer's statement.
The card will be available for select users in July while all customers will get access in a few weeks, the release said.
"Though 90 percent of transactions in India are still processed in cash, we are seeing a sizable shift towards digital payments. This has been spurred by the booming popularity of online shopping and e-commerce — which now account for over 40 percent of all digital payments in India," said Ari Sarker, co-president, Asia-Pacific, Mastercard.
The companies have tied up with various third-party merchants, such as MakeMyTrip, PVR, Uber, UrbanClap, among others. For transactions made on the third-party platforms, the cardholder will receive a 4 percent unlimited cashback.
The card also has 'welcome benefits' worth Rs 3,000 for the initial transactions on the third-party platforms and co-branded merchants.
For the co-branded merchants — Flipkart, Myntra and 2GUD — the customer will receive 5 percent unlimited cashback on the transactions.
On all other merchants, the holder will receive 1.5 percent unlimited cashback.
Apart from the cashback benefits, the cardholder will also get four complimentary lounge visits across airports in India every year. Among the benefits is fuel surcharge waiver of one percent for up to Rs 500 per month.
The cardholder will also be able to apply for a 20 percent discount and 1.5 percent cashback on Axis Bank's partnered restaurants, across the country.
The Flipkart-Axis Bank Credit Card is aimed at catering to both, credit-worthy individuals, as well as those who have not been able to access formal credit before, added the statement.