Credit cards have evolved from being a luxury product for the elite to an everyday financial tool used by millions of Indians. In 2026, the credit card market in India is more competitive than ever — with banks and fintech companies aggressively launching cards that offer zero annual fees, generous cashback, reward points, fuel surcharge waivers, and lifestyle benefits. But with hundreds of options available, finding the right card that gives you the best value without charging an annual fee can be overwhelming.
This complete guide breaks down the best zero annual fee credit cards with the highest cashback in India in 2026 — so you can earn more on every rupee you spend without paying a single rupee in membership charges.
Why Zero Annual Fee Credit Cards Make Perfect Sense
Many Indians hesitate to get a credit card fearing hidden charges and annual fees that eat into any rewards earned. A zero annual fee credit card eliminates this concern entirely. You keep the card active without worrying about a yearly deduction, and every cashback or reward point you earn is pure profit.
In 2026, some of the best zero fee cards offer cashback rates of 1% to 5% on everyday categories like groceries, fuel, online shopping, dining, and utility bill payments. For a household spending ₹30,000 per month on a card, even a 2% flat cashback translates to ₹7,200 in annual savings — completely free of cost.
Zero annual fee cards are ideal for first-time credit card users, students, homemakers, self-employed individuals, and anyone who wants the benefits of a credit card without the commitment of a paid membership.
Best Zero Annual Fee Cashback Credit Cards in India 2026
Here are the top credit cards offering zero annual fees and the highest cashback across different spending categories:
1. SBI Cashback Credit Card — Best Overall Cashback Card
The SBI Cashback Credit Card is arguably the best cashback credit card in India for online shoppers in 2026. It offers a flat 5% cashback on all online transactions and 1% cashback on offline purchases — with no merchant restrictions whatsoever. This means you earn 5% back whether you shop on Amazon, Flipkart, Swiggy, Zomato, or book tickets on MakeMyTrip.
The annual fee is ₹999, but it is fully waived on annual spends above ₹2 lakh — easily achievable for most active card users. The cashback is automatically credited to your statement, requiring no redemption process. For regular online shoppers, this card can deliver ₹10,000 to ₹15,000 in annual cashback value.
2. HDFC Millennia Credit Card — Best for Young Professionals
The HDFC Millennia Credit Card is designed specifically for digitally active millennials and offers exceptional value across popular platforms. It provides 5% cashback on Amazon, Flipkart, Myntra, Swiggy, Zomato, and other top platforms, and 1% cashback on all other spends.
The annual fee of ₹1,000 is waived on spends above ₹1 lakh per year — one of the lowest spending thresholds for fee waiver among premium cashback cards. Cashback is credited as CashPoints redeemable against the statement balance. For a young professional spending ₹20,000 to ₹30,000 monthly, this card offers outstanding returns.
3. Axis Bank Ace Credit Card — Best Flat Cashback Card
The Axis Bank Ace Credit Card is one of the most popular flat cashback cards in India — and for good reason. It offers 5% cashback on bill payments through Google Pay, 4% cashback on Swiggy, Zomato, and Ola, and 2% cashback on all other transactions with no category restrictions.
The annual fee is ₹499, waived on annual spends above ₹2 lakh. The unlimited 2% flat cashback on all other spends makes this card extremely versatile — ideal for users who want consistent returns without tracking category-specific offers. This card is particularly powerful when combined with Google Pay for utility bill payments.
4. ICICI Amazon Pay Credit Card — Best for Amazon Shoppers
The ICICI Amazon Pay Credit Card is a lifetime free credit card — meaning absolutely zero annual fee, ever, with no spending condition attached. It offers 5% cashback on Amazon.in for Amazon Prime members, 3% cashback for non-Prime members, 2% cashback on paying at Amazon Pay partner merchants, and 1% cashback on all other transactions.
Cashback is instantly credited to your Amazon Pay balance, making redemption seamless. For frequent Amazon shoppers and Prime subscribers, this card is an absolute no-brainer — delivering exceptional value completely free of charge.
5. Flipkart Axis Bank Credit Card — Best for Flipkart and Myntra Shoppers
The Flipkart Axis Bank Credit Card offers 5% cashback on Flipkart and Myntra, 4% cashback on Swiggy, Uber, and PVR, and 1.5% unlimited cashback on all other spends. The annual fee of ₹500 is waived on spends above ₹2 lakh.
This card is a perfect complement to the Amazon Pay card — together, the two cards cover virtually all major online shopping platforms with maximum cashback rates.
6. HDFC MoneyBack+ Credit Card — Best for Offline and Online Balance
The HDFC MoneyBack+ Credit Card offers 10X CashPoints on Amazon, Flipkart, Reliance Smart SuperStore, and Swiggy, along with 2X CashPoints on all other spends. The annual fee of ₹500 is waived on spends above ₹50,000 per year — one of the most accessible fee waiver conditions available.
CashPoints can be redeemed against statement balance, flight bookings, or product catalogue. This card suits users who split spending between online platforms and physical stores.
7. Tata Neu Infinity HDFC Credit Card — Best for Tata Ecosystem Shoppers
For shoppers deeply embedded in the Tata ecosystem — BigBasket, Croma, Tata Cliq, Tata 1mg, Air Asia, and more — the Tata Neu Infinity HDFC Card offers 5% NeuCoins on Tata platform purchases and 1.5% NeuCoins on all other transactions. NeuCoins are redeemable as cash across all Tata platforms.
The annual fee of ₹1,499 is waived on spends above ₹3 lakh. Given the breadth of the Tata ecosystem in India’s retail, grocery, healthcare, and travel sectors, this card delivers exceptional real-world value for loyal Tata shoppers.
Comparison Table: Best Zero Fee Cashback Cards India 2026
| Card | Best For | Top Cashback Rate | Fee Waiver Threshold |
|---|---|---|---|
| SBI Cashback Card | All online shopping | 5% online | ₹2 lakh/year |
| HDFC Millennia | Millennials / top apps | 5% on select apps | ₹1 lakh/year |
| Axis Ace | Flat cashback / bills | 5% on Google Pay bills | ₹2 lakh/year |
| ICICI Amazon Pay | Amazon shoppers | 5% on Amazon | Lifetime free |
| Flipkart Axis | Flipkart / Myntra | 5% on Flipkart | ₹2 lakh/year |
| HDFC MoneyBack+ | Balanced spenders | 10X on select brands | ₹50,000/year |
| Tata Neu Infinity | Tata ecosystem | 5% NeuCoins on Tata | ₹3 lakh/year |
How to Maximize Cashback From Your Credit Card
Owning a great cashback card is only half the equation — using it strategically is what separates average cardholders from smart ones.
Stack multiple cards for different categories. The ICICI Amazon Pay card for Amazon purchases, the Axis Ace card for utility bills and food delivery, and the SBI Cashback card for all other online transactions form a powerful combination that maximizes returns across every spending category.
Always pay your bill in full every month. Cashback and rewards are instantly wiped out by credit card interest charges of 36% to 42% per annum. A credit card only adds value when used as a spending tool — not as a borrowing tool.
Link your card to UPI and digital wallets where eligible to earn cashback on transactions you would otherwise make through bank transfers. The Axis Ace card’s 5% on Google Pay bill payments is a prime example of this opportunity.
Track your annual spend to ensure you cross the fee waiver threshold. If your spend is close to the threshold in the last quarter of the year, consolidating purchases on that card protects you from paying the annual fee.
What to Look for Beyond Cashback
While cashback rate is important, a few other factors should influence your credit card choice in 2026:
Fuel surcharge waiver — most good cards offer a 1% waiver on fuel transactions at petrol pumps, saving ₹3,000 to ₹5,000 annually for frequent drivers. Lounge access — some zero fee or low-fee cards offer complimentary domestic airport lounge access, a premium benefit at minimal cost. EMI conversion — the ability to convert large purchases into no-cost EMIs is a valuable feature for big-ticket buying. Credit limit and eligibility — ensure the card’s minimum income requirement matches your profile before applying.
Final Verdict
In 2026, Indian consumers have access to some of the most rewarding zero annual fee credit cards ever launched. The ICICI Amazon Pay Card wins for lifetime free status. The Axis Bank Ace Card is the king of flat cashback. The SBI Cashback Card dominates for online shoppers. And the HDFC Millennia Card is the top pick for millennials who live on food delivery and e-commerce apps.
The smartest approach is to hold two to three complementary cards — each optimized for a different spending category — and pay the balance in full every month. Done right, your credit cards can earn you ₹10,000 to ₹25,000 in annual cashback value, completely free of cost.
Disclaimer: Card features, cashback rates, and fee waiver conditions are subject to change. Please verify current terms on the respective bank’s official website before applying.