Credit Card Interest Rates in India 2026 – Compare & Calculate Charges

The interest rate for a credit card cash withdrawal is similar to the monthly interest rate on regular purchases, typically ranging from 30% to 48% annually. This interest accrues from the date of withdrawal until the amount is repaid. Besides this, the issuers also charge a cash withdrawal fee, usually ranging from 2.5% to 3% of the transaction amount, with a minimum fee of Rs. 250 to Rs. 500.

There is no fixed interest rate for student credit cards. The interest rate generally varies between 30% and 48% annually, depending on the card variant

Interest is applicable on your credit card when you roll over an outstanding amount to the next billing cycle. In this case, new purchases will also attract interest from the first day onwards.

You must always pay your credit card bill in full on or before the due date in order to avoid paying any interest on the balance.

Yes, interest will be charged on the remaining balance even after you pay the minimum amount due.

No. The interest rates are set and updated at the bank’s sole discretion and they cannot be negotiated.

Unlike other credit products like personal loan and home loan where interest rates vary from one consumer to consumer, credit card interest rates remain the same for all users. Credit score does not have any impact on credit card interest rates.

Yes. Card issuers reserve the right to revise the interest rate on their credit cards. You will be notified about any such changes through SMS and email on your registered mobile number and email address.

Yes. In most cases, cash advances do not qualify for the interest-free period, which means interest will be applicable from the day of withdrawal until the amount is paid off in full. Also, when you withdraw cash from credit card, new transactions also become ineligible for the interest-free period, thus quickly adding up the charges.

Some of the best credit cards with low interest rates are IDFC FIRST Private Credit Card, IndusInd Bank Indulge Credit Card, Axis Burgundy Private Credit Card, and HDFC Diners Club Black Credit Card. However, keep in mind that interest rates can change over time, so it is advisable to visit the official website of the respective issuer for the updated rates.

Credit card interest is usually expressed as an Annual Percentage Rate (APR) but is calculated on a daily basis on your outstanding balance. The APR gives the yearly cost, while actual interest accrues based on how long you carry the debt.

Interest rates depend on several factors including your credit score, repayment history, type of card, outstanding balance, and bank policies.

Interest is typically charged on outstanding balances, cash advances, balance transfers, EMI conversions, and certain fees if not paid within the grace period. Regular purchases may avoid interest if the full statement balance is cleared on time.