Business Credit Cards in India
Credit cards for proprietors, freelancers and small businesses — how they differ from personal and corporate cards, eligibility, rewards on GST and software spends.
Updated 28 September 2026 · 107 cards from 17 issuers trackedWhat you need to know
RBI defines a business credit card as one issued to business entities or individuals for business expenses, not personal use. In India these are mostly aimed at self-employed people and small businesses: HDFC Biz Grow and Biz Power reward tax, GST, software and advertising spends, while cards like Fed StarBiz are linked to a business overdraft or cash-credit line. They separate business spending from personal spending and give 20–50 days of interest-free working capital.
- Corporate cards are different: issued to a company’s employees, with liability on the employer, the employee or both.
- Since March 2024 business cards can be charge cards, corporate cards or linked to business credit facilities such as an overdraft, and issuers must monitor end-use.
- For proprietors, the card is usually in the individual’s name, and repayment history shows on the owner’s credit report.
Business cards compared
| Card | Issuer | Joining / annual fee | Reward rate | Best for | Net value on ₹3 lakh/yr spend* |
|---|---|---|---|---|---|
| HDFC Bank Biz Power | HDFC Bank | ₹2,500 / ₹2,500 | 1.73% base value | Growing businesses with large digital/utility spends | ₹2,240 |
| HDFC Bank Biz Grow | HDFC Bank | ₹500 / ₹500 | 0.25% base value | Small business owners paying GST/tax and software bills | ₹750 |
| Fed StarBiz | Federal Bank | ₹275 / ₹275 | See card page | MSME proprietors paying business expenses from their OD/CC line | — |
* Base reward value on ₹3 lakh of yearly spends minus annual fee + 18% GST (fee treated as waived when the published waiver threshold is ₹3 lakh or less). Accelerated categories, caps and exclusions change the real value — see each card page.
Business vs personal vs corporate card
| Business card | Personal card | Corporate card | |
|---|---|---|---|
| Who holds it | Proprietor, partner or business | Individual | Employees of a company |
| Who pays | Business/owner | You | Company, employee or both per terms |
| Eligibility | ITR/business proof (HDFC Biz Grow: ITR ₹6 lakh+; Biz Power: ₹12 lakh+) | Salary or income proof | Company’s credit assessment |
| Rewards focus | Tax, GST, utilities, software, ads, travel | Shopping, dining, travel | Usually expense control, not rewards |
| Credit report | Usually the owner’s | Yours | Depends on liability structure |
Getting value from a business card
- Pay GST, advance tax and software bills (AWS, Office 365) on a card that rewards them — HDFC Biz Grow gives 10X on select business spends, capped at 1,500 points a month.
- Watch the new fees: HDFC Bank charges 1% on rent, on third-party wallet loads above ₹10,000 a month and on utilities above ₹50,000 a month (capped ₹4,999 a month each).
- Use the interest-free period as short-term working capital, but never revolve — at 3.5%–3.75% a month the card is far costlier than a business overdraft.
- Keep personal spends off the business card so your accounts and any expense claims stay clean.
- Payments of ₹10 lakh or more a year towards card bills (₹1 lakh in cash) are reported to the Income Tax Department — ensure your declared income supports your card spending.
Rewards on your business spend
Frequently asked questions
Can a freelancer get a business credit card?
Yes, if you file ITR as self-employed. Issuers typically want 2–3 years of ITR, a minimum declared income (e.g. ₹6 lakh for HDFC Biz Grow) and a good credit score.
Does a business card affect my personal CIBIL score?
For sole proprietors and most small-business cards, yes — the card is linked to your PAN and its repayment history appears on your credit report.
Can I pay GST with a credit card?
Yes, through the GST portal’s card payment option or bank gateways; there may be a convenience fee. Some business cards give accelerated rewards on tax and GST payments, within caps.
Is a business card better than an overdraft?
For short-term spending you repay within the interest-free period, yes. For funding that runs for months, an overdraft or working-capital loan is far cheaper than card interest.
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.