The Silicon Review ^Asia

Flipkart is foraying into the banking sector by rolling out a new co-branded credit card in collaboration with Axis Bank and Mastercard. The news was published by NDTV’s Gadgets 360 on Thursday.

The e-retailer’s new credit card will commercially be available to select users in July and will be out for everyone else soon.

Flipkart says that the credit card will offer five percent unlimited cashback to the users on the following sites: Myntra, 2GUD, etc. In addition to that, credit card holders (Flipkartissued) will be benefitted with unlimited cashback of four percent on sites such as UrbanClap, Curefit, Uber, MakeMyTrip, and Goibibo. The cashback will be auto credited to the user’s account every month.

The additional benefits of the credit card service include welcome offers from several merchants, monthly fuel surcharge waiver of Rs 500, 20 percent off on foods and beverages at more than 400 restaurants, and airport lounges.

Interested customers can pay a joining and annual fee of Rs 500 to avail the credit card service. The available limit for the credit card will be upto Rs 2 lakh.

Other than Flipkart, companies such as Snapdeal (with HDFC Bank), IRCTC (with SBI), and Amazon (with ICICI Bank) already offer co-branded credit card services in India. Online payment merchants, Paytm and OLA have also rolled out similar services.

The new launch by Flipkart will boost its business in terms of sustainability and innovation.