SBM ZET Magnet Credit Card

About SBM ZET Magnet Credit Card

Are you struggling to get your first credit card because you have no credit history? The SBM ZET Magnet Credit Card is designed to solve exactly that problem while making sure your money works harder for you.

This is a secured credit card that requires a fixed deposit to get started. It offers a straightforward deal: you earn up to 7% interest on your deposit while using the card for daily spends. With zero joining fees and zero annual charges, it is a low-risk way to enter the world of credit. If you spend around ₹15,000 monthly across their partner brands, you can easily see an annual saving of over ₹3,600.

This card is built for students, first-time earners, and freelancers who might not have a traditional salary slip but want to build a solid CIBIL score. Unlike many basic entry-level cards that offer no rewards, the Magnet card provides accelerated earnings on popular apps like Uber, Zomato, and MakeMyTrip.

What sets it apart:

• Double Earnings: Get up to 7% interest on your Fixed Deposit while earning ZCoins on every transaction.
• RuPay Power: Since it is a RuPay card, you can link it to your favorite UPI apps for easy merchant payments.
• Lifestyle Rewards: Unlike other FD-backed cards, you get specific brand perks like 12% back on MakeMyTrip and 8% back on Uber.

Quick check: To qualify, you just need to be between 18 and 60 years old. There is no minimum monthly income or high credit score required since your credit limit is based on your fixed deposit.

Let's break down why this card might be the smartest move for your wallet:

Key Benefits and Features of the SBM ZET Magnet Credit Card

The SBM ZET Magnet Credit Card is more than just a tool to build credit. It functions as a high-yield savings tool and a rewards card rolled into one. Here are the primary benefits you can expect:

Zero Cost Membership

One of the biggest hurdles with premium cards is the recurring cost. With the SBM ZET Magnet card, you do not have to worry about that. There is no joining fee to get the card started, and there are no annual renewal fees. This makes it a "free for life" card in the truest sense, allowing you to keep the account open for years to improve your credit age without any financial drain.

High-Interest Fixed Deposit

Most credit cards take your money via fees; this one pays you. Your credit limit is backed by a Fixed Deposit that earns up to 7% interest per year. This is significantly higher than what most standard savings accounts offer. It means your collateral is growing while you use the card to manage your monthly expenses. This is a smart way to secure your future while building a credit score from scratch.

Accelerated Rewards with ZCoins

The reward system uses ZCoins, where 1 ZCoin is worth ₹0.20. While a single coin value might seem small, the rate at which you earn them is impressive on specific categories:

• Travel: Earn 16% ZCoins on Cleartrip bookings and 12% ZCoins on MakeMyTrip. If you book a flight for ₹10,000 on MMT, you could effectively gain a significant value back in coins.
• Commute: Earn 8% ZCoins on every Uber ride, making your daily office commute much more affordable.
• Entertainment: For movie lovers, the card offers a massive 40% ZCoins on PVR ticket bookings.
• Dining: Get 1% ZCoins on Zomato spends and a flat 10% off when you eat at McDonald’s.

UPI Integration via RuPay

Since the SBM ZET Magnet is issued on the RuPay network, it allows for a high level of convenience. You can link this card to UPI apps like BHIM, PhonePe, or Google Pay. This means you can earn rewards even at small local shops where traditional card machines might not be available, provided they accept UPI merchant payments.

Shopping and Daily Needs

Through the ZET platform, you can access extra ZCoins on daily essentials. This includes shopping with partners like BigBasket, Zepto, JioMart, and HealthKart. Whether you are buying groceries or ordering the latest gadgets on Flipkart and Amazon, using this card through the ZET ecosystem ensures you never leave money on the table.

How to Apply for the SBM ZET Magnet Credit Card?

The application process for the SBM ZET Magnet card is digital and straightforward. Since it is a secured card, the approval is nearly instant once the FD is processed.

1. Download the ZET app from the Play Store or App Store and create your profile.
2. Navigate to the SBM ZET Magnet Credit Card section.
3. Ensure you meet the basic eligibility: You must be between 18 and 60 years old.
4. Complete your digital KYC using your Aadhaar and PAN card details.
5. Choose your Fixed Deposit amount. Your credit limit is set as a direct percentage of this deposit.
6. Transfer the FD amount through the secure payment gateway within the app.
7. Once the FD is created, your virtual card is generated, and the physical card is dispatched to your registered address.

Credit Limit and What to Expect

Credit limits for the SBM ZET Magnet card are directly tied to the Fixed Deposit you create. Secured cards provide 80% to 100% of the deposit amount as your spending limit, meaning a ₹10,000 deposit yields a credit limit between ₹8,000 and ₹10,000.

If you want a higher limit, you simply need to increase your Fixed Deposit amount. Over time, as you pay your bills on time, your credit score will improve. This can eventually help you transition to unsecured cards with much higher limits. The bank monitors your repayment behavior, and a clean track record for 6-12 months is sufficient to see a significant jump in your CIBIL score.

Comparison Table: SBM ZET Magnet vs. Competitors

Before choosing a secured card, it is vital to see how the Magnet card stacks up against other popular FD-backed options in India.

If you are looking for a card that rewards your lifestyle choices like movies and travel, the SBM ZET Magnet is the clear winner. While the IDFC FIRST WOW is excellent for travelers who want zero forex fees, it lacks the heavy brand-specific rewards that the Magnet card offers. For those who spend frequently on Uber and Zomato, the ZET Magnet provides much better value-back.

Documents Required for SBM ZET Magnet Credit Card Application

Since this is a digital-first secured card, the documentation is minimal. You'll need to submit the following through the app:

For Salaried and Self-Employed Applicants

• Identity Proof: PAN Card is mandatory for opening the Fixed Deposit. You can also use your Aadhaar Card, Passport, or Voter ID.
• Address Proof: Aadhaar Card (e-KYC is the fastest), Passport, or latest Utility Bills.
• Income Proof: Not required for this secured card, as your limit is backed by your deposit.
• Photograph: A live selfie is usually taken during the in-app application process.

Note: All documents are processed digitally. Ensure your mobile number is linked to your Aadhaar for smooth OTP-based verification.

Who Should Get This Card?

Should you get this card? Here is who benefits the most from the SBM ZET Magnet:

The Credit Builder: You are a 21-year-old student or a recent graduate with zero credit history. You have ₹5,000 or ₹10,000 sitting in a savings account. By moving that into a Magnet FD, you get 7% interest and your first credit card. By using it for small spends and paying it off, you build a score that will help you get a home loan or car loan later.

The Urban Commuter: You use Uber at least twice a day to get to work and spend roughly ₹6,000 a month on rides. With 8% ZCoins, you are essentially getting a portion of your commute cost back every single month, which most other entry-level cards won't offer.

The Entertainment Buff: If you are someone who never misses a Friday release at PVR, the 40% ZCoins benefit is unbeatable. On a ₹500 ticket, getting 40% back in coins (effectively ₹40 value-back) adds up quickly over a year.

You might want to skip this card if: You already have a high credit score (above 750) and a high income. In that case, you should look at premium unsecured cards like the SBI Cashback or HDFC Millennia, which offer direct cashback without requiring a fixed deposit.

BankKaro Expert Review

As a credit card expert, I've tracked the evolution of secured cards in India for years. Initially, secured cards were "dead" products with no rewards. The SBM ZET Magnet changes that narrative. It is one of the few cards that treats a secured user like a premium customer by offering accelerated rewards on brands people actually use, like Cleartrip and Zomato.

The biggest limitation is the redemption value of ZCoins (₹0.20 per coin). You have to do a bit of mental math to realize that "40% ZCoins" actually means an 8% effective savings. However, even at 8%, it beats most other cards in the entertainment category. The 7% interest on the FD is the cherry on top, ensuring you aren't losing out on the time value of your money.

Our verdict: Choose this card if you are starting your credit journey but don't want to miss out on the lifestyle perks that usually only come with high-income cards. It is a safe, rewarding, and cost-free way to build your financial future.

Terms and Conditions

For complete terms and conditions regarding the SBM ZET Magnet Credit Card, please consider the following points as per the Most Important Terms and Conditions (MITC):

• Reward Exclusions: You will not earn ZCoins on cash withdrawals, EMI transactions, wallet loads, P2P transfers, rent payments, government payments, insurance premiums, or education-related spends.
• Redemption: ZET Coins can be converted into e-vouchers for brands like Amazon and Flipkart or redeemed as cash at the rate of 1 Coin = ₹0.20.
• Interest on FD: The 7% interest is subject to the bank's prevailing rates and the tenure of the deposit. Premature withdrawal of the FD will result in the cancellation of the credit card.
• Usage: Being a RuPay card, it is accepted at all RuPay-enabled POS terminals and online merchants in India.
• Repayment: Late payment charges and interest will apply if the Total Amount Due is not paid by the due date. Since this is a credit card, timely repayment is essential to maintain your credit score.

The complete and updated list of charges and terms is available on the official ZET app or the SBM Bank website.