Federal Bank, Paisabazaar launch Paisaback Credit Card with 7.5% cashback on grocery spends

Paisabazaar, a fintech platform, has partnered with Federal Bank to introduce the Federal Bank Paisabazaar Paisaback Credit Card, a cashback-focused card aimed at rewarding customers for one of their most regular household expenses, grocery shopping.Paisabazaar, Federal Bank and NPCI launched the card at the Global Fintech Festival in Mumbai. The Paisaback Credit Card provides 7.5% cashback on eligible grocery purchases made both online and offline.The offer covers supermarkets such as Reliance Fresh, DMart, Star Bazaar and Nature's Basket, along with quick-commerce platforms including Blinkit, Zepto, Swiggy Instamart and BigBasket.The card will be issued on the RuPay network. Customers can earn 1% cashback on eligible POS and e-commerce transactions, while eligible UPI transactions above Rs. 2,000 will earn 0.5% cashback. The cashback is credited to the customer's account in the form of Cash Points, which can subsequently be redeemed.The card carries a joining fee and annual fee of Rs 500. However, the annual fee will be waived for customers whose annual spending reaches Rs 1.5 lakh or more.Santosh Agarwal, CEO, Paisabazaar, said: "Credit card rewards are most valuable when they translate into meaningful savings on expenses consumers make every month. Grocery spending is a significant and recurring expense for households, but card rewards around it have been traditionally limited."Saugata Basu, Senior Vice President and Head, Retail – Cards and Personal Loans, Federal Bank, said: “The Paisaback Credit Card has been crafted to reward customers where they spend most often, particularly on essential categories such as groceries, while extending value across a broader range of everyday transactions.”Key features of the Credit Card7.5% cashback on eligible grocery purchases made online and offline at merchants including Reliance Fresh, DMart, Star Bazaar, Nature's Basket, Blinkit, Zepto, Swiggy Instamart and BigBasket.1% cashback on eligible POS and e-commerce transactions.0.5% cashback on eligible UPI transactions above Rs. 2,000, excluding grocery, fuel and travel categories.Cashback is issued as Cash Points, which remain valid for one year.Maximum cashback of Rs. 1,000 per month across eligible transactions.Fuel surcharge waiver of up to Rs. 100 per billing cycle.Annual fee waiver for customers with annual spends of Rs. 1.5 lakh or more.Get the latest Business News and Live updates. Download the TOI app.