Is it worth paying an annual fee on a credit card?
Chethan Ganai
Asked 2 Apr 2026
Most premium cards charge ₹5,000+ as annual fee. Are the rewards and lounge benefits worth it for someone whose monthly spend is around ₹75,000?
3 Answers
Credit score impact: each hard inquiry (which happens on card application) drops your score by 5-15 points temporarily. Applying for 3 cards in 2 months is fine IF you get all 3 approved. If 2 get rejected, you've taken a hit with nothing to show for it. Apply smart, not fast.
Credit score impact: each hard inquiry (which happens on card application) drops your score by 5-15 points temporarily. Applying for 3 cards in 2 months is fine IF you get all 3 approved. If 2 get rejected, you've taken a hit with nothing to show for it. Apply smart, not fast.
The 'minimum due' trap is real. Banks love it because they charge ~36-42% interest on the carried-forward amount. If you can't pay the full bill this month, pay at least 50% — anything below that and the interest eats the rewards of the next 6 months.
Your Answer
Sign in to post your answer and help the community.
Sign in to postWhy sign in? We moderate Q&A to keep it spam-free.