New-To-Credit (NTC) Customers Form 25% Of Users Of Magnet FD Credit Card By ZET And SBM Bank

* 55% of NTC customers fall in the age group of 18-25 years

* 81% of the users of Magnet had a credit score of 650 or less

* Hyderabad tops demand for Magnet, followed by Bengaluru & Jaipur

In a major stride towards financial inclusion, New-To-Credit (NTC) customers formed around 25% of the users of the recently launched Magnet FD Credit Card by ZET and SBM Bank.

Customer trends by ZET suggest that since its launch, the Magnet FD Credit Card has been popular among youngsters. More than half, around 55%, of the NTC customers for Magnet FD Card, were in the age category of 18-25, indicating that the secured credit card is becoming increasingly popular among youngsters who are keen on building their CIBIL score through an FD credit card. 

ZET’s data also suggests that if a larger age bracket (18-35 years) was taken into account, the user base jumped to 85%, with an average age of 28. Hyderabad topped the demand for Magnet credit cards, followed by Bengaluru, Jaipur, Kolkata, Lucknow, New Delhi, and Mumbai. 

Secured credit cards have become increasingly popular ever since the Reserve Bank of India (RBI) increased the risk weightage on unsecured credit cards. Industry data suggests that almost 100,000 secured credit cards are issued every month, but unlike unsecured credit cards, they have a 100% approval rate since they are backed by Fixed Deposits. 

Commenting on the trend, Manish Shara, Co-Founder & CEO of ZET, said: “The popularity of secured credit cards as a CIBIL builder product is increasing fast among NTC customers. It is encouraging to witness that almost 25% of the users of Magnet are NTC users. Magnet not only stands as a catalyst for aiding NTC customers but also for those with poor credit history in accessing easy credit products. We found that almost 81% of the users who opted for Magnet had a credit score of 650 or lower. Magnet is an exciting proposition for building a CIBIL Score while enjoying the benefits of a normal credit card.”

Specifically designed to empower individuals who lack a credit score or aim to improve their credit scores, Magnet is a secured credit card backed by a Fixed Deposit (FD). Users get joining benefits worth Rs. 21,000+, including OTT subscriptions to popular platforms like Disney Hotstar, Sony LIV, and Zee 5, offers on dining, travel, and more, and up to 10% rewards on top brand vouchers such as Amazon, Flipkart, and Myntra. These exciting benefits are here to make you feel eager and excited to explore the world of Magnet.

Magnet comes against an FD of a minimum of Rs.5,000, ranging to Rs.25,000, with 90% of the amount as the credit limit. The FD is secured per RBI guidelines and insured up to Rs.5 lacs by DICGC. Users can also enjoy up to 7% interest on their Fixed Deposits, further enhancing their financial well-being. Magnet is also a lifetime-free offering with no renewal fee. It can be easily taken owing to no documentation proof and guaranteed issuance, ensuring affordability without compromising on benefits as a commitment to financial accessibility.