By: OurMoneyGuide || Last updated on: June 5, 2024

Kotak Mahindra Bank Kotak Bank #811 Dream Different Credit Card is one of the best beginner cards for building credit history, since it can be issued against a fixed deposit.

It is also a lifetime free credit card, with no annual fee. Free cards are simple to understand since you do not have to analyse whether the benefits of the card justify the annual fee of the card.

With the help of milestone benefit, you can earn over 2% rewards, on online spends. The card also offers a unique railway surcharge waiver. 

Pros & Cons of Kotak Bank #811 Dream Different Credit Card

Pros

  • The card is lifetime free
  • It is issued against a fixed deposit (secured card) and helps building credit history. Hence it is an ideal card for those with no credit history or those whose credit history is not very good. And is also ideal for those who do not meet the income criteria for other cards. Like students, housewives etc.
  • In addition to fuel surcharge waiver, cardholders also get railway surcharge waivers ranging between 1.8% (on the IRCTC website) and 2.5% (on Indian railway booking counters)

Cons

  • Benefits on secured cards can be lower compared to good rewards cards available in the market

Features & Benefits of the Kotak Bank #811 Dream Different Credit Card

Fixed deposit based card – no income proof required || instant approval card 

Credit card is issued against your fixed deposit, for customers between 18 years and 75 years of age. Income documents not required, since the card is issued against the security of your fixed deposit.

For Non-811 saving account customers: minimum fixed deposit amount required is ₹10,000. For 811 saving account customers: minimum fixed deposit amount required is ₹ 5,555.

Lifetime free credit card, welcome offer worth ₹1000

There is no annual fee on this card. 

There is welcome offer worth ₹1000 (offer valid till 30 September 2024)
- ₹500 voucher, if you spend ₹500 or more, within 30 days of card issuance
- ₹250, if you spend ₹500 or more, within 31-60 days of card issuance
- ₹250, if you spend ₹500 or more, within 60-90 days of card issuance

Flexible credit limit, upto 80% of fixed deposit amount 

You can choose a credit limit of your preference, upto 80% of fixed deposit amount (maximum ₹16 lakhs).

1% benefit on online card spends || 0.25% benefit on all other card spends

You earn 4 reward points worth ₹1, on every ₹100 you spend on online purchases. You earn 1 points worth ₹0.25 (25 paise), on every ₹100 you spend on all other card purchases.

1 reward point = ₹0.25 (25 paise), and can be redeemed on Kotak’s reward redemption platform (kotakrewards.com) for vouchers, products and more.

Exceptions : No reward points are given on fuel spends, railway spends, cash withdrawals.

Additional benefit of upto 1.4%, on achieving yearly card spend of ₹72,000 (milestone benefit)

✓ Amazon voucher worth ₹250, at yearly card spend of ₹36000 - 0.69% benefit
✓ Amazon voucher worth ₹1000, at yearly card spend of ₹72000 - 1.38% benefit

1.8% – 2.5% surcharge waiver on railway ticket bookings, upto ₹500 per year

– 1.8% for transactions made on the IRCTC website
– 2.5% for transactions made at Indian railway booking counters

Maximum waiver given is ₹500 per year.

1% fuel surcharge waiver at all fuel stations, upto ₹3500 per year

This is applicable only only on fuel transactions ranging between ₹500 and ₹3000. And only on fuel purchases upto ₹3.50 lakhs per year, since waiver is capped at ₹3,500 per year.

Interest-free cash withdrawal 

You can withdraw cash up to 90% of your total credit card limit. 

No interest is charged on cash withdrawals (unlike most other credit cards).

A processing fee of ₹100 is charged on each cash withdrawal, hence ideally one should withdraw cash only in an emergency.

Kotak Bank #811 Dream Different Credit Card Fees and Charges

Annual fee 

There is no annual fee on the card. 

There is welcome offer worth ₹1000 (offer valid till 30 September 2024)
- ₹500 voucher, if you spend ₹500 or more, within 30 days of card issuance
- ₹250, if you spend ₹500 or more, within 31-60 days of card issuance
- ₹250, if you spend ₹500 or more, within 60-90 days of card issuance

Late payment fee 

Total bill amount dueLate payment charges
Less than ₹100Nil
₹100 – ₹500₹100
₹500 – ₹1000₹500
₹1000 – ₹5000₹500
₹5000 – ₹10000₹600
₹10000 – ₹25000₹800
₹25000 – ₹50000₹1000
More than ₹50,000₹1200


Foreign transaction fee 

3.50% of transaction amount

Important note

– GST/ other applicable taxes as per current laws, will be applicable on all fees and charges
– To view all/updated fees & charges on this card, please click here – Kotak Bank #811 Dream Different Credit Card Fees & Charges

Conclusion

Kotak Mahindra Bank #811 Dream Different Credit Card is a good beginner card. It can help build credit history, which will help you get better credit products in the future. It is also a lifetime free card, hence no cost-benefit analysis needs to be done, while you build up your credit history.

With the milestone benefit feature , you can make over 1% rewards on online spends, which is a decent reward rate for a beginner lifetime free card. And it also offers a unique railway surcharge waiver, and also fuel surcharge waiver.