Save Big This Festive Season With New GST Rates and These 5 Credit Cards
Last Updated:September 04, 2025, 12:52 IST
GST Council introduces new 5% and 18% slabs from Sept 22 to boost festive shopping on electronics, small cars, with credit card offers and rewards.
News18
New GST Rates: Upcoming festive season on the backdrop of new GST reforms, making mass-consumption items such as electronics, small cars will lead to a surge of consumption. Shoppers can utilize the opportunity by using credit card offers this festive season to save more.
In a significant overhaul of the Goods and Services Tax (GST) structure in the country, the GST Council, chaired by Union Finance Minister Nirmala Sitharaman, announced several key decisions last night on Wednesday. Effective September 22, the system will be simplified into just two main slabs of 5% and 18%, replacing the current 12% and 28% rates, with a special 40% slab for luxury and sin goods. Billed as a “historic Diwali gift” for citizens and businesses, the reforms aim to lower the cost of living, boost consumption, and spur economic activity.
Customers should compare different credit cards of lenders to get the maximum benefits while shopping.
Check Discounts
Raoul Kapoor, Co-CEO, Andromeda Sales and Distribution told Moneycontrol that customers must check the instant cash discount being offered, as they can vary by card type and minimum spending thresholds. “Some premium cards may offer higher discounts or exclusive partner offers. You can find discounts on partner sites, flight tickets, hotel bookings, and so on,” he added.
Rewards Points
Reward points are a reward customers get whenever they purchase credit or debit card. These reward points accrue in a customer’s digital wallet and then can be utilized for various purposes including shopping.
“Many cards provide loyalty or reward points that can later be redeemed for purchases, vouchers, or travel bookings. A smart shopper should compare offers across cards and choose the one that provides the best blend of instant discounts, cashback, and long-term rewards,” says Kapoor.
Cashback
Credit card cashback is exactly what it sounds like — you get back a small percentage of what you spend as a reward. This effectively reduces your overall cost, as the cashback is either credited to your account or adjusted against your bill. For instance, the SBI Cashback Card offers 5% cashback on online* purchases without any merchant restrictions.
“It’s also smart to use different cards for specific categories, such as groceries, gadgets, or fashion, while keeping an eye on cashback caps. The focus should always remain on planned purchases rather than impulse-driven spending,” Bansal, Founder, Finatwork Investment Advisor, a SEBI RIA (Registered Investment Advisor told Moneycontrol.
Set A Budget
Set a clear budget for your festival shopping and stick to it. “Decide on an amount you can comfortably spend and make sure you don’t exceed it. If you do go over, have some extra funds ready. Start saving early so you don’t have to compromise later,” says Adhil Shetty, CEO of BankBazaar.com.
Equally important is planning your purchases in advance. List everything you need to buy — from clothes and accessories to consumer durables, gifts, crackers, and furniture — so you can shop smartly and avoid last-minute overspending.
| Card | Offer/Benefit | Reward Point Conversion |
| Tata Neu Infinity HDFC Bank Credit Card | • 5% back as NeuCoins on Non-EMI Spends on Tata Neu and partner Tata Brands • 1.5% back as NeuCoins on Non-Tata Brand Spends and any Merchant EMI Spends • 1.5% back as NeuCoins on UPI spends (including spends on partner Tata Brands) – max 500 NeuCoins/month • Earn up to 1.5% back as NeuCoins on eligible UPI spends | 1 NeuCoin = ₹1 |
| YES BANK BankBazaar FinBooster Credit Card | • 5X Reward Points on Online Dining (₹200 = 10 points) • 3X Reward Points on Online Grocery/Apparel (₹200 = 6 points) • Other retail spends (except fuel) (₹200 = 2 points) • Up to 20% off on Flights, Hotels & Bus bookings on Goibibo • 25% off on Flights, Hotels & Bus bookings on EaseMyTrip | Minimum 250 points to redeem; 1 point = ₹0.25 |
| ICICI Amazon Credit Card | • 5% cashback on www.amazon.in for Amazon Prime members; 3% for non-Prime • 2% cashback at 100+ Amazon Pay merchant partners (via Amazon Pay) • 1% cashback on all other spends • 10% off on domestic flights, up to 45% off on hotels, 8% off on international flights (Yatra) | 1 point = ₹1 Amazon Pay balance (credited as Amazon Pay balance) |
| HSBC Cashback Credit Card | • 10% cashback on dining, food delivery & grocery (capped at ₹1,000/billing cycle) • 1.5% unlimited cashback on all other spends • Cashback also via Instant EMI facility • Myntra Luxe 10% instant discount (up to ₹1,500 on spends of ₹4,000) • Save up to 35% on Samsung products • Up to 25% off on international & domestic flights/hotels • Up to ₹40,000 off holiday bookings & up to 15% off hotels/flights | Cashback model (direct bill adjustment) |
| SBI Cashback Card | • 5% cashback on online spends (no merchant restriction) • 1% cashback on offline spends • Renewal Fee reversal on annual spends of ₹2 Lakhs | Flat cashback credited to statement |
(Source: Bankbazaar.com)
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al…Read More
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al… Read More
September 04, 2025, 12:51 IST
Read More
[title_words_as_hashtags
