Definition
Co-branded Credit Card
A co-branded credit card is issued jointly by a bank and a non-bank brand (like an airline or retailer), offering rewards tailored to that partner's ecosystem.
A co-branded credit card pairs a card-issuing bank with a consumer brand — an airline, e-commerce platform, fuel retailer or fintech — so the card carries both names and offers enhanced rewards when used with the partner.
RBI has tightened norms so the co-branding partner cannot access transaction data beyond what is needed and the card-issuer remains responsible for compliance, KYC and customer protection.
These cards suit users loyal to a particular brand who can maximise category rewards, but the benefits should be weighed against fees and the temptation to overspend for points.
Related terms
- RuPayRuPay is India's home-grown card payment network, built by NPCI, that powers debit, credit and prepaid cards as a domestic alternative to international networks.
- Tokenisation of CardsCard tokenisation replaces your actual card number stored by merchants with a unique, device- or merchant-specific token, so real card details are never saved or exposed online.
- Virtual CardA virtual card is a digitally generated card number, linked to your real card or account, used for online payments to limit exposure of your primary card details.
Plain-English explainer from The Dispatch Investors Encyclopedia. General information, not financial advice.