7.5% back on groceries, ₹1,000 a month at most, and a ₹500 fee that waives at ₹1.5 lakh.
Reward rate 1%–7.5% — everyday spend to its best bonus category, before the fee
Paisaback is a grocery card and says so.
Our #3 for Groceries — 1 of the 24 questions we rank.
Federal Bank and Paisabazaar launched it on RuPay in September 2026 with one big number: 7.5% back on groceries, online and offline — DMart, Reliance Fresh, Star Bazaar and Nature's Basket at the till, Blinkit, Zepto, Swiggy Instamart and BigBasket on the phone. Everything else on the card or online pays 1%, and UPI payments above ₹2,000 pay 0.5%. The ceiling is the thing to read first. All cashback is capped at ₹1,000 a month, so the 7.5% stops paying at roughly ₹13,300 of grocery spend in a month and the whole card can never return more than ₹12,000 a year. Below that line it is a strong grocery card; above it, it is a 1% card with a ₹500 fee — which waives once you spend ₹1.5 lakh in a year. There is no lounge, no transfer partner and no travel benefit in anything Federal or Paisabazaar has published, and the cashback arrives as Cash Points in the Paisabazaar app rather than as a statement credit. Take it for the grocery run, cap in mind; look elsewhere for anything to do with an airport.
About 1.0% back on everyday spend, paid in Statement cashback (₹) worth ₹1.00 each. Up to 7.5% on its bonus categories. Rewards stop above ₹1,00,000 of spend a month.
Cashback lands as Cash Points, which the MITC says are credited to your Paisabazaar app wallet and redeemed there within their validity period — not posted straight to the card statement. Launch coverage reports a Cash Point is worth ₹1.
| Spend | Back |
|---|---|
| Grocery — supermarkets (DMart, Reliance Fresh, Star Bazaar, Nature's Basket) and quick commerce (Blinkit, Zepto, Swiggy Instamart, BigBasket) | 7.5% |
| Other eligible POS and e-commerce spends | 1.0% |
| Eligible UPI payments above ₹2,000 | 0.5% |
At ₹1.00 a point.
Rates from Paisabazaar and Federal Bank's joint launch release; the MITC (seen only in search snippets) confirms Cash Points across grocery, retail, e-commerce and eligible UPI. Every rate sits under one ceiling — Paisabazaar reports all cashback capped at ₹1,000 a month. Federal's full exclusion list has not been read; only the rows below are stated.
| Category | Earns | Detail |
|---|---|---|
| Groceries & supermarkets | Earns more | 7.5% in Cash Points at supermarkets (DMart, Reliance Fresh, Star Bazaar, Nature's Basket) and quick-commerce apps (Blinkit, Zepto, Swiggy Instamart, BigBasket), online and offline — against 1% everywhere else, inside the ₹1,000-a-month cap |
| UPI (RuPay-on-UPI only) | Reduced | 0.5 Cash Points/₹100 vs 1/₹100 — eligible UPI payments above ₹2,000 earn half the card rate, and grocery, fuel and travel UPI payments are excluded from that rate |
Source: Federal Bank terms (reported by cardholders).
₹500/yr, plus GST. Spend ₹1,50,000 in a year and the next renewal fee is waived.
At ₹5,000 a month (₹60,000 a year), on everyday spending this card returns ₹600 (rewards ₹600) against its ₹500 fee, so it comes out at ₹100 a year, the lowest spend where it comes out ahead. How we find the break-even
Here is the fee, the spend that clears it, and everything that has moved under this card since you last decided.
The waiver: ₹1,50,000 of spend in the year before renewal (about ₹12,500 a month) and the renewal fee is not charged.
Break-even: ₹5,000 a month (₹60,000 a year) is where its value passes the fee.
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Saved on this device only. Never sent to us.
Downgrade: Federal Bank publishes no card you can step down to, so we name none. That leaves keep or cancel.
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| Charge | What the bank says | Our read |
|---|---|---|
| Forex markup | 3.5% ("Forex Markup Fee 3.50%") | |
| Interest (APR) | 3.75%/mo (45%/yr), charged from the date of the transaction | High |
| Late payment fee | Nil <₹100; ₹100 (₹100–500); ₹500 (₹501–5,000); ₹600 (₹5,001–10,000); ₹750 (₹10,001–25,000); ₹950 (₹25,001–50,000); ₹1,000 above ₹50,000 | |
| Cash withdrawal fee | 2.5% of the amount or ₹500, whichever is higher; 3.75%/mo (45%/yr) from the date of withdrawal, no interest-free period on cash | High |
| Add-on card fee | not published | |
| Over-limit fee | not published | |
| Reward redemption fee | not published |
From Federal Bank's most important terms and conditions, checked 10 Jul 2026.
Read through search snippets only (2026-10-06) — Federal's own site could not be opened directly, so every blank above is a row we have not yet seen, not a row Federal left out. What the MITC shows: Federal Bank partnered with Paisabazaar Marketing And Consulting Private Ltd to launch the card; "Joining Fees for Primary Cardholder: Rs. 500" and "Annual Fees: Rs. 500 (Waived on spends of Rs.1.5 lakh in the preceding year)" — one ₹500 a year, the first year's charge collected at joining; interest-free period up to 48 days; fuel surcharge waiver capped at ₹100 per cycle. A second snippet read (2026-10-06, lane AB) showed the forex row, "Forex Markup Fee 3.50%", and the cash row, "Cash Advance/ATM Withdrawal Fees: 2.5% of cash withdrawal amount or Rs.500, whichever is maximum", with cash interest at 45% p.a. from the date of withdrawal and no interest-free period; the late-fee ladder and the reward exclusion list have still not been seen attributed to this document. Cash Points are earned across grocery, retail, e-commerce and eligible UPI transactions and are credited to the customer's Paisabazaar app wallet, redeemable within their validity period. Launch rates (joint release): 7.5% on grocery, 1% on other POS and e-commerce, 0.5% on UPI above ₹2,000; Paisabazaar reports the cashback capped at ₹1,000 a month. No lounge access appears in anything published. Late-fee ladder added 2026-10-06 (wake 6, lane C) from three separate search extracts of the Paisabazaar-hosted copy of this MITC, which agreed slab for slab: Nil below ₹100, ₹100 at ₹100–500, ₹500 at ₹501–5,000, ₹600 at ₹5,001–10,000, ₹750 at ₹10,001–25,000, ₹950 at ₹25,001–50,000, ₹1,000 above ₹50,000. It is NOT the ladder in Federal's own-brand schedule effective 1-Apr-2026 (₹0 to ₹1,250 over five slabs), which one search summary conflated with this card; that schedule prices Signet/Celesta/Imperio at 1.99% a month, not this card's 3.75%, so it is not this card's document. The cashback cap's scope (₹1,000 a month across all categories, per Paisabazaar's page and launch coverage) has still not been seen in the MITC itself.
₹1,50,000 a year is the bar that waives the ₹500 fee. Earning points and counting toward that bar are separate rules, and banks write them separately.
Not published. Federal Bank has not said which kinds of spend count toward the fee waiver (the ₹1,50,000 bar). We won't guess it from the earn rules or a sister card. Have it in writing? Send us the document.
| Rule | What the bank says |
|---|---|
| How you get it | Apply direct |
| Income, salaried | not published |
| Income, self-employed | not published |
| Age | not published |
From Federal Bank's terms document.
Direct application — no invite list, no banking relationship required.
Apply through Paisabazaar. Federal has not published an income criterion in anything we could read; the card is issued by Federal Bank on RuPay, and its Cash Points are managed in the Paisabazaar app.
No lounge access: opens 0 of 792 lounges we track. Find a card that gets you in.
Welcome: None published — the launch announcement and the MITC carry no welcome benefit.
Spend milestones: none published.
Before
No Paisabazaar card on Federal Bank's licence — Paisabazaar's cards ran on RBL, SBM and YES
After
Federal Bank Paisabazaar Paisaback Credit Card on RuPay: 7.5% back on groceries, 1% on other card and online spend, 0.5% on UPI above ₹2,000, all cashback capped at ₹1,000 a month; ₹500 a year, waived at ₹1.5 lakh of annual spend
: Federal Bank discontinues the Jupiter Edge and Fi co-brand programmes (about the Edge Federal Bank Visa Credit Card)
: The Federal Fi credit-card programme ends and reward accrual stops (about the AmpliFi (Federal Bank))
: Scapia doubles the lounge bar and kills its easiest earn (about the Scapia (Federal Bank))
Before
Complimentary domestic airport lounge access on all three Federal credit cards, with no spend condition attached.
After
Access is earned, not granted: only primary cardholders who hit a minimum spend in the IMMEDIATELY PRECEDING calendar quarter get visits in the next one — Signet ₹20,000 for 1 domestic visit a quarter, Imperio ₹40,000 for 2, Celesta ₹60,000 for 2. Celesta's 2 international visits a year stay ungated. Add-on cardholders get nothing regardless of the primary's spend, and unused visits do not carry forward.
: Scapia launches: 0% forex and unlimited lounges, for free (about the Scapia (Federal Bank))
: Federal Bank deals its first own cards — Celesta on top (about the Federal Bank Celesta)
Every Federal Bank change (7 since 2021, 4 of them cuts) · All changes across cards
7.5% at the grocery till is the headline and it is real, but a ₹1,000 monthly ceiling on all cashback caps the card at ₹12,000 a year, and outside groceries it pays a plain 1%. Ranked as the entry-tier cashback card it is: no lounge, no transfer route, no travel benefit. It is new enough that no round-up we read has reviewed it, which is why it sits among the grocery board's leaders unnamed: the 7.5% holds until about ₹13,000 a month of groceries uses up the ₹1,000 ceiling.
Last checked . Every fact on this page comes from these 4 documents; the bank's own are marked official.
We price the card on an everyday mix of spending (30% groceries · 10% utilities · 20% travel · 6% fuel · 34% everything else), using this card's own rules for each kind of spend. Then we add milestone bonuses and take off the fee.
This figure does not count a card's bonus categories (they need you to shop a certain way); our rankings add each card's best bonus category on a realistic share of spend. Our comparisons use this same figure.
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