What salary couldn’t do, his IIT degree did — and got him a credit card with ₹3 lakh limit | Mint

“When your payslips don’t get you a credit card, but your degree does.”

This recent anecdote from Reddit has struck the right chord with myriad young professionals who find it hard to navigate the confusing world of credit cards in India. A user shared their surprising experience of getting repeatedly rejected by a leading private bank despite having salary slips but only to be approved later within a couple of days by another bank, thanks solely to their educational background.

Here’s how it unfolded.

Payslips? rejected. Degree? approved.

The user, a salaried professional with a savings account in HDFC Bank, was met with an unexpected barrage of calls and WhatsApp messages from various bank agents soon after converting their account into a salary account. Responding to their outreach, the user applied for a credit card multiple times, provided payslips, completed in-person KYC (which, shockingly, involved unannounced visits to their residence), only to be met with silence until eventually receiving a generic rejection email.

Frustrated by the repeated denials and vague communication, the user gave up until a promotional email from ICICI Bank offered them a different route.

This time, the offer wasn’t based on income but rather targeted at alumni of Tier-1 institutions. Curious and desperate, the user uploaded their IIT Guwahati degree and to their surprise, the ICICI Sapphiro Credit Card was approved within two days, with a credit limit of ₹3,00,000 and a Priority Pass membership to boot.

“I didn’t expect this to work,” the user wrote. “But here I am—first-time credit card holder, thanks to my college degree.”

Education-based credit card offers: A growing trend?

While this story sounds unusual, it points to an emerging trend in Indian banking. Premium institutions like IITs, IIMs, and ISB are increasingly becoming criteria for “pre-qualified” or low-risk credit customers, allowing banks to fast-track approvals for those from such backgrounds.

This trend is particularly relevant for freshers and early-stage professionals who may not yet have a credit history but carry the perceived earning potential that top institutes imply.

A few words of caution

While this may seem like a shortcut to avoiding income-based qualifying, there exist several important caution and safety enabling factors:

Promotional cards often have high fees: Annual fees for high end cards, like the Sapphiro, can come up to ₹3,500. Before signing up, make sure you are reading the fine print.

Don’t blindly trust sales agents: Unplanned house inspections for your KYC are dubious. Every legitimate procedure must be documented and planned.

Educational pre-approval doesn’t guarantee good credit management: Getting approval on a conditional basis is one thing, but being responsible with usage and repayment will gradually build your credit score.

Tips to improve your credit card approval odds

If you’ve been unsuccessful at attaining your first credit card. Then here are some very easy methods to help your odds:

Start with a fixed deposit card: Most institutions are going to issue secured credit cards for a fixed deposit. These are going to help build your credit, and are easier to obtain.

Maintain a salary account with a reputed bank: Banks are generally more willing to issue cards when they see frequent activity and see your pay is being directly deposited into the account.

Check your credit score: A low or nonexistent credit score might hurt your chances. Services like CRIF High Mark, CIBIL and Experian allow you to check your score for free once a year.

Avoid multiple applications: Every rejection affects your credit profile. Instead of applying with multiple banks, wait and build a profile with one or two targeted attempts.

Look for alumni-based or no-income-based offers: Certain banks have alumni campaigns, like this one. Pay attention to bank websites or advertising communications.

While it might feel a little strange to get financial credibility based on your degree rather than your paycheck, this Reddit user’s experience highlights how alternative eligibility paths are slowly gaining traction in India’s credit card ecosystem.

So whether you’re a working professional or a recent graduate, don’t lose hope and maybe don’t delete that next “exclusive alumni offer” email too quickly!

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Disclaimer: Mint has a tie-up with fin-techs for providing credit, you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards and credit score. Mint does not promote or encourage taking credit as it comes with a set of risks such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.