Co-Branded Cards: Are You Earning 5% or 0%?

AU Small Finance Bank and Zaggle have launched a co-branded credit card with a coin-based rewards system and flexible benefit passes. Before you apply, here's what to check so you actually earn — not just spend.

Here's what happened: AU Small Finance Bank and Zaggle partnered to launch a co-branded retail credit card targeting everyday spenders in India.. The card uses a Zagg Coins rewards system that converts to cashback, with higher earn rates on UPI and contactless tap payments.. Cardholders can choose 'Value Passes' — customizable benefit bundles — letting them redirect rewards toward categories they actually use most..

What you should do: Compare the actual cashback rate after annual fee: divide total annual rewards earned by the fee to see if you're in profit.. Check whether UPI-linked credit card spends qualify for rewards — some issuers quietly exclude UPI transactions from cashback.. Read the reward expiry clause before applying: Zaggle Coins, like most reward currencies, may lapse within 12–24 months if unused..

Co-branded cards look attractive at launch but often downgrade rewards after 6–12 months. Screenshot the rewards T&Cs on Day 1 so you can compare later and decide whether to keep or cancel.