PhonePe SBI Card PURPLE Review

At a Glance

Joining Fee	₹499 + GST
Annual Fee	₹499 + GST (reversed on ₹1,00,000 annual spend)
Best Suited For	Recharges, bill payments and shopping done inside the PhonePe app
Reward Type	Reward Points: 1 Reward Point = ₹1, redeemable as statement credit or vouchers

The PhonePe SBI Card PURPLE is a ₹499 co-branded card built around one idea: if your recharges, DTH, electricity bills, insurance premiums and travel bookings all happen inside the PhonePe app, you get 3% back on them instead of 1%. The welcome gift card covers the joining fee, and the annual fee is reversed at ₹1,00,000 of spending, roughly ₹8,300 a month, which most working adults cross without trying.

The catch is the caps, and they got tighter. With effect from 1 July 2026 SBI Card cut the monthly earning limits on this card and blocked several categories from earning at all. This review is written to the post-1-July-2026 rules, not the launch ones. Fees and features here are as of the update date above. Confirm on SBI Card’s website before you apply.

Rewards & Benefits

Reward rate & earn structure

Three rates, each with its own monthly ceiling. The ceiling matters more than the rate, so read them together:

Spend type	Rate	Monthly cap on points	Spend at which the cap is hit
Insurance premiums paid inside the PhonePe app	3 RP per ₹100 (3%)	250 RP	₹8,333
All other eligible PhonePe & Pincode app spends	3 RP per ₹100 (3%)	750 RP	₹25,000
Other eligible online spends (outside PhonePe)	2 RP per ₹100 (2%)	750 RP	₹37,500
Everything else, including offline swipes	1 RP per ₹100 (1%)	1,000 RP	₹1,00,000

Best case, the accelerated buckets give you 1,750 Reward Points a month, worth ₹1,750, or ₹21,000 a year, and only if you spend across all three buckets in exactly the right proportions. A more realistic user putting ₹15,000 a month through PhonePe and ₹10,000 elsewhere online earns about ₹650 a month.

What changed on 1 July 2026. The PhonePe bucket was a single 1,000-point cap; it is now split into 250 points for insurance and 750 points for everything else. Online spends fell from a 1,000-point cap to 750. Same headline rates, less headroom. Insurance, which was the single most popular way to max this card out, took the sharpest cut.

What earns nothing at all. In addition to the pre-existing exclusions (fuel, rent, wallet loads, EMI conversions, cash withdrawals, government payments), these categories stopped earning points from 1 July 2026:

• Tolls and bridges (MCC 4784)
• Gifts and souvenirs (MCC 5947)
• Jewellery (MCC 5094, 5944)
• Educational institutions (MCC 8220)
• Utility bills paid outside the PhonePe app (MCC 4900, 4814, 4899)
• Insurance paid outside the PhonePe app (MCC 5960, 6300, 6380)
• UPI transactions made through any app other than PhonePe

That last one is the trap. If you take the RuPay variant and link it to UPI, only PhonePe-routed UPI payments earn. Scan a QR code through Google Pay or Paytm with the same card and you get zero.

Redemption options & point value

One Reward Point equals ₹1, with no conversion charts to decode. You can take it as statement credit, where the balance is knocked off your bill, or as gift vouchers from SBI Card’s rewards portal. Both settle at the same ₹1 value.

Two useful details: SBI Card’s April 2026 rules capping statement-credit redemption at 60,000 points a month and forcing redemption in blocks of 4,000 points specifically exclude the PhonePe cards. So on this card you can still redeem odd amounts, whenever you like.

Welcome benefit

A PhonePe gift card worth ₹500, issued once the joining fee is realised. There is no minimum spend attached. Against a joining fee of ₹499 plus 18% GST (₹589 all-in), the welcome benefit covers the fee and leaves you a few rupees short, near enough to free for year one.

The gift card is delivered to your registered email or mobile within 45 days of fee realisation, and once loaded into the PhonePe app the balance stays valid for 12 months.

Milestone benefits

One milestone: a Yatra voucher worth ₹3,000 on annual spends of ₹3,00,000. That is ₹25,000 a month, and it works out to an extra 1% on the whole ₹3 lakh, a meaningful top-up if you were going to cross that number anyway, and worth nothing to you if you weren’t. Do not chase it. Spending an extra ₹1 lakh to unlock ₹3,000 of Yatra credit you may not use is a bad trade.

Dining benefits

None specific to this card. Restaurant bills paid through the PhonePe app earn the standard 3%; a card swipe at the restaurant earns the base 1%. There is no separate dining programme, no discount tie-up, and no complimentary membership.

Travel benefits

Flight, hotel and bus bookings made inside the PhonePe app fall under the 3% bucket, subject to the shared 750-point monthly cap. Beyond that and the ₹3,000 Yatra milestone voucher, there is nothing: no travel insurance, no hotel status, no fee-free forex.

Airport lounge access

None. The PURPLE variant carries no domestic or international lounge access. If lounge visits are what you’re after, that is the specific reason the SELECT BLACK variant exists. Or, at this fee level, look at a card built for it instead.

Insurance & protection covers

No complimentary insurance cover is bundled with this card. SBI Card discontinued the complimentary air accident and rail accident covers that used to sit across parts of its portfolio, so don’t assume an unstated cover is there. You get the standard chip-and-PIN protection and the ability to block the card instantly from the app, and nothing more.

Fees & Charges

Joining & annual fee, and how to get it waived

Charge	Amount
Joining fee	₹499 + GST
Annual fee (year 2 onwards)	₹499 + GST
Annual fee reversal	Spend ₹1,00,000 or more in the previous membership year
Add-on card fee	Nil (up to 3 add-ons)

All fees are quoted excluding GST; 18% GST applies on top, so ₹499 costs ₹589 in practice. The waiver threshold of ₹1,00,000 works out to ₹8,334 a month across all spends, not just the accelerated ones, which is the single most forgiving thing about this card. Note that the reversal applies to the fee charged in the renewal cycle; it is a reversal after the fact, not a waiver in advance, so the charge will appear on your statement first.

Forex markup

3.5% on foreign currency transactions, plus GST on the markup. There is also a 3.5% dynamic and static currency conversion markup on transactions of ₹1,000 or more. This is not an international card in any meaningful sense. A 3.5% markup wipes out any rewards you earn abroad several times over. Keep it for domestic use.

Interest rate & finance charges

Up to 3.75% per month, which is 45% per annum, applied on any balance you carry past the due date and on cash advances from day one. At that rate, revolving a ₹50,000 balance for a year costs roughly ₹22,500 in interest, more than every reward this card could possibly pay you. The card only makes sense if you clear the statement in full, every cycle.

Fuel surcharge waiver

1% surcharge waiver on fuel transactions between ₹500 and ₹3,000, capped at ₹100 per statement cycle per account. Remember that fuel spends earn no Reward Points on this card, so fuel is a break-even category at best. The waiver just stops you losing money.

Cash advance & other charges

Charge	Amount
Cash advance fee	2.5% of the amount or ₹500, whichever is higher
Cash payment fee (paying your bill in cash at a branch)	₹250 + taxes
Over-limit fee	2.5% of the over-limit amount or ₹600, whichever is higher
Late payment charges	Up to ₹1,300, depending on outstanding
Additional late payment charge	₹100, if minimum due is missed two cycles running
Payment dishonour	2% of the payment amount, minimum ₹500
Rent payment processing fee	₹199 per transaction
Utility payment fee	1% of total utility payments in a cycle, if they exceed ₹50,000

That last line deserves attention on a card marketed for bill payments. Push more than ₹50,000 of utilities through a single cycle and a 1% fee applies to the whole utility amount, which cancels out a 3% earn rate down to 2%, and turns non-PhonePe utility spends (which now earn nothing) into a straight loss.

Eligibility & Documents Required

SBI Card does not publish a minimum income figure for this card. The stated criteria are:

• Aged 18 or above
• Resident of India
• Of sound mind and legally competent to contract
• Not barred from applying under any applicable law

Approval also depends on your credit bureau record and SBI Card’s internal scoring. No card issuer guarantees approval, and neither do we.

Documents: PAN card; identity proof (Aadhaar, passport or equivalent); address proof (Aadhaar, utility bill or equivalent); income proof (latest salary slips, bank statements or ITR); and a recent passport-size photograph.

Pros & Cons

Pros	Cons
Welcome gift card of ₹500 covers the ₹499 joining fee, with no spend condition	Caps were cut on 1 July 2026: online from 1,000 to 750 points, PhonePe insurance ring-fenced at 250 points
Fee waiver at ₹1,00,000 annual spend is one of the easiest at this price	3% only applies inside the PhonePe and Pincode apps; the same bill paid elsewhere earns 1% or nothing
Points are worth a flat ₹1 with no conversion games, redeemable as statement credit	No lounge access, no insurance cover, no dining programme
Exempt from SBI’s 60,000-point and 4,000-point-block redemption restrictions	UPI payments through any app other than PhonePe earn zero
1% base rate on offline spends, which the rival PhonePe HDFC Uno card does not pay at all	3.5% forex markup makes it unusable abroad
₹3,000 Yatra voucher at ₹3,00,000 annual spend adds about 1%	Track record of devaluation, cut within a year of launch

PhonePe SBI Card PURPLE vs Competitors

	PhonePe SBI Card PURPLE	PhonePe HDFC Bank Uno	PhonePe SBI Card SELECT BLACK
Joining / annual fee	₹499 + GST	₹499 + GST	₹1,499 + GST
Fee waiver at	₹1,00,000 annual spend	₹1,00,000 annual spend	₹3,00,000 annual spend
Top rate	3% on PhonePe spends	2% on PhonePe spends	10% on PhonePe spends
Online spends	2%, capped 750 RP/month	1% on select brands, capped 500 RP/month	5%, capped 1,000 RP/month
Offline spends	1%	No rewards	1%
Point value	₹1 as statement credit or voucher	₹1 as statement credit; ₹0.30 on SmartBuy	₹1 as statement credit or voucher
Welcome benefit	₹500 PhonePe gift card, upfront	Gift cards drip-fed over 11 UPI transactions	₹1,500 PhonePe voucher after first bill payment
Lounge access	None	None	Domestic and international
Milestone	₹3,000 Yatra voucher at ₹3,00,000	None	₹5,000 travel voucher at ₹5,00,000

Against the PhonePe HDFC Bank Uno at the identical ₹499 fee, PURPLE wins on almost every line: a higher PhonePe rate, rewards on offline spends, a clean ₹1 point value, and a welcome benefit you get at once instead of in ₹25 scratch cards.

Against its own sibling, the SELECT BLACK, the question is arithmetic. BLACK costs ₹1,000 more and needs ₹3,00,000 of annual spend to waive its fee, but pays 10% on PhonePe and adds lounge access. If your PhonePe spending is genuinely ₹15,000+ a month, BLACK earns the difference back quickly. If it’s ₹5,000, PURPLE is the right variant.

Worth noting for context: the SBI Cashback Card (₹999, fee waived at ₹2,00,000) pays 5% on online spends across almost any merchant, capped at ₹2,000 a month, a different and often larger proposition, but only if your online spending is heavy and your PhonePe usage is not.

How to Apply

1. Open the PhonePe app and go to the credit card section. This card is designed to be applied for inside PhonePe; you can also apply through SBI Card’s website or a State Bank branch.
2. Enter your PAN, personal and income details and pick your network: Visa or RuPay. Choose RuPay if you want to link the card to UPI, which is the only way to earn on PhonePe QR payments.
3. Complete video KYC with an SBI Card representative. Keep your physical PAN card and a stable connection ready.
4. Digitally sign using Aadhaar OTP.
5. On approval, a virtual card is issued immediately for online use; the physical card follows by post.

Frequently Asked Questions

Is the PhonePe SBI Card PURPLE annual fee waived? Not automatically. The ₹499 + GST annual fee is reversed if you spent ₹1,00,000 or more in the previous membership year, about ₹8,334 a month across all spend types. The fee is charged first and reversed afterwards, so expect to see it on a statement.

How many lounge visits does the PhonePe SBI Card PURPLE give? Zero. The PURPLE variant has no domestic or international lounge access. Only the SELECT BLACK variant in this pair offers lounge visits.

What is the minimum salary for the PhonePe SBI Card PURPLE? SBI Card does not publish an income floor for this card. The stated requirements are that you be 18 or older, resident in India and legally competent to contract. Actual approval depends on your credit history and SBI Card’s internal assessment.

What changed on the PhonePe SBI Card PURPLE from 1 July 2026? Three things. The online spends cap fell from 1,000 to 750 Reward Points a month. The PhonePe bucket was split, with insurance ring-fenced at 250 points and everything else at 750. And tolls, jewellery, gifts, education fees, non-PhonePe utilities, non-PhonePe insurance and non-PhonePe UPI stopped earning points altogether.

Do I earn rewards on UPI payments with this card? Only through the PhonePe app, and only on the RuPay variant, which is the one that can be linked to UPI. UPI transactions routed through Google Pay, Paytm or any other app earn nothing from 1 July 2026.

What is 1 Reward Point worth on the PhonePe SBI Card PURPLE? Exactly ₹1, whether you take it as statement credit against your bill or as a gift voucher from SBI Card’s rewards portal. There is no better or worse redemption route to hunt for.

Does the PhonePe SBI Card PURPLE earn on insurance premiums? Yes, but only when paid inside the PhonePe app, at 3 Reward Points per ₹100 and capped at 250 points a month, so you stop earning after about ₹8,333 of premium in a cycle. Premiums paid on an insurer’s own website or app earn nothing.

Is there a fuel surcharge waiver? Yes. It is 1% on fuel transactions between ₹500 and ₹3,000, capped at ₹100 per statement cycle. Fuel spends themselves earn no Reward Points.

Can I use the PhonePe SBI Card PURPLE abroad? You can, but you shouldn’t. Foreign currency transactions carry a 3.5% markup plus GST, which costs more than any rewards you’d earn.

Is the PhonePe SBI Card PURPLE better than the PhonePe HDFC Bank Uno? For most people, yes. At the same ₹499 fee, PURPLE pays 3% on PhonePe spends against Uno’s 2%, adds 1% on offline spends where Uno pays nothing, and hands you the ₹500 welcome gift card in one piece rather than across eleven transactions.

Bottom Line

Get this card if PhonePe is genuinely where your money moves: recharges, electricity, DTH, gas, the occasional insurance premium and travel booking, in the ₹8,000 to ₹25,000 a month range. At that level you’ll clear the ₹1,00,000 waiver comfortably, the ₹500 welcome gift card covers year one, and 3% on bills you’d pay anyway is real money for a ₹499 card. The ₹1 flat point value and the exemption from SBI’s redemption restrictions make the earnings easy to actually use.

Skip it if any of these describe you. If you spend heavily online but outside PhonePe, the SBI Cashback Card’s 5% is a bigger prize. If your PhonePe volume is above ₹25,000 a month you’ll hit the caps repeatedly and should be looking at the SELECT BLACK instead. If you want lounge access, insurance cover or a card that works abroad, this one has none of those. If you were planning to route insurance premiums or utility bills through it at scale, the 250-point insurance cap and the 1% fee above ₹50,000 of utilities have closed that door. And if you carry a balance, 45% per annum will erase everything this card pays you and then some.

One honest caveat that applies to the whole category: this card was devalued inside its first year, and the July 2026 cuts landed hardest on exactly the categories people had optimised around. Treat the current numbers as this year’s numbers, not permanent ones, and don’t build a spending strategy you can’t unwind.

Fees and features are as of 18 August 2026 and are subject to change. Confirm the current terms on SBI Card’s official website before applying.