Guide

Best Credit Card for Bill Payments in India (June 2026)

Last updated June 4, 2026 · By Ash K · 7 min read
Utility Bills

Axis ACE is the only card that rewards your electricity bill at 5%. Everyone else gives you 1% or nothing.

Last updated June 4, 2026 · By Ash K · 7 min read

5%
The honest number on this page: On ₹3,000/month in bills, Axis ACE earns ₹1,800/year. The next best option earns ₹720. The difference is ₹1,080/year on the same bills you'll pay regardless.
AXIS ACE5% utility

The clear winner: Axis ACE Credit Card

The Axis ACE is the only major Indian credit card that puts utility bills in its top reward category at 5% cashback. Every other card either excludes utility bills from high-reward categories or caps them at 1 to 2%.

The 5% applies to electricity, broadband, and gas when paid via Google Pay Bill Pay. This covers the majority of Indian household bills routed through BBPS.

Axis ACE Credit Card
Axis Bank · Visa
₹499/yr
Waived on ₹2L annual spend
Utility bills: 5% cashback
Swiggy/Zomato/Blinkit: 5% (direct pay)
All other spends: 2% cashback
Income required: ₹15,000/month
Full Axis ACE review + apply
BBPSBharat Bill Pay

How BBPS works and why payment route matters

BBPS (Bharat Bill Payment System) is RBI's centralised bill payment network. When you pay your electricity bill through Paytm, PhonePe, Google Pay, or any bank app, it almost certainly routes through BBPS.

The critical detail is that the merchant category code (MCC) of your transaction changes depending on how you route it. Paying directly on your electricity provider's website may register as a different MCC than paying via Google Pay Bill Pay.

Bill
Same bill, different routes, different reward rates
Payment RouteMCC AssignedAxis ACE Rate
Google Pay Bill PayUtilities (5491)5% cashback
Paytm (BBPS route)Varies by biller2% (usually)
Direct on DISCOM websiteUtilities or Govt2% (usually)
Bank's own netbankingBill Payment2% or 0%

How other popular cards handle utility bills

Amazon Pay ICICI
Lifetime freeGood backup
Utility bill rate: 2% via Amazon Pay Bill Pay, 1% otherwise
Exclusions: None specific
Good secondary card. Use for bills if you already have it.
HDFC Millennia
₹1,000/yrNot optimal
Utility bill rate: 1% on utility bill payments
Exclusions: Utility bills excluded from 5% partner category
Disappointing for bills given the higher fee. Use this for shopping, not bills.
SBI Cashback
₹999/yrMisleading for bills
Utility bill rate: 1% on utility bills
Exclusions: Utility not in 5% online category
The 5% you see advertised is only for shopping sites. Bills are firmly in the 1% bucket.
Axis MyZone
₹500/yrUpgrade to ACE
Utility bill rate: 1% flat
Exclusions: None specific
Axis's entry card. Get Axis ACE instead for utility category advantage.

Annual cashback calculation for a typical household

Bill CategoryMonthly SpendAxis ACE (5%)HDFC Millennia (1%)Amazon Pay ICICI (2%)
Electricity₹1,500₹75₹15₹30
Mobile postpaid x2₹700₹35₹7₹14
Broadband₹600₹30₹6₹12
Gas/PNG₹400₹20₹4₹8
Monthly total₹3,200₹160₹32₹64
Annual total₹38,400₹1,920₹384₹768

After Axis ACE annual fee (₹499): net benefit = ₹1,421. After HDFC Millennia annual fee (₹1,000): net benefit = negative ₹616 for bills alone.

Setting up autopay for maximum reward and zero missed payments

The single best thing you can do after getting an Axis ACE is to set up autopay for every recurring bill. This ensures you earn 5% every single month without logging in.

1
Open Google Pay and go to Bill Payments section.
2
Add each utility: electricity board, broadband provider, gas company, mobile postpaid.
3
Set Axis ACE as the default payment method for each biller.
4
Enable autopay with a reasonable maximum amount (say ₹3,000 for electricity).
5
Set a calendar reminder to check your Axis ACE statement every month and pay the full balance.
₹₹₹

Monthly bill payment calendar for maximum reward

Bill Due DateBill TypePay viaCard to UseExpected Cashback
1st to 5thElectricityGoogle Pay Bill PayAxis ACE5%
7th to 10thMobile (postpaid)Google Pay Bill PayAxis ACE5%
10th to 15thBroadbandGoogle Pay Bill PayAxis ACE5%
15th to 20thPiped gas / LPGGoogle Pay Bill PayAxis ACE5%
AnyAmazon subscriptionsAmazon Pay ICICI directAmazon Pay ICICI2%

Three things to do this week

  1. Apply for the Axis ACE credit card if you don't have it. Annual fee pays for itself in 3 months of household bills.
  2. Set up Google Pay Bill Pay for all your utilities, with Axis ACE as the payment card.
  3. Use our Smart Swipe tool to confirm your other spend categories are optimised too.

Related guides

Best credit card for UPI payments (why most cards earn zero)Axis ACE vs Amazon Pay ICICI: which card wins overall?BBPS and credit cards: how the merchant category codes affect your rewards

Frequently asked questions

Which credit card gives the most cashback on electricity bill payment in India?+

Axis ACE gives 5% cashback on electricity bill payments made via the Google Pay or ACE credit card utility category. No other major Indian credit card offers this rate on utility bills as of June 2026.

What is BBPS and does my credit card work on it?+

BBPS (Bharat Bill Payment System) is RBI's centralised bill payment network that connects all utility providers. Most credit cards work on BBPS, but the reward rate may differ from direct payment. Some cards that give 5% on direct utility payments give only 1% or nothing on BBPS transactions.

Does Axis ACE give 5% on all utility bills or only specific ones?+

Axis ACE gives 5% on utility payments classified under electricity, gas, and broadband when paid via Google Pay Bill Pay or other qualifying routes. DTH, water bills, and municipal taxes may be categorised differently and earn a lower rate. Always verify the MCC code of your specific biller.

Does Amazon Pay ICICI give cashback on bill payments?+

Amazon Pay ICICI gives 2% cashback on bill payments made through Amazon Pay Bill Pay. If you pay bills directly on the utility provider's website or via other apps, the rate drops to 1%. The 2% applies when Amazon Pay is the payment gateway.

Should I set up autopay for bills on my credit card?+

Yes, with one condition: make sure your credit card's autopay is set up before your billing cycle closes, and your card has enough available limit. Autopay ensures you never miss payments, earn rewards every cycle, and build consistent payment history.

Can I pay my mobile postpaid bill and earn 5% cashback?+

With Axis ACE, mobile bills paid via Google Pay Bill Pay may qualify for the 5% utility category. However, this depends on the merchant category code assigned by your telecom provider. Check the Axis Bank website for the confirmed list of qualifying utility categories.

What is the annual cashback I can realistically earn on household bills?+

A typical Indian household paying ₹3,000/month in electricity, broadband, and mobile bills earns ₹1,800/year at 5% (Axis ACE). That comfortably covers the ₹499 annual card fee and leaves ₹1,301 in net benefit.