These are India's two most-recommended entry cashback cards — and they win in completely different ways. SBI Cashback pays a flat 5% on all online spends; Axis ACE pays 5% on utility bills and 4% on food delivery. After both were capped in 2026, the right pick depends entirely on how you spend. This is the honest, worked-out comparison.
Head-to-head (2026)
| Feature | SBI Cashback | Axis ACE |
|---|---|---|
| Top rate | 5% on ALL online spends (any merchant) | 5% utility bills via Google Pay (Android only) |
| Second rate | 1% offline | 4% Swiggy/Zomato/Ola |
| Base rate | 1% offline | 1.5% everything else (uncapped) |
| 2026 cap | ₹2,000/month on 5% (cut from ₹5,000, Apr 2026) | ₹500/month combined on 5%+4% |
| Annual fee | ₹999 (waived at ₹2L spend) | ₹499 (waived at ₹2L spend) |
| Lounge | None | 4 domestic/yr (min ₹50k/3mo) |
| App dependency | None — works on any site | 5% needs Google Pay on Android |
The cap math is the whole story
Both cards were squeezed in 2026, and the caps decide the winner:
- SBI Cashback: 5% capped at ₹2,000/month = up to ₹40,000 of online spend earning 5%. Above that, 1%.
- Axis ACE: the 5% (bills) and 4% (food) share ONE ₹500/month cap — so ~₹10,000 of bills+food earns the accelerated rate. The 1.5% base is uncapped.
SBI's cap is 4× more generous in absolute rupees, and it applies to any online merchant. ACE's accelerated cap is small and category-locked, but its 1.5%-everywhere base beats SBI's 1% offline.
Worked example: ₹40,000/month spender
Say you spend ₹40,000/month: ₹15,000 online shopping, ₹8,000 utility bills, ₹6,000 food delivery, ₹11,000 offline/misc.
| Bucket | SBI Cashback | Axis ACE |
|---|---|---|
| ₹15,000 online | 5% = ₹750 | 1.5% = ₹225 |
| ₹8,000 bills (GPay) | 5% (online) = ₹400 | 5% = ₹400 (within cap) |
| ₹6,000 food | 5% (online) = ₹300 | 4% = ₹100 (cap nearly hit) |
| ₹11,000 offline | 1% = ₹110 | 1.5% = ₹165 |
| Total/month | ~₹1,560 (within ₹2,000 cap) | ~₹500 (cap hit) + ₹165 = ~₹665 |
For an online-heavy spender, SBI Cashback wins comfortably because its 5% covers all online merchants under a generous cap. ACE's tiny combined cap throttles its accelerated rates fast.
Who should pick which
- SBI Cashback — online shoppers (Amazon, Flipkart, Myntra, food, recharges via any site), people who want zero complexity and no app dependency. Best default cashback card for most.
- Axis ACE — Android users who pay big utility bills via Google Pay, order a lot of Swiggy/Zomato/Ola, and value the lounge + EazyDiner dining discount. The 1.5%-everywhere base is also nicer than SBI's 1% offline.
Pure online + simplicity → SBI. Bills + food + lounge on Android → ACE. See the full field in our best cashback cards shortlist, and value any points with the reward points value guide.
What cardholders report
"Is the ₹500 cap killing your cashback?" — reviewers note ACE's combined ₹500/month ceiling is hit quickly by anyone with real bill + food spend. CardInsight
SBI Cashback is "the best pure cashback card in India for 2026 — 5% on all online spends across any merchant." Paisabazaar
FAQ
Which earns more for an online shopper?
SBI Cashback, clearly — its 5% applies to all online merchants under a ₹2,000/month cap (₹40k of spend), versus ACE's category-locked ₹500 combined cap.
Does Axis ACE's 5% work on iPhone?
No — the 5% bill-payment rate requires Google Pay's pay-with-card on Android. iPhone users miss that category.
Both have ₹2L fee-waiver — which fee is lower?
ACE (₹499) is lower than SBI Cashback (₹999), but both waive at ₹2L annual spend, so for active users the fee is moot.
Can I hold both?
Yes, and many do — SBI Cashback for online, ACE for Android bill-pay + lounge. Just mind utilization and annual fees.
What changed in 2026?
SBI Cashback's monthly cap was cut from ₹5,000 to ₹2,000 (Apr 2026); ACE retains its ₹500 combined cap. Both still net positive for the right spender.
Verify current rates, caps and fees with the issuer before applying. Compare SBI Cashback and Axis ACE in detail. See our methodology.
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