The Kiwi Credit Card, issued via partners like Yes Bank and Au Small Finance Bank, positions itself as India’s first UPI-first credit card, bringing together Scan & Pay convenience with cashback rewards.

However, post multiple devaluations, the introduction of the Kiwi Neon paid membership, and tighter caps, the real question is simple:

👉 Does Kiwi still make financial sense in 2025?

This is a numbers-first, no-fluff review.

Considering an application? Check eligibility and apply here: https://bitli.in/lnKEiiS

At a Glance: Key Statistics

The Rewards Structure (By the Numbers)

The Kiwi card markets itself on "2x Rewards," but you need to look at the effective cashback rate.

⚠️ Critical Reward Calculation Update (Effective 1 June 2025)

Rewards are strictly calculated in multiples of ₹100.

Example:

₹100 → eligible
₹150 → treated as ₹100
₹199 → treated as ₹100

👉 The extra amount earns zero rewards.

This single rule significantly impacts small-ticket UPI transactions.

However, all types of transactions are counted toward milestone spends, even if a portion of the amount does not earn rewards due to rounding.

Base Plan (Free Users)

For Cards Issued After 4 July 2024

* EMI on UPI is eligible, unless covered under no-cost/interest-back offers.

Kiwi Neon Membership (₹999 + GST / year)

Kiwi Neon is not a flat 5% card—it’s a milestone-based accelerator.

Base Neon Benefits

• 2% cashback on Scan & Pay

• 0.5% cashback on online UPI

• Rewards credited instantly (milestones later)

Annual Milestones (UPI spends only)

📌 Important:
Milestone cashback =
Target % – cashback already earned during the year

Is Kiwi Neon Actually Worth It? (Math That Matters)

Assumptions

• Card issued post 4 July 2024

• Eligible UPI Scan & Pay spends only

• Free card cashback: 1.5%

• Kiwi Neon base cashback: 2%

• Milestones: 3% @ ₹50k, 4% @ ₹1L, 5% @ ₹1.5L

• Kiwi Neon fee: ₹1,180/year (₹999 + GST)

Cashback Comparison:

🔑 Key Points
Extra cashback applies only after a milestone is fully crossed

• Completed slab earns higher %, remaining spend earns base 2%

If your eligible UPI spend is not confidently above ₹1,00,000/year, Kiwi Neon is not worth paying for.
👉 ₹1.5L+ UPI spends: Kiwi Neon becomes market-leading
Kiwi Neon’s peak efficiency is achieved at ₹1.5L, after which returns taper as additional spends earn only the base 2%.

The Biggest Catch: Monthly Reward Cap 🚨

Monthly rewards are capped at 1% of your total credit limit.

Examples:
Credit limit ₹50,000 → maximum ₹500 cashback per month
Credit limit ₹1,00,000 → maximum ₹1,000 cashback per month

This cap applies even to the Neon base cashback.

✅ Milestone cashback is excluded from this cap, which is the only way heavy users extract outsized value.

⚠️ If your credit limit is low, you will never unlock full potential returns, regardless of spend.

Redemption Rules (Often Missed)

Minimum redemption: 500 Kiwis = ₹125
Redemption allowed only in multiples of 500
Cashback is credited directly to your bank account

No vouchers.
No brand lock-in. ✅

Excluded Categories

The following Merchant Categories will be excluded from the reward

Merchant eligibility is determined by MCC codes received by Kiwi or the issuing bank.

✅ Pros & ❌ Cons

Pros

• Lifetime Free base card

• Best UPI app UX among credit cards

• Direct cashback to bank

• Up to 5% effective return with Neon milestones

• EMI on UPI earns rewards, very rare feature

Cons

• ₹100 block calculation hurts small-ticket spends

• 1% credit-limit-based monthly cap is restrictive

• Neon fee makes sense only for high spenders

• Confusing issuance across Axis and Yes Bank variants

• Online spends earn very little at ~0.5%

Final Verdict

Kiwi is the most rewarding UPI credit card in India only if you are a high-volume Scan & Pay user who can consistently cross ₹1–1.5 lakh in annual UPI spends. For everyone else, the free variant is better and Neon is a costly mistake.

🔗 For readers who find this card suitable, the application link is below:
https://bitli.in/lnKEiiS