Airline charges might get higher after the pandemic blues, but travel credit cards might soften the blow. Frequent fliers often opt for a card because it gets them discounts that make flying affordable. Apart from that, these cards come with access to airport lounges. Access to a business class lounge would mean complimentary food and drinks. The privilege is almost like being treated as a guest, which helps airline rewards credit cards find takers. A lot of these takers are retainers, which makes the credit card business profitable.
Eligibility for Applying
Most airline credit cardholders own other credit cards as well. Based on their repayment track record, they are awarded a “credit score”. An airline credit card is issued based on this credit score. Mostly, to get approval for the premium cards, you need to have a credit score of 650+, if not 670+. However, anything above 600 has quite a fair chance of getting a card approved. Typically, the credit limit against free credit cards is too low. You can easily verify your documents and apply online.
The Benefits
You should look at the essential benefits of airline credit cards before choosing the best credit card to apply for. There is a lot to bargain for—from extra miles to surcharge waivers. As a welcome bonus, you are sure to receive free miles that you can redeem as a discount on your fare. For starters, you could expect very affordable fares for the first few flights. The surcharge waivers give you more confidence to travel because you do not need to worry about a fuel price hike.
All is good when you have the confidence that these perks would overweigh the price you pay for them. However, there are a lot of offers from different banks, and you must be judicious while you choose.
Which One to Choose
Annual fees of cards vary from as less as INR 1000 to as much as INR 4999. HDFC Diners ClubMiles Credit Card can be yours at a mere one grand, and the perks are quite attractive. For every INR 150 you spend, you get 4 reward points on this card. This could be quite a saver because you can pay up to 70% of your next fare with these points. The card can be used for booking tickers from all the major airlines, including Emirates, Qantas, and Jet Airways. Plus, you are insured against accidents with a cover of around INR 1 Cr.
The five-grand card is offered by SBI, with which you get 20,000 bonus points instantly. There are 4 reward points for every INR 100 you spend, and each reward point covers one air mile you travel. If you calculate the total distance, it is a hefty discount we are talking about. The card also provides you complimentary pass to airport lounges (domestic), which is a generous offering.
In between these two price limits, there are various cards from Axis, Citi or Standard Chartered Banks. Some benefit you if you travel economy class, while some are for more nuanced desires. You need to judge and analyse your requirements—whether the value is worth it or not. The key to the process is to estimate the number of flights you take every year and then compare the costs plus perks. If it breaks even, there is no reason why you should not go for an airline credit card.
The Last Word
While choosing your card, pay attention to the flights and brands endorsed by the card. Some cards might have better choices than others; say a discount at a luxury hotel. Alternatively, you can also go for an all-rounder like the Bajaj Finserv RBL Bank SuperCard, which comes with industry-first features, and enviable perks. All said and done, you should also look at the family benefits that these cards offer. Make sure you do the finances responsibly and avoid fines. That is the most you can make out of your credit card!
