What is Travel Credit Card and Benefits
Tips to choose a best travel credit card
Travel Credit Card: We always make a list of items essential to carry while travelling. But, rarely we think of buying travel credit cards. This happens because many of us are not aware of the benefits of a travel card. These two are different but related things which every traveller must opt for while travelling abroad as well as domestically.
In this article we will discuss all about travel cards and travel insurance. Since there are many companies in India, offering these facilities, we also know about the best companies offering travel credit cards.
What is a travel Credit card?
If we talk about the definition of a travel credit card, it is a type of credit card that is specifically designed keeping in mind the needs of a traveller. Similar to a regular credit card, a travel card is used for shopping, paying bills and much more. The travel card companies offer reward points and gifts to their customers for using travel credit cards. The only difference is that the travel card is used for travel related expenses.
Generally, there are two types of travel cards, one is co-branded, and another is non-co branded travel card.
If we talk about co-branded travel cards, a subscriber may get many benefits including high reward points when you spend on partner travel brands.
While if you opt for a non-co-branded travel credit card you can get higher benefits on travel expenses and greater choice for earning reward points or redeeming them as you are not limited by partner airlines or hotels.
Benefits of travel Credit card:
There are many benefits of travel card, some of them are listed below-
- Travel cards offer points or miles that can be redeemed for travel reservations or travel-related options.
- Reward points or miles can be earned as a sign-up bonus, usually after meeting a minimum amount of spending within specified time.
- Reward points or miles can be earned for spends as well as purchases from the airline or hotel partner or for purchases from certain categories of merchants.
Which is a good travel card?
Here, we have discussed points to keep in mind before choosing a travel card. A person should choose a travel card depending on travelling habits. You must ensure that the amount of spending a card requires so that you can earn the extra bonus points and the time frame in which you must do it. Make sure the cost of the card will be recovered before you opt for it. Get information about the foreign currency mark-up fee, foreign transaction fee and cash withdrawal charges when you use your credit card abroad.
Generally, A foreign transaction charge is between 1.5% and 3.5% of the total transaction. Cash withdrawals can cost you anywhere between 1% and 4%, in addition to the standard cash withdrawal rate for your credit card. However, there are options of no foreign transaction fee travel card or a card that rewards you heavily for foreign transactions so that the transaction fee can be nullified when redeeming those rewards. You should remember that credit cards are to get convenience and benefits rather than withdrawing cash. Also, pay your total due on time and don’t carry forward the balance.
Read Article about Credit card, its advantages, and disadvantages.
Top 5 Travel Credit cards in India –
As discussed above in the article, there are various criteria by which we can choose a travel credit card. Here is the list of top 5 travel cards in India –
| Credit Card | Annual Fee |
| Citi PremierMiles | Rs. 3,000 |
| SBI Card ELITE | Rs. 4,999 |
| HDFC Regalia | Rs. 2,500 |
| HDFC Bank Diners Club Privilege | Rs. 2,500 |
| Air India SBI Signature | Rs. 4,999 |
1. Benefits of Citi PremierMiles Travel Credit Card
- Welcome gift of 10,000 miles on spending Rs. 1,000 within 60 days
- Earn 10 miles for every Rs. 100 spent on airline transactions and PremierMiles website
- 4 miles for every Rs. 100 spent on the card
- Accumulated air miles never expire
- 8 complimentary domestic lounge visits per quarter
- Air accident cover up to Rs. 1 Crore
2. Benefits of SBI Card ELITE Travel Credit Card
- Welcome voucher worth Rs. 5,000 redeemable on Yatra
- Low forex mark-up fee of 1.99%
- Club Vistara Silver Membership with 1 complimentary upgrade voucher
- 9 CV points per Rs. 100 spent on Vistara Flights
- Complimentary Trident Privilege Red Tier membership with 1,000 welcome points on registration
- Complimentary Priority Pass Membership along with 6 international lounge visits per calendar year
- 2 complimentary Domestic Airport Lounge visits every quarter
3. Benefits of HDFC Regalia Travel Credit Card
- 12 complimentary lounge visits within India
- 6 complimentary lounge visits outside India
- Priority Pass Membership for primary and add-on members
- Low forex mark-up fee of 2%
- Use reward points for flights and hotel bookings via Smartbuy (1 point = Rs 0.50)
- Airmiles conversion through internet banking (1 point = 0.5 airmile)
4. Benefits of HDFC Bank Diners Club Privilege Travel Credit Card
- Complimentary annual membership of MMT BLACK
- Preferential foreign currency mark-up fee of 2%
- Flights/hotel bookings via SmartBUY using reward points (max. 70% of the value)
- 5X reward points on SmartBUY spends
- 12 complimentary airport lounge access to 1000+ lounges in India and worldwide for primary and add-on members
- Redeem Rewards Point for AirMiles across InterMiles, Singapore Airlines (KrisFlyer Miles), Club Vistara , (1 Reward Point = 0.5 Airmile)
5. Benefits of Air India SBI Signature Travel Credit Card
- 20,000 reward points as a welcome benefit
- Earn up to 1 Lakh reward points annually
- Up to 30 reward points on every Rs. 100 spent on Air India ticket booking
- 8 complimentary VISA lounge access annually (max. 2 per quarter)
- Lost card liability cover of up to Rs. 1 lakh
- 1% fuel surcharge waiver for transactions worth Rs. 500 to Rs. 4,000
Finally we advise you to opt for a travel card which is best suitable to your needs.
Important Link:
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