The Ultimate Guide to Travel Credit Cards: Choosing the Best Card for Your Adventures
Credit cards have become a popular financial tool, due to the benefits and unmatched convenience that it offers. The pandemic created a new type of workforce: remote workers. Most people have embraced this working style wherein they can work from any location across the globe and can travel at any time. This has increased the demand for travel credit cards. These cards offer numerous benefits, features, and rewards that have completely transformed the way people travel.
Understanding Travel Credit Cards: How They Work and Why They Are Needed
Travel credit cards cater to a specific segment of the population: the travellers. They offer a lot of features and benefits that not just save money but also make one’s travel experience a memorable one. Let us dive into the different types of travel credit cards available in India.
- Airline Credit Cards: Here, the credit card issuer partners with a specific airline. Customers can earn miles on every transaction made on this card, which can be used to purchase tickets. These cards also offer air accident insurance, airport lounge access, and discounts on specific airline bookings.
- Railways Credit Cards: The credit card issuer ties up with the railways. The benefits offered under this card would be value back on bookings, rail accident insurance, reward points, and railway lounge access.
- Other CoBranded Credit Cards: The credit card issue ties up with a brand, organisation (travel booking companies), and hotels, and offers co-branded benefits.
Federal Bank has partnered with Scapia Technology Pvt. Ltd. and launched the Federal Bank Scapia Co-branded Credit Card. The card has zero joining and annual fees and offers a lot of benefits. Cardholders can get unlimited domestic lounge access on a minimum spend of ₹5,000, zero forex markup on all international transactions, 10% Scapia points on eligible spends, and a lot more. Check out the Federal Bank Scapia Co-branded Credit Card today.
Evaluating Travel Needs: Finding the Perfect Fit
Every travel credit card comes with a set of rewards, fees, and benefits. To find the perfect travel credit card, one must assess their travel requirements, as the options available are endless. The factors to be considered are spending habits, travel preferences like specific airlines and hotels, the reward system preferred, insurance offered, annual fees, as well as foreign transaction fees.
Unlocking Travel Rewards: The Benefits of Travel Credit Cards
Travel credit cards offer a lot of rewards and benefits that enhance one’s travel experiences. Some of the benefits that a travel credit card offers are:
- They offer welcome reward points and a certain percentage of points on every transaction. These points can be redeemed for discounts on travel bookings.
- Many travel credit cards are offering zero foreign transaction fees, which is amazing when one travels abroad.
- Credit cards are a safe payment option and protect against fraud.
- Many credit cards offer different types of insurance benefits like air accident cover, lost baggage insurance, trip cancellation insurance, etc.
- Most of the cards offer access to airport lounges-domestic and international.
Comparing Top Travel Credit Cards: What Sets Them Apart
Travel credit cards can be compared on the following parameters:
- Annual Fee: The benefits offered on a credit card should make up for the fees to own the card.
- Rewards: The rate of air miles or rewards earned on transactions along with ways of redeeming these points is a must while comparing cards.
- Welcome Bonus: Always check for a sign-up bonus; the joining fees should be compensated equally by this bonus.
- Lounge Access: Frequent flyers can compare the international/domestic lounge visits offered by different cards.
- Other Benefits: Look out for other benefits offered-discounts or cash backs on dining, shopping, and movies and also check for concierge services.
Tips for Responsible Usage: Making the Most of Travel Credit Cards
Following are the ways to practice responsible credit card use:
- Use the travel benefits being offered on the card while planning the travel.
- Upon receipt of the card, get registered for lounge access.
- To earn more air miles, divert high purchase transactions to the specific card. However, plan these purchases way before the scheduled trip.
- Redeem the rewards for various travel expenses.
- Keep track of the expiry date on reward points.
- Always pay credit card bills on time to avoid high interest.
- Avoid using the card for withdrawing cash in foreign countries as it would cost a markup fee.
Conclusion
By selecting a card that matches one’s requirements and by using the travel credit card responsibly, one can enhance their travel experiences. Embrace the opportunities and rewards, and set sail on a lifetime of remarkable adventures with the perfect travel credit card. Visit Federal Bank to know more about the Scapia Co-branded Credit Card to help you with your travels!