Axis Bank has recently launched a new co-branded fuel credit card in partnership with Indian Oil Corporation Ltd, powered by Visa. The card not only gives handsome return on fuel spends, but also a decent return on online spends. Here’s the detailed review of the same.
|Welcome Benefit||100% Cashback on “fuel spends” in first 30 days, upto Rs.250|
|Renewal Fee Waiver||On annual spends of Rs.50,000|
Your joining fee is partly set off by the welcome benefit. While that’s a disappointment, you should be okay with that after looking into the rewards that this card has to offer.
|Spend Type||Rewards||Max Cap / month|
|IOCL Spends||20 Points / 100 INR (4%)||1000 Points|
|Online Spends||5 Points / 100 INR (1%)||–|
|Offline Spends||1 Point / 100 INR (0.2%)||–|
- 1 Edge Reward Point = 0.20 INR
- Max. fuel spends per month = 5000 INR (with benefit)
- Max. annual benefit = 2400 – 340 (partial joining fee) = 2060 INR (if you spend 5K INR every month)
- Net annual gain = 3.4%
While 4% return on IOCL spends may seem generous, its actually not, as you can only get 3.4% max in a year and that too if you max out 5k/m spend every month.
This is possible by giving very poor offline spends. The idea is that those who swipe at fuel station is highly likely to spend offline as well and hence they manage the difference.
1% return on online spends is decent for a card of this type and fee range.
Features & Benefits
- Fuel Surcharge Waiver: 1% (Spend Range: Rs.100-Rs.5000 p.m.)
- Bookmyshow: Get 10% off up to Rs 100 on your transaction with your IndianOil Axis Bank Credit Card
- Cardexpert Rating: 4/5
Its a decent credit card that rewards you good on fuel spends as edge rewards, which means easier redemptions too.
The card is designed in such a way that it makes sense to get it if you use it “only for fuel” with spends in the range of Rs.4000 – Rs.5000 a month, with which you’ll also get annual fee waiver.
If not, you’ll need to spend the remaining amount offline/online for waiver which will reduce your overall return on spend.
What’s your take on the new Indian Oil Axis Bank Credit Card?