Credit cards have become extremely helpful for travellers because there are several features offerings that translate into value for domestic travel in India. Credit cards can be very opportunistic—whether through rewards or different features—there are several ways credit cards can be helpful. Here is an overview of the top 5 reasons credit cards might be helpful for domestic travel.
1. Reward Points and Travel Benefits
The primary purpose of credit cards is for users to earn points and receive rewards specifically for spending and using their credit card. Virtually every time you book a flight, reserve a hotel or go out to eat, you will accrue reward points or miles. These points can be turned in for free flights or hotel accommodation or many other perks that come with travel. Therefore, your travel expenses can decrease substantially by using a credit card with a reward point scheme.
Many credit cards are focused on domestic travellers. Benefits can range from free travel insurance to discounts on domestic flights and special rates on hotels. This can include an increased number of reward points if book through travel portals or letting airlines.
2. Free Airport Lounge Access
A significant advantage offered by many travel credit cards, free access to airport lounges in India offers travellers comfort, free Wi-Fi, free food, and places to lay down before their flight. This can enhance the experience, as a person traveling in an airport lounge will feel more luxurious and a lot more relaxed.
For domestic travellers in India, they can have a lounge access benefit at major airports including Delhi, Mumbai, and Bengaluru, making the free lounge access potentially more valuable during layovers or delays. Getting out of the terminals (away from the crowds and noises) to chill in a lounge before your flight or layover can significantly reduce travel stress! In addition, some credit cards offer other features such as priority boarding privileges, free additional baggage allowance, etc., which can further complement the experience.
In addition, many credit cards provide lounge access vouchers that can be used by family members or friends traveling together, in groups; therefore, being able to enjoy travel with family/friends is enhanced. Utilizing this benefit simplifies your travel experience as a domestic traveller across India. As an example, Kiwi users can get free domestic airport lounge access after meeting a certain spending amount, resulting in a more enjoyable travel experience.
3. Exclusive Discounts and Cashback Offers
Travel credit cards frequently offer exclusive discounts and cashback offers for flights, hotels, and travel packages. This can all add up to substantial savings, especially if you book via a partnered platform. You can take advantage of these exclusive deals while planning your next trip, especially if you can align your travel bookings with these offers, allowing for greater savings while benefitting from premium services at discounted/affordable pricing.
In India, many credit cards have forged alliances and partnerships and created mutual benefits with popular travel portals, such as MakeMyTrip, Yatra, and Cleartrip, as a mechanism for driving value and loyalty into their products. As a result of these partnerships, there are opportunities for domestic travellers to access discounts on fare amounts, exclusive hotel offers, or cashback on holiday packages. Some cards may also use seasonal periods such as festivals/holiday periods as a target period for promotional deals and discounts aimed at domestic travellers.
For example, Kiwi’s virtual credit card gives users up to 5% cashback on eligible UPI spends, providing domestic travellers savings in different categories when travelling. This mechanism is a good example of how domestic travellers can use these operations to take full advantage of their travels without compromising their budget.
4. Travel Insurance
Safety and security are the most important aspects of travel, and since so many credit cards have excellent travel insurance coverage, we can have peace of mind while we travel by alleviating some of the worries in terms of lost luggage, cancellations, and medical emergencies. Knowing that in the event of something unforeseen occurs, we won’t be hit with major financial burdens allows us to breathe easy. It is also important to read the insurance information regarding the coverage provided by your credit card.
Additionally, many domestic travellers will also benefit from travel insurance activities when they travel intercity. Travel insurance will cover other scenarios like delayed flights, lost baggage, and medical emergencies while traveling. Some credit cards even provide accidental death and dismemberment (AD&D) coverage. This coverage helps to financially cover a cardholder’s estate in the case of loss of life or loss of bodily limbs because of accidents while traveling. In addition, some credit cards may even presentation of emergency assistance services ranging from medical referrals, legal assistance, and other assistance as deemed necessary.
Overall, traveling with a solid travel insurance package provided in credit card benefits allows travellers to know that they have some level of coverage against potential risk and/or unforeseen events.
5. Increased Security and Fraud Protection
Credit cards offer more protection compared to cash. Once cash is lost or stolen, it is gone. However, merchants can cancel credit cards immediately after they are lost or stolen, and many unauthorized charges can be reversed, so your loss may only be for the value of the unauthorized purchase.
In addition, many credit cards include fraud protection meaning your financial data is protected during your travels. The level of protection that credit cards provide in these situations is more beneficial to travellers who make online bookings or on-location purchases in a foreign location.
In India, the use of digital payments has increased significantly in the last few years, which has also led to the credit card issuers significantly enhancing the security of their products with security measures like EMV chip technology, two-factor authentication, and real-time transaction alerts which can help mitigate fraud detection and prevention. Furthermore, there are now virtual credit cards, such as those offered by Kiwi, that create completely unique card details every time it makes a transaction, which significantly reduces the risk of being compromised or hacked.
In conclusion, credit cards are valuable assets for domestic travellers in India, giving a combination of rewards, ease and safety. You can optimize your travel experiences while being financially sensible by selecting your travel credit cards and using their features effectively. Kiwi is a great example of bringing traditional credit card benefits and more modern digital payment systems together, giving users cashback of up to 5% on UPI spending, as well as no- cost airport lounge access.
