File Photo: Bank debit and credit cards are photographed on this portrayal picture, March 17, 2016. Reuters/Kai Puffenbach/File Photo | Photo Credit: Kai Puffenback
Along with the increasing aspiration for the journey, the growing aspiration has promoted the increasing demand for travel-centered credit cards, which provides benefits such as quick awards/air miles and discounted flights. While most of the benefits are bundled in the premium credit card, strict eligibility criteria and high annual fees make them less accessible to a large part of the population. As a result, many passengers turn to co-branded travel credit cards.
Cum-branded credit cards with airlines or hotels offer price-backs in the form of air miles or loyalty points, which can be used directly on the brand portal for travel booking.
Most airline/hotel cum-branded cards provide accrued membership for the loyalty program of the Associated brand.
In addition to the co-branded cards of the airline/hotel, some travel cards are co-branded with popular travel portals such as makemiTrip, Easemytrip, ixigo and Yatra, and offers discounts on flights and hotel booking made through their respective platforms.
However, co-branded travel credit cards come with their sets of shortcomings. Since the awards are offered at Partner Miles/Loyalty Points, redemption options are restricted. Some of these cards may lack extensive travel benefits around lounge access, forex mark-up fee, etc., passengers confused whether the co-branded travel card will fit for them, the following things should be kept in mind:
Compare core value
The major factor prize program in choosing a travel credit card is the program. When comparing the airline cum-branded cards with the airline-oriented travel card, it is necessary to evaluate the total value you received to spend.
For example, on the Krisflyer SBI card, Singapore Airlines on Singapore Airlines costs 10 lakhs, at a distance of 25,000 krisflyer miles for a 1st economy-class ticket from Delhi to Singapore. However, the same expenditure earns a 50,000 gains mile at Axis Atlas, it is transferred in 1: 2 ratio, which occurs in crystallir miles, resulting in four economies on the same route at a single route at a distance of 1 million miles.
Therefore, airline agolic travel cards such as Axis Atlas or Axis horizons can provide more overall value. However, they can come on high annual fees and more stringent conditions.
Additional travel benefits
Many co-branded travel cards have more benefits such as lounge access, which continuously increase their utility for travelers. It is important to check and see these benefits how they fit in the routine of your journey.
Most travel cards also provide bonus rewards, vouchers or other benefits when they reach the milestone.
Right brand partnership
Consumers who are loyal to a particular airline or hotel can consider receiving a card cum-branded with the preferred airline/hotel. While such cards will offer high value-backs on respective brands, the redemption will be limited to its own ecosystem.
Passengers who do not want to limit the benefits in an airline or hotel can consider co-branded cards with popular travel portals such as standard chartered Isiatrip credit cards, ixigo AU Credit Card and MakeMytrip ICICI Credit Card.
Finally, co-branded travel credit cards can be a good option for brand-veduard passengers that often book with a special airline, hotel chain, or travel platform. However, all travel requirements may require those who seek a single credit card to choose those cards that provide benefits with favorite brands without renouncing wide benefits. The redemption flexibility, spending limit and overall value proposal are important things to consider when choosing cards.
(The author is the Chief Business Officer, Credit Card, Paisa Bazar)
Published – March 24, 2025 06:53 AM IST
