Axis Bank Rewards Credit Card: Accelerated rewards on grocery and apparel shopping

Users get 5,000 Edge reward points, subject to cumulative net spends of a minimum Rs. 1,000 within 30 days of card issuance.

Considering that each reward point has a value of up to Rs. 0.20, users can derive a value equivalent to the fee paid of Rs. 1,000. A commendable thing to note here is that unlike most credit cards that keep the activation benefits specific to brands, this card keeps it flexible. Users can redeem rewards as per their choice of brands or between shopping and travel by choosing to redeem either for the product catalogue or the Miles Transfer Programme.

Axis Rewards Credit Card users can earn EDGE Rewards points on almost every purchase they make using their card. These reward points are credited directly to your EDGE account for further use. The detailed reward rate is as follows:

• 2 EDGE reward points on every Rs. 125 spent (No capping)
• 10X, i.e., 20 EDGE Reward points per Rs. 125 spent on department stores and apparel (On spends up to Rs. 7,000 on these categories)

Exclusions from the Reward Program: Transportation and Tolls, Utilities, Insurance, Educational Institutions, Government Institutions, Wallet, rent, and Fuel.

Rewards Redemption
The card comes with a general reward value of Rs. 0.2 per reward. However, it may vary across the redemption options mentioned below:

• Product Catalog (for purchase of products and gift voucher); Minimum 300 reward points should be redeemed.
• Partner Miles/Points: 5 EDGE REWARD Points / 10 EDGE REWARD Points = 1 Partner Point

The accelerated reward structure on the card is category-based and not limited to selected merchants, making it a suitable option for those looking for general shopping benefits and who like shopping with multiple brands frequently. However, the accelerated rewards category comes with a spend-based cap. While it might not impact moderate spenders, high spenders who transact beyond this value might be slightly disappointed.

This capping leaves a strong impact on the savings potential of the users, as limited benefits can be derived even with unlimited rewards. Rs. 7,000 per month is too low a value when looked at broadly. For instance, those using this card for grocery shopping can easily exhaust this value. To derive the maximum savings, users will have to divide their apparel and departmental store transaction in months, as beyond Rs. 7,000, users earn as per the base reward structure even in the incremental rewards structure.

Note: 1% transaction fee applies to education payments via third-party apps, rent payments, and spends exceeding monthly limits on wallet loads (Rs. 10,000), fuel (Rs. 50,000), utilities (Rs. 25,000), and online gaming (Rs. 10,000).

While the card primarily focuses on shopping, it extends some rewarding benefits to other categories as well, that add to the overall savings users can derive out of this card. These are listed as follows:  

Online Food Delivery: The card offers up to 30% off on Swiggy. This is capped at up to Rs. 150 per order, twice a month on order worth Rs. 200 or above. Use coupon code “AXIS30”

Dining: Users can avail up to 15% off on Dining, up to Rs. 500 at the partner restaurants under Axis Bank Dining Delights Program.

Travel: The card offers 2 complimentary lounge access at select airports in India per quarter. Click here for the list of participating lounges.

Fuel Surcharge Waiver: 1% fuel surcharge waiver of up to Rs. 400 per statement cycle on all fuel transactions between Rs. 400 and Rs. 5,000

Insurance Cover: The card comes with Purchase Protection Cover of Up to Rs. 1 lakh, Check-in Baggage Delay & Travel Documents Loss of Up to USD 300, Loss of Check-in Baggage of Up to USD 500 and Credit Shield cover of Rs. 1 Lakh.

While the card offers value back via rewards on using it across transactions, it also offers some spend-based and complimentary annual benefits to users.

• You can get 1,500 EDGE Reward points on reaching the spends of Rs. 30,000 in a statement cycle
• On spending Rs. 2 Lakh in the previous year, you can get the annual fee waiver for the next year
• You also get the membership benefits worth Rs. 1,000 every anniversary year.

With the transition of the Citi Rewards credit card to the Axis Rewards Card, the card’s status becomes a notch higher, as it slightly shifts from the rewards credit card to the all-round credit card category.

However, users who are more keen on all-round benefits can definitely find other credit cards, albeit at a high annual fee. Some examples include SBI Card Prime (Annual Fee: Rs. 2,999), Axis Select (Annual Fee: Rs. 3,000), and HDFC Regalia Gold (Rs. 2,500). These cards justify the fee via accelerated rewards, better frequency of lounge access, and multiple redemption options with higher redemption values—all that can help users derive the best savings from most of their expenses.

Additionally, there are other prominent rewards credit cards as well that come with a low fee, such as IDFC FIRST Select, Standard Chartered Platinum Rewards, and American Express SmartEarn. Unlike the high-fee rewards cards (Prime, Regalia Gold, and Select), these cards restrict the benefits to accelerated rewards on selected categories and not beyond that.

On that basis, the Axis Bank Rewards Credit Card emerges as a suitable balance between high- and low-fee rewards credit cards. It can be a considerable choice for users looking for a reward credit card with all-round benefits but at an affordable fee.

However, before choosing this card, users must assess their spending patterns and preferences. Some pros and cons to keep in mind are: