Hi friends. In my last turkey travel post, I had placed the importance of travel and its importance in our daily lives. I was always fascinated with the foreign tourists who visit the ” Hornbill” festival for the past ten years. During my growing years, I wanted to travel to distant places, see and treasure different memories that would last a life time.
In this post, I shall show you, as to how I used credit card points to fund my international family vacation every year. First things first, I am attaching the ticket details so that you see the points used against the total round trip fare from New Delhi to Istanbul for three adults and a child in this link :
This shows that I had covered one third of my flight tickets using my credit card points. The most important thing for anyone to start from scratch as far as using credit card for international travel or hotel bookings or simply free flights in India or abroad is the point to currency ratio.
The point to currency ratio should be 1 point is equal to 1 Rupee/Dollar/Euro. If one point is less than 1 unit of your currency then it would take more time to accumulate your points which you could redeem for air miles/free flights or hotel/resorts stay in India or abroad. The thumb rule to ask the customer care executive when you get a call for getting a credit card is the point to currency conversion ratio.
In my experience, HDFC cards are very good. I am not being sponsored by HDFC to write this post. I am writing purely out of my experience of using the Diners Black card. The HDFC diners and Infinia are called HNI cards. HNI stands for High Net worth Individuals. For beginners, I would advise to use the Regalia variant of HDFC cards and then upgrade to Diners variant after sometime.
I suggest all readers outside India, to use the point to currency ratio as 1 :1 which is a good baseline return, whenever they are prompted to use a card by a customer care executive. Some cards would give you lesser returns ( 1 point = .75 rupee/Cents/pence depending on your country) which would be in the middle range, or lower range.
In my understanding of credit cards, I use them to buy groceries and other household items for daily use and get around 30% off in these items. The 30 % savings gets credited as points in my account. When you purchase by cash, you actually do not get returns. But, when you purchase through the card system, you incentivise your purchase through a system of rewards.
I had learnt these strategies in the website, I had posted in my Turkey travel blog. I want all of you to take baby steps in the area of personal finance. I believe that to have a good work -life balance, travelling is an integral part. Though COVID has a drastic impact on the travel and airline industry, I hope that with due course, the industry will recoup the shocks and get back to the new normal. I want you to integrate financial discipline in your spending, and in the same way get rewards for spending too !!!
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Till then, Stay Calm and Stay Humble !!