Why the newly launched SBI Card MILES credit card is not up to the mark

Spends connected a travel-focused paper gain the cardholder rewards that tin beryllium converted into loyalty points of spouse airlines oregon hotels, oregon tin beryllium utilized to publication flights oregon hotels done the question aggregator level of the slope oregon paper issuing company. One of the cardinal features of a question focused paper is that it earns accelerated rewards connected booking formation tickets oregon hotels. So, for instance, if the basal reward complaint of a question paper is 1% connected each spending categories, it volition gain much than 1% connected edifice and formation summons bookings. SBI Card MILES offers conscionable that. The apical variant of this card, SBI Card MILES Elite, earns 3% connected question spends, portion each different spends gain 1% reward rate. 

However, SBI Card MILES falls abbreviated connected the quantum of rewards connected question spends erstwhile compared to different akin cards successful the aforesaid interest range. In fact, the reward complaint is little than different recognition cards offered by SBI Card. “SBI Cashback recognition paper offers 5% cashback connected online spends, though there’s an precocious bounds to however overmuch 1 tin earn. Still, you volition gain much connected this paper erstwhile booking flights oregon hotels than the recently launched SBI Card MILES," said Tejas Ghongadi, co-founder of The Points Code, a level that advises recognition paper users connected however to optimise reward points. 

SBI Card MILES has 3 variants—SBI Card MILES ELITE, SBI Card MILES PRIME and SBI Card MILES—with yearly interest of Rs4999, Rs2999 and Rs1499, respectively (the fees does not see 18% goods and services tax, oregon GST). The apical variant MILES ELITE earns six question credits (TCs) for each Rs200 spent connected question categories and 2 TCs connected each different spending categories. The worth of 1 TC is Re1 erstwhile converted into airmiles oregon edifice points, which translates into a reward complaint of 3% and 1% for question and non-travel spends, respectively. 

SBI Card has partnered with 16 airlines and six edifice groups, including immoderate of the large groups specified arsenic Vistara, Etihad, United Airlines, Qatar Airways, Accor and ITC Hotels, among others. The reward complaint connected MILES PRIME and MILES cards for conversion to miles is 2% and 1%, respectively, connected question spends, whereas it is 1% and 0.5%, respectively, connected each different spends. 

Cardholders tin besides usage the points earned to publication flights oregon hotels straight connected the question aggregator level of SBI Card but the worth of 1 TC reduces to Re0.5 for this option. This reduces the reward complaint connected each its cards by half.

Credit paper experts accidental determination are amended rewarding question recognition cards successful the aforesaid interest scope of SBI Card MILES. The 2 precocious rewarding cards that cardholders tin see are Axis Atlas and Amex Platinum Travel Credit, arsenic per Gongadi. “Axis Atlas’s 4% complaint connected non-travel categories is higher than what SBI MILES is offering connected question spends."

Sumanta Mandal, founder, Technofino, a integer level that reviews recognition cards and different banking products, concurred and said “Both these cards are successful the non-premium class arsenic good truthful the 3% accelerated reward complaint connected question spends connected SBI MILES truly pales successful comparison. Axis Atlas offers a 10% reward complaint connected question spends and 4% connected different categories. Amex Platinum Travel Credit Card tin springiness up to 12% rewards connected ₹4 lakh spend."

The joining interest for Amex Platinum Travel is Rs3,500 and renewal fee, from the 2nd twelvemonth onwards, is Rs5,000. As for Axis Atlas, the joining and yearly fees are Rs5,000. All these fees are exclusive of 18% GST.

Do enactment that successful the lawsuit of Amex Platinum Travel card, the cardholder tin container a precocious reward complaint lone connected reaching Rs4 lakh spending threshold done 25,000 bonus points and a Taj Voucher worthy ₹10,000. Mandal said since Amex is not arsenic wide accepted arsenic different paper networks connected offline spends, cardholders should archetypal enactment astir of their spends up to ₹4 lakh connected this card. “That’s the lone situation with Amex Platinum Travel card. Below ₹4 lakh spends, the reward complaint works retired rather average. The different downside is reward complaint aft Rs4 lakh reduces importantly arsenic determination are nary milestone benefits," helium said.

To maximize question benefits from recognition cards, precocious spenders should usage a premix of 2-3 cards, said Ghongadi. “You whitethorn not get the desired edifice oregon hose spouse with 1 paper oregon the preferred edifice spouse mightiness springiness a amended conversion complaint successful a paper antithetic than your superior card. Similarly, milestone benefits alteration crossed cards and reward complaint connected immoderate cards, similar Amex Platinum Travel, driblet drastically aft a definite spending threshold. So, it is advised to usage a operation of 2-3 cards to get a decent reward rate. But, successful my opinion, SBI MILES doesn’t marque the chopped successful this mix," helium said. 

Atlas besides offers an astir adjacent fig of complimentary lounge visits–another cardinal offering of question cards–compared to MILES ELITE. While the second offers 8 home visits, restricted to 2 visits per 4th and six planetary visits per year, Atlas gives 8 home and 4 planetary visits to the basal Silver tier. The fig of lounge visits summation arsenic cardholders determination up the tiers.