Credit card reward points are a hidden treasure that many cardholders overlook. These points can be accumulated through regular credit card usage and can be redeemed for a variety of valuable rewards. But the process of redeeming credit card reward points can be a little confusing.
Types of redemption options
Credit card reward points can usually be redeemed in various ways, depending on the credit card issuer. Here are some common redemption options:
1. Travel rewards: Many credit card reward programs allow you to redeem your points for travel-related benefits. These can include airline miles, hotel stays, car rentals, and vacation packages. Some credit cards issuers have a redemption portal that others offer the flexibility to use the points for flight booking, hotel booking, and more.
2. Merchandise and shopping: Many credit card reward programs have an extensive catalogue of merchandise available for redemption. From electronics and gadgets to home appliances and fashion accessories, you can use your reward points to shop for items you desire. Some credit cards may even offer exclusive deals and discounts on merchandise redemption. When you shop online using the Bajaj Finserv RBL Bank Binge SuperCard, you can get 12 reward points for every Rs. 100 spent using this card. These reward points can be redeemed on RBL redemption portal for shopping.
3. Entertainment benefits: Several credit card reward programs offer the opportunity to redeem points for unique experiences or entertainment. This can include concert tickets, sports events, theatre performances, spa packages, or more. Bajaj Finserv RBL Bank Binge SuperCard offers you 1+1 movie ticket every month when you book your tickets on BookMyShow using the card.
4. Cashback offers: If your credit card issuer has strong partnerships with retailer stores and online shopping sites, you can even earn upfront cash backs. This allows you to offset your credit card bill or receive a direct cash reward deposited into your bank account. All Bajaj Finserv co-branded cards offer a perk of cash backs. All you have to do is, shop at XYZ partner stores like Croma, Reliance Digital, Vijay Sales, Amazon, Flipkart etc. using your Bajaj Finserv co-branded cards to enjoy cash back offers.
5. Gift cards and vouchers: Credit card reward points can also be redeemed for gift cards or vouchers from a wide range of retailers, restaurants, online platforms, or even movie theatres. Gift cards offer flexibility, allowing you to choose rewards that side with your preferences and lifestyle.
Tips to effectively redeem your reward points:
1. Time your redemption: Some credit card reward programs offer limited-time promotions or exclusive deals on certain redemption options. Keep an eye on these offers and consider timing your redemptions to take advantage of higher value or discounts.
2. Combine points and pay: If you do not have enough reward points to cover the full cost of your desired redemption, some credit card programs allow you to combine points with a cash payment. This way, you can still enjoy the benefits of your reward points while reducing out-of-pocket expenses.
3. Avoid hoarding points: While it can be tempting to accumulate reward points over an extended period, it is important to strike a balance. Some credit card reward points have expiration dates or may lose value over time. It is wise to regularly review your reward point balance and consider redeeming them for valuable rewards rather than hoarding them indefinitely.
4. Utilise bonus categories: Various credit cards offer bonus rewards or accelerated earning rates in specific spending categories such as dining, groceries, or travel. Take advantage of these bonus categories to accumulate reward points faster and maximise your redemption potential.
Whether it is travel rewards, cashback, gift cards, merchandise, or experiences, redeeming your credit card reward points allows you to unlock savings in the long run.
