MAGNUS Burgundy for those who are not into Big Spending ?

A Background Story (that happened).

I am an axis bank savings (burgundy) account holder since past 3 years. Initially had a couple of basic cards like Axis Ace , MyZone and Axis Flipkart with a low combined limit of 1.5 Lakhs ; and i was content with it as i was not an avid credit card user.

While the limits on my Axis cards were stagnant , ICICI was actually quite “Dil Se Open ” to me and gave me a generous Limit Enhancement from 3.2 Lakhs to 5.1 Lakhs in December 2022. This alone made me eligible to apply for Magnus Card on card for card basis.

My Burgundy status and RM were quite happy to put it forth and Axis approved it with flying colours. They matched the limit of 5.1 Lakhs on my Magnus.

I Got Axis Magnus First Year Free (with 10,000 Tata Cliq Vouchers) in Jan 2023 , and it really felt like a Double Bonus.

So i Started using the card since Feb 2023 , and used it well till August 2023 until its devaluation, that is 7 months of 25K Magnus milestones. This went out to be 30000×7=210000 ER Points = 168000 Air Vistara Miles .

This is as Good as A Rupee for a Mile. So the total benefits that i got out of a Free Credit Card was 168000+10000= Rs 1.78 Lakhs !!

But ! after the Magnus Card was devalued , it didn’t made any sense to keep it as i have to pay for the renewal fee in Jan 2024 without getting any benefits.

Then again , as the fate had in store for me , Axis came up with Magnus For Burgundy. A LTF card for burgundy customers with reduced benefits but sitll having 5:4 points to miles transfer ratio.

I was pre approved and my Magnus was upgraded to LTF Magnus Burgundy , thus i escaped paying renewal fee for Magnus (again !)

But !! The problem is , although i was able to spend well all those 170000 Vistara Miles , without those Juicy 25000 points a month milestone , using Magnus for a spend of below 2 Lakhs a month does not look worthwhile right now.

So , if you are like me who don’t have that kind of spends and do not like to manufacture spends , Magnus Burgundy may not find a permanent spot in your wallet.

But , since it is a Premium card that is LTF and comes with so many added perks , One can and should use it at places where it gives EXTRA Accelerated Rewards.

Here are some points about the Burgundy Magnus that , if you Keep in mind , will serve you well. You can also use to for those month of year where you are sure to reach 2 Lakh worth of spends.

 

Perks of keeping LTF Magnus Burgundy.

Earn 12 base EDGE Reward Points per Rs. 200 on spends up to Rs. 1.50 Lakhs and earn 35 accelerated EDGE Reward Points per Rs. 200 on incremental spends above Rs. 1.50 lakhs in a calendar month.

Eligible Spends = [Total Spends in a calendar month – Rs. 1.50 lakhs – Spends on Exclusion list (ref point 4.) – Spends on Travel Edge up to Rs. 2 Lakhs – Rental Payments (incremental spends above Rs. 50,000)] * [23 EDGE Reward Points/Rs.200]

Accelerated Edge Reward Points criteria:

  1.  Other Axis Bank Accelerated Program like 5X EDGE Rewards on Travel EDGE and upto 5X multiplier EDGE reward points on spending on Grab Deals and GYFTR will be calculated on Base EDGE Reward points i.e. 12 Edge Reward points per Rs. 200 eligible spends.
  2. Spends upto Rs. 2 Lakhs on Travel EDGE and spends on Grab Deals, GYFTR will not be calculated for Total Eligible Spends.
  3. Spends on rental/Real Estate transactions of upto Rs. 50,000 in a calendar month will be considered for Total Eligible Spends. Any amount over and above Rs. 50,000 in a calendar month will not be considered in calculation of Total Eligible Spends

Added Benefits of keeping a LTF Magnus Burgundy Credit Card

Travel and Stay

  • Welcome Annual Benefit: not applicable for LTF upgrade from magnus to magnus burgundy.
  • Airport Concierge Service: Get eight complimentary end to end VIP services at the airport
  • International Lounge Access: Get unlimited complimentary international lounge visits as well as eight additional guest visits each year with the Priority Pass card.

Lifestyle and Entertainment

  • BookMyShow Benefits: BOGO Upto Rs.500 / Purchase one movie or non movie ticket and receive up to Rs.500 discount on the second ticket. Upto 5 times in a month
  • Dining Delights: Get up to 40% discounts at more than 4,000 restaurants across the country
  • Extraordinary Weekends: Customized experiences globally with extraordinary weekends

Health and Wellness

  • Medical Concierge Program: Virtual health assistance such as tele consultation, home quarantine programs, health coaching, personalized oncology care, and more
  • Second Medical Opinion: Get medical opinion from experts from a group of world class specialists at leading institutions.
  • Preventive Healthcare: Benefit from special preventive healthcare packages and a wide range of privileges with SRL diagnostics, Dr. Lal PathLab and Metropolis
  • Global Travel and Medical Assistance: Cardholders can travel safely with inoculation and visa requirements details, emergency evacuation, and legal and medical service referrals.

Usage Scenarios for Magnus Burgundy.

How to spend less and Get more value out of Magnus Burgundy ?

What are your thoughts ?

What You Need to Know Before Using a Credit Card

Overview of Credit Cards and How They Work

Credit cards offer many advantages, including the convenience of making purchases without having to carry cash. However, it is important to understand how credit cards work and the potential drawbacks before you make the decision to use one.

At its most basic level, a credit card allows you to borrow money from a lender in order to make purchases. The lender then charges you interest on the amount borrowed. This interest rate is known as the annual percentage rate (APR).

It is important to read the terms and conditions of your credit card in order to understand the APR and any other fees associated with using your card. When you make a purchase with your credit card, the lender pays the merchant, and you are then responsible for paying back the amount you borrowed.

You can usually make a minimum payment each month, but if you do not pay the full balance, you will be charged interest. It is important to note that not paying your credit card balance in full each month can result in significant debt. It is also important to consider the potential risks associated with using a credit card.

Fraud and identity theft are a possibility when using any credit card, and it is important to be aware of how to protect yourself. It is also important to remember that credit cards are not a form of free money, and it is important to make sure you are able to pay off your balance each month. By understanding how credit cards work and the potential risks associated with them, you can make an informed decision about whether or not to use one. Credit cards can be a useful tool for making purchases, but it is important to be aware of the potential drawbacks before you decide to use one.

Pros and Cons of Using a Credit Card

Credit cards can be a great convenience for making purchases, but it’s important to understand the potential risks and rewards of using them. Knowing the pros and cons of using a credit card can help you make the best choice for your financial situation.

Pros

  • Convenience: Credit cards are a convenient way to pay for purchases without having to carry around cash.
  • Rewards: Many credit cards offer rewards such as cash back, airline miles, and points that can be used toward purchases.
  • Protection: Credit cards offer a form of protection from fraudulent purchases and can be used to dispute a charge if necessary.

Cons

  • Fees: Credit cards often come with high annual fees, late payment fees, and over-limit fees.
  • Interest: Credit cards often charge high interest rates, making it difficult to pay off the balance if you don’t pay your bill in full.
  • Debt: If you don’t pay your credit card bill in full every month, you can quickly get into debt and it can be difficult to get out.

Before using a credit card, it’s important to weigh the pros and cons and make sure that you are able to pay your balance in full every month. If you do decide to use a credit card, make sure to monitor your spending and make payments on time to avoid any fees or interest charges.

Tips for Using a Credit Card Responsibly

When it comes to using credit cards, it’s important to use them responsibly. Here are a few tips to help you make the most of your credit card:

  • Know Your Credit Limit: Before you use your credit card, make sure you know your credit limit. This will help you stay within your budget and avoid overspending.
  • Pay Your Balance in Full: Try to pay off your credit card balance in full each month. This will help you avoid interest charges and keep your credit score in good standing.
  • Be Cautious With Cash Advances: Cash advances come with high interest rates and fees, so it’s best to avoid them if possible.
  • Track Your Spending: Track your credit card spending on a regular basis to ensure you’re not overspending. This will help you stay on top of your finances and avoid getting into debt.
  • Read the Fine Print: Before you sign up for a new credit card, make sure you read the terms and conditions so you know exactly what you’re getting into.

By following these tips, you can use your credit card responsibly and make the most of it.

Credit Card Fees to Look Out For

Credit cards can be a valuable tool, but they also come with a variety of fees and charges that can add up quickly if you’re not careful. If you’re considering using a credit card, it’s important to be aware of the fees you could face and make sure you understand the terms and conditions of your card.

The most common credit card fees include annual fees, balance transfer fees, cash advance fees and late payment fees.

Annual fees are charged annually for using the card and are typically between Rs.Zero and Rs10000 – 50000.

Balance transfer fees are charged when you move a balance from one card to another and are usually between 3% and 5%.

Cash advance fees are charged when you use the card to withdraw cash from an ATM and tend to be around 3%.

Finally, late payment fees are charged when you don’t make your minimum payment by the due date and can be up to $40. It’s important to note that some credit cards don’t have any of these fees and others might have lower fees. When choosing a card, make sure you read the fine print and shop around to find the best deal. In addition, make sure you understand the terms and conditions of your card and always make sure you make your minimum payments on time. By being aware of credit card fees and doing your research, you can make sure you get the best deal and avoid any unnecessary charges.

What You Need to Know Before Using a Credit Card: The Difference Between Credit Card Rewards and Cash Back

When it comes to credit cards, it’s important to understand the differences between rewards and cash back. Although both programs offer additional benefits for using a credit card, they are two distinct programs with different features and benefits.

The first distinction to make is that rewards are typically offered through loyalty programs that are sponsored by the credit card company. This means that you will earn points or miles every time you make a purchase, and those points can be redeemed for merchandise, gift cards, or travel. Cash back, on the other hand, is a type of reward that is offered directly from the credit card issuer.

Instead of earning points and redeeming them for rewards, you will receive a certain percentage of cash back on your purchases. This money is typically deposited into your account as a statement credit or can be used to pay down your balance. Another important difference between rewards and cash back is the amount you can earn.

With rewards programs, the value of points and miles can vary greatly depending on how you redeem them. With cash back programs, on the other hand, you can typically earn between 1-5% on eligible purchases. Finally, cash back rewards are typically easier to use than rewards programs. With rewards programs, you may need to pay attention to expiration dates or transaction fees, while cash back rewards are generally easier to manage. It’s important to understand the differences between credit card rewards and cash back before using a credit card. While both programs offer benefits, they have different features and advantages. Make sure you know which one is right for you before signing up for a credit card.

Knowing When to Use a Credit Card and When to Use Cash

When it comes to making purchases, it can be difficult to know when to use a credit card and when to use cash. While credit cards make it easy to buy items and can provide a variety of benefits, it’s important to understand the potential risks that come with using them.

Before using a credit card, it’s important to consider a few key questions. Do you have the money to pay off the card balance in full each month? Are you disciplined enough to resist the temptation of using it to buy items that you can’t really afford? How will using a credit card affect your credit score? If you answer these questions honestly, it can help you decide whether or not to use a credit card.

For instance, if you don’t have the money to pay off your card balance in full each month, it’s best to use cash instead. This can help you avoid accumulating debt and paying high-interest rates.

On the other hand, if you are disciplined enough to pay off the balance each month and understand how credit cards work, using one can be a great way to build credit and take advantage of rewards. For example, some cards offer generous cash back bonuses and other perks.

In summary, it’s important to understand when it’s best to use a credit card and when it’s better to use cash. Credit cards can be a great tool, but they come with risks that you should be aware of. By being mindful and considering your financial situation, you can make the right decision for your needs.