Premium credit cards charge over ₹12K as annual fee. Is it worth paying that much?

Premium cards usually bear a high annual fee. In comparison to the free cards or the ones with a fee lower than ₹1,000, premium cards are typically quite expensive.

Some of these cards tend to charge a fee to the tune of ₹12,000 or higher. Is this, therefore, worth getting a premium card? Well, why not? This is fine so long as the services these cards offer and discounts they give make up for the fee.

Some of the premium credit cards offer a range of services which include access to golf, special clubs, international lounges, 24X7 concierge service. Let us first give a lowdown on an indicative list of premium credit cards in India.

Premium credit cards: An indicative list

ICICI Bank Emeralde Credit Card: The card offers a range of features including access to most iconic golfing greens in India and around the world. It also offers unlimited access to lounges in domestic and international airports.

Axis Bank Magnus Credit Card: This card charges ₹12,500 and provides what is known as ‘extraordinary weekends’ that entails golf lessons, airport concierge service and airport transfer.

HDFC Bank Infinia Credit Card (Metal Edition): This card charges ₹12,500 annual fee plus taxes. It offers personal concierge services, complimentary Club Marriott membership, offering up to 20 per cent discounts for dining as well as stay.

Is this worth getting a premium card?

Whether paying an annual fee upward of ₹10,000 is reasonable or not depends totally on the cardholder’s profile and their lifestyle. For instance, most of the services mentioned above will typically align with a frequent traveller or a golf lover. 

So, if you love to travel to places in India and abroad, then being able to access lounges at airports worldwide makes a lot of sense.

On the other hand, if your work does not require you to travel a lot then ability to access lounges and concierge service is irrelevant. This would, invariably, remain a service that you might have access to but do not use it in your day-to-day life.

Likewise, HDFC Bank Infinia Credit Card (Metal Edition) offers Club Marriott membership and ICICI Bank Emeralde Credit Card provides access to iconic golfing greens.This will surely be useful to those cardholders who love to play golf and are accustomed to luxurious lifestyles. Otherwise, this is a service you do not need to pay for.

Disclaimer: Mint has a tie-up with fintechs for providing credit; you will need to share your information if you apply. These tie-ups do not influence our editorial content. This article only intends to educate and spread awareness about credit needs like loans, credit cards and credit scores. Mint does not promote or encourage taking credit, as it comes with a set of risks such as high interest rates, hidden charges, etc. We advise investors to discuss with certified experts before taking any credit.

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