In an era of rising commodity prices, the right fuel credit card can be a great way for consumers to increase their savings. Typically launched in partnership with large fuel corporations, such as HPCL and Indian Oil, fuel credit cards can help you save money and optimise your budget.

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If you are a vehicle owner, applying for a fuel credit card can offer great value for your everyday commutes as well as occasional road trips. In this article, we will explore the key advantages of using a fuel credit card and outline the features to consider when selecting the right one for your needs. 

What is a fuel credit card?

A fuel credit card is designed keeping in mind the needs of vehicle owners. It offers benefits such as discounts and cashback on fuel purchases, helping consumers lower their expenses. Most of these cards offer reward points each time you refuel. You can also redeem the points to get a certain amount of fuel for free. 

Banks offer these cards in partnership with oil marketing companies such as Hindustan Petroleum Corporation Ltd (HPCL) and Indian Oil, where you get discounts on fuel refills at their petrol pumps.

Key benefits of a fuel credit card

Some of the major advantages you can expect from the best fuel credit cards in India are as follows: 

-      Cost savings

This is the primary advantage of using these cards. You can enjoy savings on fuel purchases through discounts, cashbacks, and surcharge waivers. These savings can add up significantly over time, especially for frequent drivers. They come especially handy during longer drives where you might need a significant amount of fuel.

Fuel credit cards often come with rewards programs that offer points or miles for every rupee spent on fuel. These rewards can be redeemed for a variety of benefits, such as travel discounts, gift cards, or even additional fuel credits. This provides an extra incentive to use the card for all your fuel needs.

No need to carry cash

With a fuel credit card in your wallet, you don’t need to carry cash. Fuel refills often require you to pay loose change, which can sometimes be a hassle. Carrying a fuel credit card eliminates the need to carry cash or rely on a separate payment method when filling up. 

Moreover, RuPay fuel credit cards such as the IDFC FIRST Power and Power+ Credit cards can be linked to UPI to enable quick and convenient payments at fuel stations. This means you can earn reward points, enjoy interest-free credit, as well as avail EMI benefits while making UPI payments with these cards.

       Wide acceptance

Fuel credit cards are accepted at all stations, including major chains such as HPCL and Indian Oil. This makes it convenient to fill up fuel whenever needed across locations. 

Additionally, many credit cards such as the IDFC FIRST Power and FIRST Power+ Credit Cards offer enhanced security features, such as fraud protection and the ability to quickly report lost or stolen cards, providing peace of mind for the cardholder.

Features to consider when choosing a fuel credit card

If you’re in search for the best fuel credit card in India, consider these factors before you make a decision:

1.  Rewards structure

Evaluate the rewards program offered by the card, including fuel purchase reward points, cashback, welcome bonuses, and points on other expenses. 

Fuel credit cards like the IDFC FIRST Power and FIRST Power+ provide fuel savings with surcharge waivers and up to 24x reward points on HPCL fuel and LPG purchases. Furthermore, you can earn 30X reward points on IDFC FASTag recharges with the FIRST Power+ credit card.  

The best fuel credit cards offer benefits not just on fuel purchases, but also on other everyday expenses such as grocery and utility bills.  For example, with the FIRST Power and FIRST Power+ Credit Cards, you can save up to ₹18,500 annually, enough to buy you 175+ litres of fuel!

2. Fuel station partnerships
 
Some fuel credit cards are affiliated with specific gas station chains. Consider whether these stations are convenient for your regular commute or travel routes. Having a card that is widely accepted can maximise your savings potential.

HPCL-backed IDFC FIRST Power and FIRST Power+ Credit Cards offer 6 payback reward points for every Rs 100 fuel spent through the HP Pay app, capped at 300 points per month.  
 
3. Interest rates and fees
 
Pay close attention to the annual percentage rate (APR) and other fees such as forex markups and cash withdrawal fees. While it's best to pay off the balance in full each month to avoid interest charges, it's still important to understand these terms in case you carry a balance.

IDFC FIRST Power and FIRST Power+ Credit Cards offer low interest rates starting at just 9% per annum. Moreover, cash withdrawals with these cards are interest-free up to 48 days.
 
 4. Additional perks
 
Some fuel credit cards come with extra benefits like roadside assistance, travel insurance, and other travel-friendly offers. Consider whether these perks align with your needs and preferences. 

With IDFC FIRST Power and FIRST Power+ Credit Cards, customers get complimentary roadside assistance worth Rs 1,399, personal accident cover of Rs 2,00,000 and lost card liability cover of Rs 25,000. Moreover, you can enjoy discounted roadtrips with Rs 500 discount on ZoomCar Rentals, and discounts up to 50% on domestic and international rental cars with Eco Rent A Car and Europcar.

With both cards, you also get attractive discounts on purchases made across categories such as health and wellness, dining, entertainment, pharmacy, food delivery, etc., across brands. 

5. UPI-enabled 

Fuel credit cards on the RuPay platform, like the FIRST Power and FIRST Power+ Credit Cards, offer the convenience of UPI payments. UPI-enabled credit cards are incredibly convenient and secure way to make payments. They eliminate the need for entering your credit card information, as the details are already linked to your UPI account. 

Conclusion

Opting for a fuel credit card is a great way to lower your fuel expenses without cutting back on the convenience of driving your own vehicle. 

With benefits ranging from discounts and rewards to improved budgeting and security, these cards can make a positive impact on your overall financial well-being. Applying for these credit cards is a convenient way to keep fuel expenses under control and avail of other associated benefits such as roadside assistance cover, reward points on utility expenses, etc. 

Prudent use of fuel credit cards ensures you can enjoy your ride without burning a hole in your pocket.

 

 

(This article is part of IndiaDotCom Pvt Ltd’s Consumer Connect Initiative, a paid publication programme. IDPL claims no editorial involvement and assumes no responsibility, liability or claims for any errors or omissions in the content of the article. The IDPL Editorial team is not responsible for this content.)