Upcoming Travel expense of approx 2 lac - Which credit card to apply or choose

[nousername]

Hello everyone, I need your suggestions to get clarity and plan on an upcoming expense.

I have a family function in a hotel in next 15 days. Total cost is approximately 2 lac.
I have made advance payment of 10000 and got MCC code - 7011.
Now hotel has given me two options:
1. If I pay remaining amount which will be recorded- I will be charged additional 5%
2. Pay balance in cash without additional charge

I was not inclined for cash transactions but 5% charge is deterrent and will render most of my existing cards useless. Hence, I am thinking of applying for Axis Atlas to effectively get 5% when transferred to Accor.

Listing few current cards which I and wife have. I don’t have travel centric card yet.
Plat travel is making some sense as there is extra reward of 6000 for 2lac spend.

1. Amex - Trifecta and 1 more MRCC
2. Regalia Gold, HSBC Live+,
3. Sbi cashback, Amazon ICICI,

With only financial calculation, none of the card is making sense but with cards around I am trying to extract some sort of other benefits like membership tier upgrade etc which can be used later.

Please suggest and help out if I am overthinking to put this transaction on credit card or have a peace of mind and go with paying cash.

 

[VasukiVasuki is verified member.]

Hello everyone, I need your suggestions to get clarity and plan on an upcoming expense.

I have a family function in a hotel in next 15 days. Total cost is approximately 2 lac.
I have made advance payment of 10000 and got MCC code - 7011.
Now hotel has given me two options:
1. If I pay remaining amount which will be recorded- I will be charged additional 5%
2. Pay balance in cash without additional charge

I was not inclined for cash transactions but 5% charge is deterrent and will render most of my existing cards useless. Hence, I am thinking of applying for Axis Atlas to effectively get 5% when transferred to Accor.

Listing few current cards which I and wife have. I don’t have travel centric card yet.
Plat travel is making some sense as there is extra reward of 6000 for 2lac spend.

1. Amex - Trifecta and 1 more MRCC
2. Regalia Gold, HSBC Live+,
3. Sbi cashback, Amazon ICICI,

With only financial calculation, none of the card is making sense but with cards around I am trying to extract some sort of other benefits like membership tier upgrade etc which can be used later.

Please suggest and help out if I am overthinking to put this transaction on credit card or have a peace of mind and go with paying cash.

Hsbc travel one
Equitas miles and more

 

[TripleAce]

Axis Atlas not being issued anymore.

 

[HumorSimpson]

🥝 Kiwi cc, if you can pay via QR, gives 5%

Sorry missed that they are charging you 5% extra 😢

 

[cardio_guycardio_guy is verified member.]

In my thought, (leave the MCC category) -- if the hotel is charging 5% extra, that means instead of 100000, you will be paying 105000.
That means, instead of getting points for 100000, you will get points for 105000.
That means, whatever they charge extra, think that - it is the final cost. You will get points for what you pay using the card.
(In other words you will get points for that extra 5000 also)
If it is like this, what is the significance of that extra 5%? (Or, whatever the hotel charges, we will get point for what we pay using the card right?)

 

[nousername]

Hsbc travel one
Equitas miles and more

Thanks. I had checked HSBC travel one. I couldn’t offset 10000 with only welcome gifts and voucher. accelerated points are not eligible for this 7011. I can get it separately for other benefits but only for this expense it wasn’t working out. Let me know if I am missing anything
Equitas I will check, don’t know the benefits yet.

 

[nousername]

Axis Atlas not being issued anymore.

Oh, even though it ended on 31st Aug. I was seeing Apply option on the website. Please see this URL on click - https://web.axis.bank.in/DigitalCha...tlassticky&cta=product-atlas-sticky-apply-now

If application is stopped then I think I shouldn’t take it further. Thoughts? 🙂

 

[nousername]

In my thought, (leave the MCC category) -- if the hotel is charging 5% extra, that means instead of 100000, you will be paying 105000.
That means, instead of getting points for 100000, you will get points for 105000.
That means, whatever they charge extra, think that - it is the final cost. You will get points for what you pay using the card.
(In other words you will get points for that extra 5000 also)
If it is like this, what is the significance of that extra 5%? (Or, whatever the hotel charges, we will get point for what we pay using the card right?)

I was not directly inclined for direct monetary benefits to earn on it but to take advantage in other way like to get reach Gold status in easily but looks like there is no easy way to get benefit.
I understand and I appreciate you pointing out this approach in your posts and other replies. I am now also thinking of skipping this boat.

 

[HumorSimpson]

Its better to pay him in cash and forget about cc. 5% is really steep and no card would compensate

 

[akiratoriyama]

5% is an insane surcharge to take. Better to pay in cash.

 

[tachniki]

5% is an insane surcharge to take. Better to pay in cash.

I doubt it is surcharge. It is possibly GST which may be evaded by using cash.

 

[hender]

Please suggest and help out if I am overthinking to put this transaction on credit card or have a peace of mind and go with paying cash.

Ans 1: ☝️
2: If you want some benefits, Negotiate in reverse with Cash.

 

[nousername]

I doubt it is surcharge. It is possibly GST which may be evaded by using cash.

yes, correct. It’s GST not card surcharge. Instead of 12%, they will divert the bill to 5% category.

 

[nousername]

Ans 1: ☝️
2: If you want some benefits, Negotiate in reverse with Cash.

Got it. Although I have milked this route enough, have kept last bit as leverage if guest count increases from agreed limit.

 

[Avatar Aang]

AFAIK axis has stopped issuing Atlas. First try to get the 5% charges reduced to 2% and then you can use Amex Plat Travel.

 

[TripleAce]

Oh, even though it ended on 31st Aug. I was seeing Apply option on the website. Please see this URL on click - https://web.axis.bank.in/DigitalCha...tlassticky&cta=product-atlas-sticky-apply-now

If application is stopped then I think I shouldn’t take it further. Thoughts? 🙂

Axis has officially stopped Atlas but if it’s still visible to you then go ahead please.

 

[nousername]

Axis has officially stopped Atlas but if it’s still visible to you then go ahead please.

I trust advice and information here, will not waste time to go through application process.

 

[nousername]

AFAIK axis has stopped issuing Atlas. First try to get the 5% charges reduced to 2% and then you can use Amex Plat Travel.

It's GST, can't be reduced. They are noble to make it 0 with cash payment 😀

 

[TripleAce]

I trust advice and information here, will not waste time to go through application process.

Worth a try because it’s a rewarding CC.
Good luck brother.

Let us know if you succeed.

 

[cardio_guycardio_guy is verified member.]

It's GST, can't be reduced. They are noble to make it 0 with cash payment 😀

Sad but true. By paying cash to such establishments, we are indirectly supporting tax evasion.