Infinia Infinia Against ULIP?

[sonuyos]

I got an offer from HDFC RM, saying I can get Infinia (I have no shot at getting it directly without waiting for like years. As it took them 8yrs to upgrade my Moneyback to Millennia card.)

If I go thru FD backed route it will be - 7.20% interest rate on 10lk fd. I straight up lose 5-7% on 10lk = 60k roughly every year.

They said to pay 2.1lk to get the card and of which I can surrender the Policy if I want after 1yr, and get back roungly 103-108k back.

In return they will give me Infinia Metal with a guaranteed upgrade (giving me in writing over email) to Infinia Reserve once the card launches.

Plus the card would be 3 yrs free.

Should I go for it?

Edit : Did not go with it. As many pointed out, the cost doesn't justify the card, especially after the 2:1 accor devaluation.

 

[Shin-Chan]

Agree on your calculations it will be somewhere same as per my calculations as well.


So paying 25-27K if you feel worth it for Infinia you can go for it, I had almost similar offer which I declined as Infinia is not worth 25-30K for me, thats my personal opinion and may vary person to person

 

[Centurion_wala]

@SSV @Riya @techt @Shin-Chan

Got Offer from RM.

Get 2.12lk Premium ULIP, 5yr lock term.

After 30 days or before 2nd Premium (i.e. next 1yr)

Surrender the ULIP.

After lock in Period of 5yrs, you get 165k back.

Essentially making -6.4% IRR, but also getting FYF Infinia, so about -5.07%.

Over 5yrs, it will cost me roughly 1lk, after adjusting for inflation (not even counting loss of opportunity.

Which plan have they offered? If it's some shitty plan, say NO. If you still want to go with this approach, ask for CLICK 2 WEALTH plan - it would atleast have a better IRR even if you don't pay future premiums.

 

[sonuyos]

Agree on your calculations it will be somewhere same as per my calculations as well.


So paying 25-27K if you feel worth it for Infinia you can go for it, I had almost similar offer which I declined as Infinia is not worth 25-30K for me, thats my personal opinion and may vary person to person

I think it wooooould be worth if it was LTF.

 

[SSV]

I think it wooooould be worth if it was LTF.

For LTF you need GH approval ..
GH= Group Head

 

[Slayer]

Which plan have they offered? If it's some shitty plan, say NO. If you still want to go with this approach, ask for CLICK 2 WEALTH plan - it would atleast have a better IRR even if you don't pay future premiums.

How is it different from Smart Protect plan?

 

[Shin-Chan]

I think it wooooould be worth if it was LTF.

They are not offering LTF until unless the name is SSV

 

[PrinceHeart]

@SSV @Riya @techt @Shin-Chan

Got Offer from RM.

Get 2.12lk Premium ULIP, 5yr lock term.

After 30 days or before 2nd Premium (i.e. next 1yr)

Surrender the ULIP.

After lock in Period of 5yrs, you get 165k back.

Essentially making -6.4% IRR, but also getting FYF Infinia, so about -5.07%.

Over 5yrs, it will cost me roughly 1lk, after adjusting for inflation (not even counting loss of opportunity.

30 days mein infinia to nahi milega pakka hai. Aur wo bhi fyf hi dega. Maybe 2months+ lagega.

Talk with RM, instead of 2.2L, you can go 3L, will he make it LTF ? Then maybe its of some value. BUT ONLY, if there is NO devaluation of infinia in the next 5yrs, of which even the ceo cannot promise 😂

 

[PrinceHeart]

They are not offering LTF until unless the name is SSV

= Sarva Sampan Vikalp

This matches his TF profile as well 😁

 

[Shin-Chan]

30 days mein infinia to nahi milega pakka hai. Aur wo bhi fyf hi dega. Maybe 2months+ lagega.

Talk with RM, instead of 2.2L, you can go 3L, will he make it LTF ? Then maybe its of some value. BUT ONLY, if there is NO devaluation of infinia in the next 5yrs, of which even the ceo cannot promise 😂

RM log chapri hai they have no idea its some ready made excel running it seems I was told exact same numbers by my RM

 

[PrinceHeart]

RM log chapri hai they have no idea its some ready made excel running it seems I was told exact same numbers by my RM

Mera RM blocklisted hai already on my phone. Pareshan ho gaya tha usse. Call ke less-than-1min ke andar fd ka topic pe aa gata tha.

 

[PrinceHeart]

Mere RM ko to marriott bonvoy wala cc released by hdfc ka news maine hi diya tha 😂. Infinia usse na ho payega.

Aur to aur maine hdfc pno ko email kiya tha RM change ke liye, 2 saal ho gaya, aaj tak kuch reply nahi aaya.

 

[Shin-Chan]

Long back I received some 50L in my account within few mins the RM called me and asked me to do FD and lot of things I told her why is she poking nose in my finances and who authorized her for that; I filed a complaint with recording the RM got changed same week

 

[anirban.choudhuryanirban.choudhury is verified member.]

@SSV @Riya @techt @Shin-Chan

Got Offer from RM.

Get 2.12lk Premium ULIP, 5yr lock term.

After 30 days or before 2nd Premium (i.e. next 1yr)

Surrender the ULIP.

After lock in Period of 5yrs, you get 165k back.

Essentially making -6.4% IRR, but also getting FYF Infinia, so about -5.07%.

Over 5yrs, it will cost me roughly 1lk, after adjusting for inflation (not even counting loss of opportunity.

I am just surprised that with your spend of 60 lakhs per annum , you had to do ULIP that too for a highly mediocre card which can only provide you accelerated bonus of 15k miles and that too direct 1:1 redemption is capped at 70% through smartbuy , and almost all good FFP's at 2:1.

Even if, one directly applies through HDFC portal with salary above 3 lakhs , Infinia comes up for applying.

Even in some cases if it doesn't , any agent can get you Infinia easily.


Ulip routes are people who don't qualify for the salary criteria or spend criteria or both.

Hdfc has issues related to upgrades that why they took so many years to upgrade your card to millennia , but you could very easily get DCB metal or Infinia if you close your current card and apply fresh.

PS - Infinia gives only 5000 reward points in a day for insurance spends.
HDFC to Accor conversion is 2:1 even atlas would give you better returns for your accor stays than Infinia

You already have magnus burgundy and for your kind of spends I am not sure how would you make more profits on Infinia over magnus burgundy.

 

[PrinceHeart]

Long back I received some 50L in my account within few mins the RM called me and asked me to do FD and lot of things I told her why is she poking nose in my finances and who authorized her for that; I filed a complaint with recording the RM got changed same week

I used to get calls from my icici branch. But i tell them, the bm looks after my finance, talk with him. If he approves, i have no problem doing fd. They stopped calling me now.

 

[SSV]

Ulip routes are people who don't qualify for the salary criteria or spend criteria or both.

This is very correct 👏👏 ...
ULIP route should not be considered for the people who could qualify via ITR route ...as a starter...

 

[PrinceHeart]

I am just surprised that with your spend of 60 lakhs per annum , you had to do ULIP that too for a highly mediocre card which can only provide you accelerated bonus of 15k miles and that too direct 1:1 redemption is capped at 70% through smartbuy , and almost all good FFP's at 2:1.

Even if, one directly applies through HDFC portal with salary above 3 lakhs , Infinia comes up for applying.

Even in some cases if it doesn't , any agent can get you Infinia easily.


Ulip routes are people who don't qualify for the salary criteria or spend criteria or both.

Hdfc has issues related to upgrades that why they took so many years to upgrade your card to millennia , but you could very easily get DCB metal or Infinia if you close your current card and apply fresh.

PS - Infinia gives only 5000 reward points in a day for insurance spends.
HDFC to Accor conversion is 2:1 even atlas would give you better returns for your accor stays than Infinia

You already have magnus burgundy and for your kind of spends I am not sure how would you make more profits on Infinia over magnus burgundy.

 

[sonuyos]

I am just surprised that with your spend of 60 lakhs per annum , you had to do ULIP that too for a highly mediocre card which can only provide you accelerated bonus of 15k miles and that too direct 1:1 redemption is capped at 70% through smartbuy , and almost all good FFP's at 2:1.

Even if, one directly applies through HDFC portal with salary above 3 lakhs , Infinia comes up for applying.

Even in some cases if it doesn't , any agent can get you Infinia easily.


Ulip routes are people who don't qualify for the salary criteria or spend criteria or both.

Hdfc has issues related to upgrades that why they took so many years to upgrade your card to millennia , but you could very easily get DCB metal or Infinia if you close your current card and apply fresh.

PS - Infinia gives only 5000 reward points in a day for insurance spends.
HDFC to Accor conversion is 2:1 even atlas would give you better returns for your accor stays than Infinia

You already have magnus burgundy and for your kind of spends I am not sure how would you make more profits on Infinia over magnus burgundy.

I am only looking out for Infinia for Insurance & SmartBuy.

I have figured out few ways to pay insurance and still get points with Magnus/Reserve, idk how long it is gonna last that's why I want to safe guard.

The main problem is that I am not salaried, and my ITR is not as per "hdfc standard".

Thats why I am unable to get Infinia.

I am thinking to close Milennia, would I also have to close Swiggy & TataNeu and reapply for Regalia as DCB does not have that much acceptability.?
You have any agent who can hook me up with Infinia if I close the card?

 

[anirban.choudhuryanirban.choudhury is verified member.]

I am only looking out for Infinia for Insurance & SmartBuy.

I have figured out few ways to pay insurance and still get points with Magnus/Reserve, idk how long it is gonna last that's why I want to safe guard.

The main problem is that I am not salaried, and my ITR is not as per "hdfc standard".

Thats why I am unable to get Infinia.

I am thinking to close Milennia, would I also have to close Swiggy & TataNeu and reapply for Regalia as DCB does not have that much acceptability.?
You have any agent who can hook me up with Infinia if I close the card?

Buy even for smartbuy and insurance , I am not sure how will earn more accor points in infinia than magnus Burgundy?

Let's say out of your 5 lakh spends you mentioned 2.5 is for insurance

Now infinia has a restriction of 5000 points per day
So your entire 2.5L spend would only give 5k points assuming , you are paying monthly premiums.

And on remaining 2.5L
You earn 15k ( 4x ) through vouchers and remaining 1x

So roughly 1.13 L on vouchers would exhaust right
1.13l spend would earn you
15k accelerated + 3785 base

So total as of now on spends of 1.13 + 2.5
Is 23785

Remaining 1.37L of your spends would get 4565 points

That's total of 28350 which is 14175 all accor points.

Not let's see for your magnus Burgundy, you said that you were getting points on insurance which you are not now

That's 2.5L without any points

But remaining 2.5L on AEP should give you 26500 points
On conversion to accor That's 21200 all accor points.

Still more than infinia


Let's be very optimistic and day for your insurance you somehow manage to buy 100k apay from smartbuy

Even in that scenario you would max out on some 31k points which would be some 16k accor.


I have assumed you would max out infinia on 5x voucher category as 10x every month on hotels doesn't seem feasible.


This was a rough calculation of reward points that you would earn basis your spends and since you mentioned accor as your preferred partner.


Now coming to your question

Yes you will need to close all hdfc cards and apply fresh


Infinia ITR eligibility is 37L which I assumed you had on basis of your 60L spends

If you don't and you were doing money rotation then it's perfectly fine, you can easily show that to IT if they provide notice

But if your spends are genuine , then that might cause an issue if IT sends you a notice for high SFT.

 

[sonuyos]

Buy even for smartbuy and insurance , I am not sure how will earn more accor points in infinia than magnus Burgundy?

Let's say out of your 5 lakh spends you mentioned 2.5 is for insurance

Now infinia has a restriction of 5000 points per day
So your entire 2.5L spend would only give 5k points assuming , you are paying monthly premiums.

And on remaining 2.5L
You earn 15k ( 4x ) through vouchers and remaining 1x

So roughly 1.13 L on vouchers would exhaust right
1.13l spend would earn you
15k accelerated + 3785 base

So total as of now on spends of 1.13 + 2.5
Is 23785

Remaining 1.37L of your spends would get 4565 points

That's total of 28350 which is 14175 all accor points.

Not let's see for your magnus Burgundy, you said that you were getting points on insurance which you are not now

That's 2.5L without any points

But remaining 2.5L on AEP should give you 26500 points
On conversion to accor That's 21200 all accor points.

Still more than infinia


Let's be very optimistic and day for your insurance you somehow manage to buy 100k apay from smartbuy

Even in that scenario you would max out on some 31k points which would be some 16k accor.


I have assumed you would max out infinia on 5x voucher category as 10x every month on hotels doesn't seem feasible.


This was a rough calculation of reward points that you would earn basis your spends and since you mentioned accor as your preferred partner.


Now coming to your question

Yes you will need to close all hdfc cards and apply fresh


Infinia ITR eligibility is 37L which I assumed you had on basis of your 60L spends

If you don't and you were doing money rotation then it's perfectly fine, you can easily show that to IT if they provide notice

But if your spends are genuine , then that might cause an issue if IT sends you a notice for high SFT.

Your calculations are kind of wrong.

So 1.5lk is not one shot but multiple small small so I will get points in infinia.

Right now I am getting points in Magnus/Reserve for insurance but I am not sure how long.

Insurance is not covered In AEP either.

Coming to points, currently MB is giving enough points to me and Infinia cannot beat it but in future if the door closes then I will need infinia.

Also I don't understand why yall saying that high spend cannot be justified with low ITR.

The whole point of business is profit - expense = ITR.

So whatever I earn minus my expense will be ITR.

As I specified in the start of the post I am not salaried.

If I was salaried I might receive notice, but I am not.

For salaried it will be a problem as their expense is post ITR but for business it is pretax.

 

[anirban.choudhuryanirban.choudhury is verified member.]

Your calculations are kind of wrong.

So 1.5lk is not one shot but multiple small small so I will get points in infinia.

Right now I am getting points in Magnus/Reserve for insurance but I am not sure how long.

Insurance is not covered In AEP either.

Coming to points, currently MB is giving enough points to me and Infinia cannot beat it but in future if the door closes then I will need infinia.

Also I don't understand why yall saying that high spend cannot be justified with low ITR.

The whole point of business is profit - expense = ITR.

So whatever I earn minus my expense will be ITR.

As I specified in the start of the post I am not salaried.

If I was salaried I might receive notice, but I am not.

For salaried it will be a problem as their expense is post ITR but for business it is pretax.

Not sure how you said calculations are wrong

For magnus Burgundy I completely excluded your 2.5 per month spend on insurance from base and AEP.

I just calculated AEP on the remaining 2.5L spend
Which came at 26500 converted to 21200 accor points

And for infinia I calculated 113k under 5x and remaining 387k with base rewards that came as 15000 + 3875 + 12900 which comes at 31775 ,converted to accor at 15887 all accor points.

So I am not sure what permutation and combination you are planning to use on infinia thar gets you more accor points than Burgundy with or without current loophole that you have identified for insurance in your magnus Burgundy.


I am not sure about income tax notices so can't comment on that, but with an personal ITR of less than 37 lakhs you are having personal spends of 60L is indeed a matter of concern.
If your spends are non personal then it's not a matter of concern for IT , that's more of banks jurisdiction.