Axis Magnus Magnus, Reserve & Other Axis Bank Credit Cards | Devaluation w.e.f. 1st Sep 2023.

[bugmenot]

-- Edited Post --

Final Update

Official PDFs are now out
Magnus - https://www.axisbank.com/docs/default-source/default-document-library/credit-cards/mgtc.pdf

Reserve - https://www.axisbank.com/docs/default-source/default-document-library/credit-cards/rstc.pdf

Revision of Axis Bank Miles/Rewards Transfer Program - https://www.axisbank.com/docs/defau...les-rewards-transfer-terms-and-conditions.pdf

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Update: 2nd August

MyZone - https://www.axisbank.com/docs/default-source/default-document-library/credit-cards/mztc.pdf
Privilege - https://www.axisbank.com/docs/default-source/default-document-library/credit-cards/pvtc.pdf
Select - https://www.axisbank.com/docs/default-source/default-document-library/credit-cards/sltc.pdf
Ace - https://www.axisbank.com/docs/default-source/default-document-library/credit-cards/actc.pdf

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Magnus devaluation highlights

1. Revision in welcome benefits, which are more or less matching with the leaked screenshots
2. Change in annual fee - ₹12,500 + GST
3. No more renewal benefit
4. Spend criteria for fee waiver is now double - 25L
5. Exclusion of government institutions and utilities MCCs for earning ERs
6. RIP 25,000ER/1L milestone benefit
7. Revised transfer ratio of 5:2
8. 5L ER points cap for transfer
9. Burgundy account scheme

Reserve devaluation highlights

1. Spend criteria for fee waiver is revised to 35L
2. Exclusion of government institutions and utilities MCCs for earning ERs
3. Revised transfer ratio of 5:2
4. 5L ER points cap for transfer
5. Burgundy private account scheme

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Aap Chronology Samajiye

• 📄 Few leaked screenshots of PDF started floating for Magnus and Reserve having potential devaulation
• 🐦Few folks on Twitter acknowledged the upcoming devaulation by contacting their RMs or insiders from CC department
• 🎧 Customer Care team were like "Whot Daa Phaak" is going on. They were unaware about these news, some were saying yes and some no
• 😡 Outrage | Speculation | Twitter Space | Points Transfer Tricks
• ✋ Then rumour mills started about devaulation being on hold
• 🔗 Official links of devaulation PDF started popping but "Darling of Cards" was missing
• 🔌 Axis pulled the plug and links started showing "404 - Not Found" except for unlucky Flipkart card
• 💣 BOMB - Axis Gift Edge devaulation
• 📩 Mass credit card cancellation and notice seeking clarification regarding commercial transactions
• 📉 Official PDF of Magnus and Reserve released
• 📉 Official PDF of MyZone, Privilege, Select and Ace released

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1. Flipkart - https://axisbank.com/docs/default-s...flipkart-credit-card-terms-and-conditions.pdf

Below given links are not opening now as they have been removed. You may check attached PDFs.

2. Reserve - https://axisbank.com/docs/default-s...-reserve-credit-card-terms-and-conditions.pdf
3. Select - https://axisbank.com/docs/default-s...k-select-credit-card-terms-and-conditions.pdf
4. Privilege - https://axisbank.com/docs/default-s...rivilege-credit-card-terms-and-conditions.pdf
5. MyZone - https://www.axisbank.com/docs/defau...-my-zone-credit-card-terms-and-conditions.pdf

By following the format, it is quite easy to create Magnus link, which could be https://axisbank.com/docs/default-source/default-document-library/credit-cards/axis-bank-magnus-credit-card-terms-and-conditions.pdf

 

[mastfun]

This is excellent, but until you get a new burgundy Magnus card please don't close your existing Magnus card.
Axis bank should automatically exchange your old Magnus for the new Burgundy Magnus, without you having to do anything.

Yes, But one thing they didn't confirm was whether the transfer ratio is 5:4 or 5:2

 

[drsel]

There is nothing to think about IMHO. It is exactly these kind of expenditures for which Magnus makes sense now. Ideally you should try and not pay the extra fee. But I understand practically at times it's difficult to execute.

You will get 12 ER/200 till 1.5 lakhs(9000 ERs) and 35/200 for the remaining 6.5 lakhs(1,13,750 ERs). That's 1,22,750 ERs. Assuming you are not burgundy that's 49,000 Airline/Hotel miles. Now back calculate how much extra you have to pay if at all and see that its a no-brainer to buy it on Magnus card.

To top it all, if you can spend more money on the card in the same month it will all earn 7% reward rate(as long as it is normal spend and not on accelerated reward category). So would the extra charge that Dealer is asking you to pay!

Actually it may make sense to go for Burgundy for a while just to convert these points at 5:4. Though Axis has yet to come out and confirm the details of that.

And if you are not comfortable with the Magnus's current situation and have Vistara cards, split up the expense and buy on Vistara cards so as to max the tickets and points equation. They also easily give 6-10% value depending upon the card and the value you ascribe to the free ticket voucher

This is very good advice except for the last paragraph .
because it is very difficult to use vistara points to get award seats/tickets
there have been a lot of complaints that there are only two economy seats for award tickets per flight.
And all flights do not have award seats/tickets available.

for any purchase where you are easily crossing 1.5 lakhs in a month, you should convert to burgundy and get the 5:4 ratio

 

[drsel]

Yes, But one thing they didn't confirm was whether the transfer ratio is 5:4 or 5:2

Don't worry 5:4 for Burgundy account is already confirmed by Axis long ago

 

[unwind]

This is very good advice except for the last paragraph .
because it is very difficult to use vistara points to get award seats ,/tickets
there have been a lot of complaints that there are only two economy seats for award tickets per flight.
And all flights do not have award seats/tickets available.

for any purchase where you are easily crossing 1.5 lakhs in a month, you should convert to burgundy and get the 5:4 ratio

I have personally never found award ticket availability to be an issue and I travel a lot. Of course if you are looking to travel in the next couple of weeks availability is less likely to be there. Also on the huge festival dates but there also at times i have found award tickets.
But it's also a function of the route.

A couple of days back, I booked Trivandrum Mumbai tickets for the third week of September for 4 of us in economy. PE was also available. Of course I had to juggle and adjust the date of travel to get 4 tickets in one flight. But for 1/2 seats there was hardly any issue. And this was less than 2 weeks out. I hardly buy vistara tickets unless they are on a sale or something and almost always fly with points

As I understand, they have 4 award tickets in Economy, 6 in Premium Economy and 2 in Business Class. But if the seats are going vacant you can use the upgrade vouchers at the airport and upgrade for revenue tickets on top of this fixed quota.

I agree though that if you can convert to Burgundy and get 5:4, nothing beats Magnus for this car purchase

 

[mastfun]

Don't worry 5:4 for Burgundy account is already confirmed by Axis long ago

Thanks a lot... A quick question, to achieve an AQB of 10 Lakhs, Should I park 10 Lakhs for the whole quarter?

 

[Pawan_KS]

Thanks a lot... A quick question, to achieve an AQB of 10 Lakhs, Should I park 10 Lakhs for the whole quarter?

You can open salary account instead with 3lakh +

 

[mastfun]

You can open salary account instead with 3lakh +

They said my Company is not listed...

 

[mastfun]

Thanks a lot... A quick question, to achieve an AQB of 10 Lakhs, Should I park 10 Lakhs for the whole quarter?

If I park 10 Lakhs in IDFC, I can get more interest and use it for Magnus Annual Fee 😀

10,00,000 + 7% = 70,000 - 30% tax = 49000 ...

 

[drsel]

Thanks a lot... A quick question, to achieve an AQB of 10 Lakhs, Should I park 10 Lakhs for the whole quarter?

Yes that would be simpler and easier.
In case you don't want Burgundy later, then you can invest the amount

 

[unwind]

If I park 10 Lakhs in IDFC, I can get more interest and use it for Magnus Annual Fee 😀

IDFC Saving interest rate is 4% upto 10 lakhs..7% starts for 10 lakhs plus 😀

And axis also would pay you 3% so it's 1% gap. Post tax would be 0.7%

 

[svs_23]

If I park 10 Lakhs in IDFC, I can get more interest and use it for Magnus Annual Fee 😀

10,00,000 + 7% = 70,000 - 30% tax = 49000 ...

IDFC 7% is for the amount exceeding 10L.
Amount upto 10L will get only 4% no matter whether you have 10L or 50L in the account.

 

[mastfun]

IDFC 7% is for the amount exceeding 10L.
Amount upto 10L will get only 4% no matter whether you have 10L or 50L in the account.

Park 11 Lakhs or 10 Lakhs 25 Thousand 🙂

 

[unwind]

Park 11 Lakhs or 10 Lakhs 25 Thousand 🙂

You will only get 7% on the 25k in case you deposit 10.25 lakhs. And 4% for 10 lakhs.

 

[svs_23]

Park 11 Lakhs or 10 Lakhs 25 Thousand 🙂

To make it more clear, assuming you have 11 lakhs in IDFC account, you get 4% for 10L and 7% for 1L

 

[mastfun]

To make it more clear, assuming you have 11 lakhs in IDFC account, you get 4% for 10L and 7% for 1L

Ah Thanks a lot for the clarification

 

[drsel]

IDFC Saving interest rate is 4% upto 10 lakhs..7% starts for 10 lakhs plus 😀

And axis also would pay you 3% so it's 1% gap. Post tax would be 0.7%

He must be referring to a fixed deposit giving 7% per annum

 

[mastfun]

He must be referring to a fixed deposit giving 7% per annum

Even that would work out better:

 

[drsel]

For a fixed deposit giving 7.5% The lost interest would be 45000 compared to the axis burgandy saving account.
After tax the loss would be only 31500 so if your 5:4 conversion ratio gives at least 31500 more than 5:2 ratio, it makes sense to open Burgundy account and keep 10 lacs idle @3%

To get a difference of Rs. 31500 you need to have burgundy Magnus spends which get you 78750 edge points

 

[mastfun]

For a fixed deposit giving 7.5% The lost interest would be 45000 compared to the axis burgandy saving account.
After tax the loss would be only 31500 so if your 5:4 conversion ratio gives at least 31500 more than 5:2 ratio, it makes sense to open Burgundy account and keep 10 lacs idle @3%

You get a difference of Rs. 31500 you need to have spends which get you 78750 edge points

Makes sense ...

 

[drsel]

You need to have spends getting you minimum 78750 edge points in a year
2 lacs air tickets on Traveledge will give you 60000 points right away.
However the Traveledge ticket prices are 5% higher for international airfares