Fuel prices have been on the high side in India after the pandemic, and they weigh the consumers down financially. Therefore, finding ways to economize fuel costs is important. Many banks and credit card providers offer ways to make fuel costs a little cheaper.
A fuel credit card is one such method that helps combat the constantly rising fuel prices. The best credit card for fuel has a reward points system that cardholders can use while purchasing fuel. They can use these points to buy fuel at discounted rates at select fuel pumps. Apart from an excellent reward points system, users can also use these cards to get discounts on movie ticket bookings, dine through exclusive offers, and enjoy other benefits. Let’s explore the benefits of a fuel credit card and learn how to get one.What is a Fuel Credit Card?
A fuel credit card is a specially designed card that credit card companies usually co-brand with fuel retailers like Hindustan Petroleum, Indian Oil, and Bharat Petroleum. It is best suited for consumers who consume a considerable amount of fuel for commuting, as it helps them save significantly on fuel expenses. The motive is to offer special privileges to card users when they refuel their vehicles at the card company’s partner fuel station. Most fuel cards are based on earning reward points on retail purchases at other stores, accumulating them, and redeeming them for fuel at a partner fuel station. Some cards also offer rewards and savings on fuel surcharges and exclusive offers and discounts on other purchases. Moreover, there are no restrictions on using these credit cards for fuel alone. Users earn reward points when they use their cards to purchase at other stores.How Does a Fuel Credit Card Work?
If you are someone who commutes via your own vehicle, using the best credit card for fuel makes great sense to save money. Many credit card companies tie up with fuel retailers, allowing payback points on fuel expenses. They also provide fuel surcharge waivers at their partner outlets. Fuel credit cards also enable cardholders to redeem reward points at fuel stations to get free fuel. Cardholders can accumulate reward points while making regular purchases and get free fuel at regular intervals. Their cumulative benefits are higher after adding surcharge waivers, discounted movie tickets, cheap dining, and other perks.Benefits of Using a Fuel Credit Card
The best credit card for fuel benefits users in many ways:
Surcharge Waiver: Many fuel credit cards provide surcharge waivers to reduce the price paid. Typically, credit card users have to pay a transaction fee, known as a surcharge, when they buy fuel using their credit card. Fuel cards with surcharge waivers reduce these charges to reduce costs and help save money. Even a small discount of 1% on the surcharge makes up a considerable amount. Furthermore, cardholders also get rewarded for fuel purchases at the card company’s partner fuel pumps
Extra Discounts Through Credit Card Tie-Ups: Many credit card providers have tie-ups with specific offline and online platforms. When cardholders use their fuel card to purchase something at these stores, they get considerable discounts. For instance, if they book a movie ticket online, they may get a discount on their payment and save money
Special Offers on Dining: Many fuel credit cards offer exclusive dining discounts at various places. Enter special coupon codes while ordering food and get special discounts on food bills.
Using a smart fuel credit card helps you purchase fuel at cheaper rates and save money on other purchases. Those who don’t have a fuel card must apply for one while keeping in mind all these benefits. Users must check their bank’s fuel card offer and apply.Who is Eligible for a Fuel Credit Card?
Although the eligibility criteria for fuel cards vary between providers, some standard conditions include the applicant’s age, salary, annual income, and credit history. Individuals applying for fuel cards must be in their earning years, have a decent income, and have a stable credit history with consistent credit card bill payment habits. To apply for a credit card for fuel, applicants must provide a few necessary documents like their residence proof (passport, Aadhaar card, utility bills) and identity proof (Aadhaar card, PAN card, driver’s license).Steps to Apply for a Fuel Credit Card
Here’s how to apply for a fuel credit card from a reputable card provider:
Step 1: Visit the card company’s official website.
Step 2: Fill in a few important personal and financial details.
Step 3: Check out the list of different credit cards for fuel the company offers and compare their features and benefits.
Step 4: Select the card that best suits your requirements and expectations.
Step 5: Submit the form, and you are done!Charges for Fuel Credit Cards
Although the credit card charges vary between card providers, they often include a one-time annual fee and a renewal fee per annum. Depending on their policy, some companies may also charge an add-on card fee or charge slip request. Look for a company that levies minimum fuel credit card charges to help maximize savings.
The best credit card for fuel is extremely helpful if you are someone who spends considerable amounts on fuel. These cards significantly reward cardholders for fuel expenses and special discounts in other categories. Using a fuel card, you can earn reward points, accumulate them with purchases, and redeem them to get free fuel. Consumers loyal to specific fuel companies can benefit greatly from these cards as they get extra privileges with the card company’s partner brands. However, you must monitor your spending habits and make your credit card bill payments on time to maximize savings.
