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Business News/ Brand Stories / How to Save Money on Fuel with These Credit Cards
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How to Save Money on Fuel with These Credit Cards

Looking for a good fuel credit card? Discover the benefits of fuel credit cards and learn how to save money on fuel with some smart tips

The demand for fuel credit cards has increased tenfold owing to rising fuel prices.Premium
The demand for fuel credit cards has increased tenfold owing to rising fuel prices.

Are you wondering how to save money on fuel expenses? Consider a fuel credit card to save and benefit every time you pay for fuel. Read on to discover how to maximise your savings and mileage with these cards.

The demand for fuel credit cards has increased tenfold owing to rising fuel prices. Reports show that the share of these cards increased to 13.1% from 4.95% last year as people sought ways to deal with higher fuel costs.

With prices showing no signs of falling, these cards can be an effective tool to save money on fuel expenses. But what are fuel credit cards, and do they really help?

Let’s discover how they can reduce fuel costs and increase your monthly savings.

Fuel credit cards - How they help

People who commute regularly and wish to save on fuel costs should consider fuel credit cards.The credit cards are typically co-branded with oil companies such as Bharat Petroleum, Hindustan Petroleum, and Indian Oil, and allow customers to earn cashback, discounts, and reward points at their gas stations. The reward points you earn can then be redeemed against fuel purchases, further reducing your fuel expenses.

Savings on fuel purchases

Let's dive deeper to understand the benefits of fuel credit cards.

  • Fuel discounts - Fuel credit cards provide discounts on fuel purchases as a percentage of the total amount or as cashback.
  • Reward points - Many fuel credit cards offer reward points for every fuel purchase at partner fuel outlets, which you can redeem for gift vouchers or even free fuel.
  • Surcharge waivers - When you use your fuel credit card for fuel purchases, you get a surcharge fee waiver of 1-3%.

How to save money with fuel credit cards by IDFC FIRST Bank

Introducing the FIRST Power and FIRST Power+ Credit Cards, a collaboration between IDFC FIRST Bank and Hindustan Petroleum Corporation Limited (HPCL). With these RuPay credit cards, you can save money on fuel by:

  • Fueling up the savings

With FIRST Power Credit Cards, you save 5% monthly on fuel expenses - 2.5% as HPCL fuel and LPG Rewards, 1.5% as Happy Coins via the HP Pay App, and 1% as fuel surcharge.

FIRST Power+ Credit Cards offer even more, with 6.5% monthly fuel savings - 4% as HPCL fuel and LPG Rewards, 1.5% as Happy Coins through the HP Pay App, and 1% as fuel surcharge.

  • Reward points

Your card isn't just for filling up the tank; it's your ally for everyday expenses too. With the FIRST Power+ and FIRST Power Credit Cards, you can cash in on 3X and 2X reward points respectively when you make other retail transactions.

Additionally, for grocery and utility expenses, you earn 30 reward points with the FIRST Power+ Credit Card and 15 reward points with the FIRST Power Credit Card for every 150 you spend. As with all IDFC FIRST Bank Credit Cards, these reward points are as good as cash and have no expiry date.

  • HP rewards

Fueling up at HPCL? You earn 6 Happy Coins for every 100 spent through the HP Pay App. It's like a bonus on top of your regular reward points. You can use these points at various partner locations and HPCL Petrol Pumps to redeem desired products.

To give you a clear picture of how much you can save on fuel with these credit cards, let's consider the following to calculate the savings on fuel.

Assuming

  • Monthly spends of –
    • 5,000 on fuel, 500 on IDFC FASTag, 1,000 on others for FIRST Power Credit Card
    • 10,000 on fuel, 1,000 on IDFC FASTag, 2,000 on others for FIRST Power+ Credit Card
  • Monthly spends of 2000 on utility and grocery expenses and 20,000 from other spends converted to EMI on both FIRST Power and FIRST Power+ Credit Cards

How credit cards can help you save on fuel (1)
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How credit cards can help you save on fuel (1)
How credit cards can help you save on fuel (2)
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How credit cards can help you save on fuel (2)

These fuel credit cards from IDFC FIRST Bank aren’t just a piece of plastic; they are your key to smarter spending and fuel savings. 

There’s more!

You can unlock the power of UPI on credit cards with these two. Simply link your card to your favourite UPI app for a seamless scan-and-pay experience. Moreover, you can enjoy rewards on your UPI spends, an interest-free credit period, and the flexibility to convert UPI purchases over 2,500 into EMIs. Now, this enhances your financial ease and gets you more earning more along the way.

Smart tips to avoid overspending on your fuel credit card

While saving money with fuel credit cards is a smart move, it is equally important to manage your spending wisely. Here are some tips to maximise benefits of fuel credit cards –

  • Set a budget – To manage your fuel expenses efficiently, set a budget and ensure you follow it to avoid overspending on your fuel credit card.
  • Plan your expenses – Make sure you understand the rewards structure of your fuel credit card so you can decide how and where to use it to maximise your discounts.
  • Redemption – Increase and accumulate your reward points and redeem them for free fuel. 
  • Merchant offers – Explore and take advantage of merchant offers on dining, shopping, and other eligible expenses to enhance your overall savings.
  • Stick to one company – Fill up your tank at authorised HPCL fuel stations to ensure eligibility for the rewards and savings with IDFC FIRST Bank. 
  • Bundle your expenses – Consider using your fuel credit card for eligible expenses like groceries or dining to maximise rewards across various categories.
  • Pay in full – Pay your fuel credit card bill in full each month to avoid interest charges and late fee penalties. This will ensure your cost does not exceed your benefits on the fuel credit card.
  • Low credit utilisation ratio (CUR) – Maintain a CUR below 30% on your fuel credit card to help manage your overall financial health and credit score effectively.

By leveraging the benefits of fuel credit cards, you can maximise your mileage and go the extra mile with your savings.

How to apply for a fuel credit card

Here’s how you can apply for a fuel credit card with IDFC FIRST Bank -

  • Visit the IDFC FIRST Power Credit Card application page
  • Fill in your name, birth date, and mobile number 
  • Confirm your identity using the OTP you receive on your mobile number
  • Provide additional details, such as PAN, monthly income, etc.
  • Assess your eligibility for FIRST Power or FIRST Power+ Credit Cards
  • Fill out and then submit the application form

Fuel your savings now

By understanding the benefits of fuel credit cards and using them wisely, you can make the most of your fuel purchases. Go on a journey where every mile travelled is a milestone in saving money on fuel and maximising mileage. Take the wheel and apply for a fuel credit card with IDFC FIRST Bank today. 

Disclaimer: This article is a paid publication and does not have journalistic/editorial involvement of Hindustan Times. Hindustan Times does not endorse/subscribe to the content(s) of the article/advertisement and/or view(s) expressed herein. Hindustan Times shall not in any manner, be responsible and/or liable in any manner whatsoever for all that is stated in the article and/or also with regard to the view(s), opinion(s), announcement(s), declaration(s), affirmation(s) etc., stated/featured in the same.

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Published: 02 Apr 2024, 05:11 PM IST
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