According to a report by Kotak Wealth Management, Ultra High Networth Individuals (UHNIs) having a net worth of over Rs 25 crore have increased by 10% in 2017. The total number of UHNIs in India is about 1.6 lakh. Our country has 20,730 multi-millionaires. All these HNIs seem to allocate a major part of their expenses to discretionary expenses such as fitness technology and gadgets. Even though many might deal in cash, many others do use their credit card for such expenses. These HNIs usually do not use an ordinary credit card, they use ultra-luxury credit cards that give them plenty of benefits
What are ultra-luxury credit cards?
These premium cards have been customized by banks just for UHNIs. The bank has its own parameters for deciding whether you are a UHNI. Your credit score will also be considered to find out whether you are eligible for a premium credit card. Some of the cards are ‘by invitation’. This means that the bank will contact you regarding these cards based on your relationship with the bank and banking transaction history. Most of the times banks offer premium cards to their wealth management clients.
What’s special about these cards? All these cards come with special privileges for travel, shopping, golf and other services. Most of the cards come with unlimited airport lounge access, concierge services, discounts for club memberships and luxury services.
What about the charges? Luxury doesn’t come for free. The joining fees for premium cards could be anywhere between Rs 5,000 and Rs 5 lakh. The annual fee might also be high. Most of the times, banks provide discounts or shopping vouchers that are equal to the fee that they collect.
Here’s a list of eight popular ultra-luxury or super premium credit cards that are sought after. These come with hefty fees but high privileges.
Indusind Signature Legend Credit Card
This card from Indusind Bank comes in two variants. The joining fee for one is Rs 10,000 while it is Rs. 25,000 for the other. This being a contactless chip credit card, you can use it for both contactless payments and standard card payments. The welcome bonus will include 3 fully paid one-way domestic tickets, 100% base fare discount and fuel charge for Jet Airways ticket and Genesis luxury vouchers. The card also gives you privileges at golf clubs and discounts on fees for foreign currency transactions. You can get movie ticket discounts and concierge services when you use the card. The card comes with ‘Total Protect’ that will protect your credit card in case of fraudulent transactions up to your credit limit.
You can get 1 reward point for every Rs 100 spent on weekdays and 2 points for every Rs 100 on weekend spends. Cash value of 1 reward point is Re 1.
HDFC Bank Diners Club Black Card
This popular card from HDFC Bank gives you 10x reward points for international spends, unlimited airport lounge access, complimentary golf games and travel insurance cover. The joining fee is Rs 10,000 and the renewal or annual fee will be Rs 5,000. You get a welcome bonus of 10,000 reward points.
It allows redeeming reward points for air miles across British Airways Executive Club (Avios), Jet Airways (JPMiles), Singapore Airlines (KrisFlyer Miles), Trident Hotels or Club Vistara. 1 reward point = 1 AirMile. You can also redeem by booking tickets on www.hdfcbankdinersclub.com (1 Reward Point = Re 1). You can earn 5 reward points for every Rs 150 retail spends.
Air Accident Cover of Rs 2 Crore.
Emergency Medical Expenses Cover of up to Rs 50 Lakh
Credit Liability Cover of up to Rs 9 Lakh
Travel Insurance Cover of up to Rs 55,000 on baggage delay/loss(Capped to $10 per hour restricted to 8 hours)
Yes First Exclusive Credit Cards
This card is for those who earn an annual income of Rs 50 lakh or more and comes with a joining fee of Rs. 10,000 plus taxes and an annual fee of Rs 10,000 plus taxes. The card gives you 50,000 reward points on your first transaction. You also get an exclusive membership to Taj’s InnerCircle. Like other cards, get unlimited complimentary lounge access at airports. You get 25% discount on movie tickets booked on BookMyShow. You get green fee waiver at select golf courses in India and complimentary golf lessons. Fuel surcharge waiver and concierge services are also provided for cardholders.
American Express Platinum Card
Want this card? You might need to shell out Rs 50,000 plus taxes as joining fees. You will get free access to ‘by invitation’ events, special discounts at airlines, complimentary membership to hotel programs such as Taj Innercircle and Starwood preferred guest program and dining privileges at premium restaurants. The card also gives you complimentary access to airport lounges across the globe and complimentary golf at premium courses.
HDFC Infinia Credit Card
Travel, dining and lifestyle – these are some of the segments where this card from HDFC Bank offers great discounts. With a credit limit of Rs 10 lakh, this card is for the ultra rich. Get complimentary airport lounge access across 1000+ airports. You also get complimentary Club Vistara membership. Like other luxury cards, you can get concierge services, complimentary golf games and discounts across premium restaurants. The first year fee is Rs 10,000 plus taxes. The annual fee will also be Rs 10,000. However, this fee will be waived if the cardholder spends a minimum of Rs 8 lakh during the year.
You can earn 5 reward points for every Rs 150 spent which can be redeemed, besides other things, by booking air tickets on its dedicated portal where 1 point equals Re 1.
Axis Bank Reserve Credit Card
This premium card from Axis Bank comes with a joining fee of Rs 30,000. The annual fee will also be Rs 30,000. Annual benefits will be lifestyle vouchers from international brands and 30,000 loyalty reward points that be redeemed for gadgets and electronics. The welcome bonus is a luxury meal at the Taj and luxury retail therapy voucher. You also get the membership to Club Marriott and 24/7 concierge desk. Along with Club Vistara membership, you also get unlimited complimentary airport lounge access.
Citi Prestige Credit Card
This Citibank premium card comes with a joining fee of Rs 20,000. You can get 10,000 bonus air miles or vouchers worth Rs 10,000 from Taj or ITC hotels. You also get unlimited complimentary lounge access to over 800 airports and 2 complimentary airport services at 30 international airports. You can get 4 complimentary golf rounds every year at 15 leading golf clubs in India. You get 1 reward point for every Rs. 100 that you spend using the card. You also get lost card protection for up to Rs 3 lakh.
Yes Private Credit Card
The membership fee for this card is Rs 50,000 plus taxes and the renewal fee will be Rs 10,000 plus taxes. The renewal fee will be reversed if the cardholder spends Rs 25 lakhs during the year. This is a real luxury card as it gives customers up to a $1,000 (USD) savings on a round-trip private air charter booking or a $500 (USD) savings on a one-way air charter booking on Skyjet. You also get 15% savings on base fare for travel in Première on Jet Airways. Cardholders can earn Green Points @ 25% on all eligible Food & Beverage spends at ITC Hotels & WelcomHotels. The card has a number of other lifestyle, travel and wellness benefits.
Always weigh the benefits and the fees to ensure that the card is ‘value for money’. Most of the times the benefits come with many terms and conditions. Read them up before you apply.