Traveling abroad might need a lot of planning, but when it comes to finances, credit cards have got us covered. Since the Reserve Bank of India has specific regulations on currencies in foreign countries, it can be an issue. Credit cards resolve that issue by covering all foreign transactions while you pay zero at that given time.
Since the rise of the COVID-19 pandemic in the last two years, cashless transactions have become even more popular. Data shows that 33% of the Indian population used more digital options and cashless transactions during the pandemic than before. Research by India Brand Equity Foundation shows that by 2025, 40% of Indians will be more likely to travel abroad.
That said, credit cards are excellent choices for those who want a hassle-free travel experience. With the credit card benefits, this cashless transaction method can be the first choice for anyone traveling abroad.
Kotak Mahindra Bank is offering an array of credit card benefits with their range of credit cards. They have some of the best credit card offers in the country.
Here are some benefits of using credit cards while traveling outside of India:
#1 Airport Facilities
Since flights are an essential part of traveling abroad, this is an excellent way to avail of credit card benefits. Credit cards provide access to the airport lounges. Kotak Mahindra Bank has a specific credit card called the White Credit Card that allows VIP access to the airport lounge of 148 countries. It also includes four complimentary airport lounge access to the cardholders with an affordable yearly charge. Not only that, but it also allows 8 domestic airport lounge access.
#2 Spend Now Pay Later
Another significant benefit of using a credit card is a person is eligible for spending now and getting a month of extension to pay for it. The joining fee can be waived by paying 30000 within the first three months, while the yearly charge can be waived with an annual expenditure of one lakh. With Kotak’s Mojo Platinum Credit card, anyone can avail of this facility in foreign countries with zero yearly charges.
#3 Reward Points
More or less, every credit card has reward points on the expenditure amount. This is an added advantage for credit card users. You can earn reward points while traveling abroad simply by spending your expenses. These reward points can be redeemed later. Kotak Mahindra Bank designs its rewards based on the consumer’s best interests. There are numerous options for food, entertainment, and clothing to choose from while redeeming the reward points. With Kotak’s Veer Platinum Credit card, it is possible to earn 3x reward points in groceries, dining, and movies. You are technically earning points for spending money while traveling to your favorite place.
#4 CIBIL Score Benefits
Some best credit card offers can be availed with a good credit score. With a higher CIBIL Score, it is possible to reduce the rate of interest and extend the payment tenure. If you have successfully maintained good credit behavior in the past, you are more likely to receive these added credit card benefits.
#5 Attractive Cashback Offers
Traveling can indeed cost a lot, and traveling outside of India can be expensive. Credit cards like the 811 #DreamDifferent Credit Card by Kotak Mahindra Bank are there to help you with managing the budget. It is possible to get ₹750 on a yearly expenditure of ₹75,000. This specific credit card offers an array of cashback offers on all expenditures. Nothing can beat the feeling of staying within the budget while traveling, and it is possible with the best credit card provided by Kotak.
#6 Hassle-free withdrawal
Credit cards like the 811 #DreamDifferent Credit Card act like debit cards. With this card, you can withdraw up to 90% of your credit limit. 1% to 4% charges will be applied as a conversion fee based on the type of credit card that you are using. This ends the worries related to carrying cash while traveling since the Indian government has restrictions. With a credit card like this, you can easily withdraw money in any part of the world. This particular credit card benefit is a massive advantage in a foreign country to not worry about being robbed or facing such security issues while carrying cash.
#7 Added Advantage
Apart from these, there are many added benefits of using credit cards in a foreign country. Many credit cards offer VIP access to luxury hotels with cashback benefits and even access to exclusive events.
Using credit cards might be scary for many due to the myths surrounding it regarding credit scores. The CIBIL score can indeed get affected if credit card payments are not made timely, but this issue can be quickly resolved with the auto-debit option. Especially while traveling outside of India, credit cards can reduce the hassle to a great extent.