How to Redeem your HDFC Credit Card Reward Points to Cash

How to Redeem your HDFC Credit Card Reward

In the world of technology today, everything has advanced. One of the first advancements took place in the banking sector and e-platforms for payments.

Gone are the days when we had to go to the banks to get money, as cash was the only medium of payment.

In the globe today, the wave of ‘Cashless Processes’ has taken over. Almost every individual who starts working gets a debit or a credit card immediately, as that is the need of the hour.

The credit card function is not restricted to making payments, as it runs way beyond that. With immense competition in the market, the banks have to pull up their socks to provide their customers with out of the box ideas. No doubt about the fact that the rewards and points system has been there for years.

However, not many of us understand the benefit of receiving awards and rewards after making transactions through a credit card.

Let us try and understand how one can redeem their HDFC credit card reward points to cash in this thread, as it is explained in detail and will clear all your queries.

HDFC Credit Card: Reward points to cash feature

HDFC is one of the biggest private sector banks in the country. Due to its massive goodwill and brand image, more and more people want to try their hands on HDFC services such as credit cards as it is considered a reliable source.

Currently, the many entry-level premium cardholders have huge expectations with the HDFC credit cards. One of the primary expectations is their ability to redeem the reward points to get the following advantages:

 A: Hotels: With the points, one collects, they can easily use those points while booking the hotels in various parts of the globe. Accounting for the issues, the booking amount will get reduced.

 B: Flights: Like hotels, one can redeem the points earned and book flight tickets with the same. Booking flight tickets with the redeemable points is one of the most common HDFC credit cardholders’ options.

C: Shopping Vouchers: Almost all brands today accept points and rewards. One can now redeem the points while purchasing anything from clothes, perfumes, footwear, etc. and reduce the billing amount correspondingly.

However, if you are more inclined to get hands-on direct cash and not get other advantages such as hotels, flights, or shopping vouchers, there is some good news for you. HDFC has now come up with the offer of allowing its users to redeem the reward points to their credit card statements.

Value of the reward points

While thinking about the credit card statement and the whole point redeem offer, the one question that comes in our minds is about the ‘Applicability of the Conversion Ratio.’ Although the conversion ratio might sound similar to the different shopping vouchers, we end up getting by HDFC for the multiple transactions we make.

Example: With the Infinia& Diners Black, the entire conversion to the cash credit would be something like –

1 reward point = 0.50 INR.

This is one of the very attractive conversion rations processed by HDFC. This conversion ratio lets the person earn a range of 1.6% to 16% direct cash credit on the super HDFC Premium cards.

Process of Redeeming these reward points to cash?

The entire process of redeeming the credit points to cash might seem challenging, but it is straightforward. Here are some basics steps that you would need to follow to redeem the points:

Step 1: Log in to the net banking for HDFC by using the right credentials.

Step 2: After login, go to cards > Enquire > Redeem the points > Choose your card and then click on proceed.

 Step 3: HDFC has revamped its new portal to ‘Redemption Portal, ‘ which has a pretty premium interface.

Step 4: In the portal, click on Redeem reward points > go to cash redemption.

 Step 5: Enter your details as asked and then click on proceed.

Step 6: The cardholder can expect cash within seven working days.

Note: HDFC has taken out a redemption rule that is – The minimum value of redemption would be required to be Rs. 500 and a charge of Rs. Ninety-nine will be taken as ‘Convenience fee per redemption charge’ just like it happens in the SBI Cards.

Is it a good idea to convert Points to Cash?

The entire concept and redemption process might sound exciting to the supreme premium cardholders, as it directly offers direct cash. However, one should think twice before indulging in this process always.

One should not take this as a primary and only option of redemption. It is because it automatically reduces the value of the points by 50%, which is massive.

Based on the needs, we recommend that the cardholder to should aim to have a mix of both, that includes

A: Direct cash

B: Redemption to get other benefits such as shopping vouchers, hotel and flight bookings, etc.

One essential thing to note here is, the idea of redeeming points to direct cash works well when you have some points left that will expire in the next 90 days. If you are busy and cannot make plans instantly, you should surely redeem these points to cash.

Final Conclusion:

This is one significant move taken by HDFC by giving a whole new structure to the reward point redemption concept. By revamping the completely new portal, it has given customers an easy way to enjoy this service.

The redemption portal comes up with other features as well, such as it allows the users to view their one-year history of the old rewards they had and the portal also gives better offers on hotels and airlines.

Especially for the entry-level and premium cardholders, this is a great move and solves their purpose.