Rima Saxena, a 34-year-old Gurgaon resident, is a frequent shopper. She uses her credit card to pay for most of her purchases. Due to heavy usage, Rima earned 50,000 credit card reward points in no time. But she could not figure out the best way to use those points. Finally, she emailed her banker friend, Shruti Kumar. Rima asked Shruti how to use the credit card reward points. Here is what Shruti wrote back:

Dear Rima,

I might try to help you solve your problem with credit card reward points. Making a credit card payment entitles you to reward points. A credit card provides extraordinary reward points on dining or shopping at any partnered outlet. You can check the record of your accumulated reward points in your credit card statement. Making the best use of these points can be puzzling. That is because of the many options offered. However, below are five things you can do with your reward points:

Cash-back and Cash

The simplest way is to opt for one of these. With cash-back, a percentage of your purchase amount comes back to your account. It is like a discount. The only difference is that you pay the entire amount first. The discounted amount is returned to you later. You can also redeem all or some of your earned reward points for cash. With both these options, you can use the cash as you like. You can even use it to pay your credit card bills.

Gift Cards

You can use the points to get a gift voucher or card to pamper your loved ones or yourself with shopping. You can select the voucher of a preferred merchant—for example, Pantaloons or Shoppers Stop. Some banks also provide gift cards for online shopping. But opt for this only if you intend to use it before the expiry date. Also, check if any of the vouchers are available at a discount. Is it not better to get a voucher of Rs 5,000 for 10,000 points than for 12,000 points?

Travel Miles

If you travel frequently, consider converting your points to travel miles. Travel companies and airlines offer special benefits to a credit card holder who uses travel miles. It could range from a small discount of 10% on hotel or airline fares right up to a free mini-vacation. It would all depend on the travel partner and the points earned. Say, you have 50,000 points. It could pay for your return ticket from a long-awaited holiday in Kashmir!


Some banks even allow you to redeem the points by donating them to charity. You can select a charity of your choice. Or choose among the ones pre-decided by the bank. The reward points are converted into cash, which is donated. That would be a good way to give something back to society.

Buying Fuel

You can even consider redeeming the points at fuel stations with which your bank has a tie-up. The cost of fuel is soaring. So, using your reward points to refuel your car can be a big relief.

A common yet inefficient way people use to redeem points is to buy products from the catalogue. But why use points when you can buy the same products online at a good discount?

I would ask you to compare your needs with the ways of redemption I mentioned. This might help you select the best possible option for you.

Best regards,



The Bajaj Finserv-RBL Bank SuperCard ensures that you get a variety of benefits in addition to those mentioned above. You can also spend your reward points on complimentary airport lounge access and more.

Apply for SuperCard