Credit card hack to get higher rewards on bulk payments

Many credit card users do not get any reward points when paying bills directly. However, there is a hack to maximize rewards. “Most credit cards do not offer rewards on utility bill payments, but by leveraging accelerated reward portals, you can earn significantly higher points,” Sumanta Mandal, a credit card-savvy user and founder of TechnoFino told Mint.

How do these portals work

Most banks have dedicated accelerated reward portals that offer higher reward points on select transactions. Some of the popular ones include HDFC Bank’s SmartBuy, Axis Bank’s Travel Edge and Gift Edge, and American Express’s Gyftr.

These portals offer a variety of vouchers, including Amazon Pay, BPCL and HP fuel, and Myntra vouchers for discounts. “To maximize rewards, you should opt for Amazon Pay vouchers, as they allow payments beyond just shopping,” said Mandal.

How the hack works

Let’s say you need to pay an electricity bill of ₹10,000. If you pay directly using a credit card, most cards won’t offer any rewards due to utility payment caps. Some banks even impose an extra 1% surcharge beyond a certain limit. However, you can earn significant rewards by following these steps:

1. Depending on your credit card issuer, visit the respective accelerated reward portal
2. Purchase an Amazon Pay voucher
3. Add the voucher to your Amazon Pay balance
4. Pay your bill using Amazon Pay balance
5. Earn 5X Reward Points: Instead of earning standard rewards, you get five times the usual reward points.

Reward points breakdown

Generally, credit cards provide five reward points per ₹150 spent. With this hack, you can earn 25 points per ₹150 spent. However, some portals charge a convenience fee. For example HDFC SmartBuy charges 2% convenience fee + GST and Amex Gyftr charges 0.75% convenience fee—the lowest among credit card issuers.

High-end credit cards like HDFC Infinia and Diners Club Black provide 5X rewards, translating into a net return of up to 13% after deducting charges. “For premium cards like HDFC Infinia, this method offers one of the best reward-to-cost ratios,” said Mandal.

Best cards for higher rewards

Some credit cards—HDFC Infinia, HDFC Diners Club Black, ICICI Emeralde Private Metal, ICICI Times Black, Axis Magnus, Axis Burgundy Private, Amex Gold Charge, and Amex Platinum Travel and Charge—offer significantly higher rewards through this method.

These cards, however, often have high-income eligibility criteria. But banks may offer upgrades based on your credit history and relationship with the bank. “If you have a long-standing relationship with the bank and good credit history, you may still be eligible for an upgrade,” said Mandal.

Limitations

There are some limitations to this method. Most portals cap Amazon Pay vouchers at ₹10,000 per card per calendar month. Additionally, for payments exceeding ₹1 lakh, vouchers cannot be used beyond this limit.

However, a workaround exists. If you need to pay ₹30,000, you can buy three ₹10,000 vouchers using different credit cards, such as HDFC Infinia, Amex, and Axis. For larger payments, advanced planning can help, with Mandal suggesting that you start purchasing vouchers a few months in advance to accumulate the required amount before the due date.

If you have only one credit card, you can still maximize rewards by planning ahead.

For example, if your health insurance premium of ₹30,000 is due in May 2025. Since Amazon Pay vouchers are capped at ₹10,000 per card per month, start purchasing vouchers in advance. If you have an HDFC Infinia card, buy a ₹10,000 Amazon Pay voucher in March 2025, another ₹10,000 voucher in April 2025, and the final ₹10,000 voucher in May 2025. Once you have accumulated ₹30,000 in your Amazon Pay balance, use it to pay your insurance premium.

Why the hack may not be worth it

While this strategy works well for premium credit cards, it may not be beneficial for cards with lower reward points. “If you’re using a card like HDFC Regalia, the rewards earned after deducting convenience fees and GST may only amount to a 4% return. Putting in so much effort for an additional 2% might not be worth it unless you have a high-reward card like HDFC Infinia,” said Mandal.

Important considerations

Vouchers have a one-year validity; however, once added to the Amazon Pay wallet, the funds remain indefinitely. It is important to note that funds in the Amazon Pay wallet cannot be transferred to a bank account. Additionally, reward rates vary by credit card type, with HDFC Regalia offering lower returns compared to Infinia and Diners Club Black.

This method is only beneficial if Amazon Pay vouchers are accepted as a mode of payment. If your vendor does not allow payments through Amazon Pay balance, you will not be able to earn the additional reward points.

“Your credit card issuer’s portal is key to unlocking higher rewards,” emphasized Mandal. However, keep an eye on convenience fees and card-specific reward structures to ensure the best returns.