Axis Magnus > HDFC Infinia for Avios Transfer Specific Use Case

[rogerthat]

HDFC transfers reward points at the ratio of 2:1 for Qatar and BA partners only while it is indeed 1:1 for everything else.

This means that if you transfer your HDFC Infinia reward points to Qatar or BA you get only 1.67% returns for regular spends (instead of the flat 3.33% which is advertised everywhere) which is pathetic. At the same time Magnus even after devaluation has a flat transfer rate of Edge Reward points at 5:2 for all partners. This means you will get a return of 2.4% in case of Avios transfer. Not great either but better. If you combine Magnus with Select you can even manage up to 4% returns on grocery/supermarket/dept store and clothing shopping spends.

For accelerated (Gyftr) transactions (5x) it is the same. While Infinia gives 8.3% Magnus returns 12%! However for Amazon vouchers specifically (2x) Axis falls behind with only 4.8% return. However this can change anytime. Magnus 3x gives 7.2% while 4x gives 9.6%.

And it looks like more OneWorld partners will adopt Avois as their FF miles currency by next year (starting with Finnair in March) which means that Infinia will further lose an edge (pun intended).

Infinia is still the better card overall no doubt but for this specific use case Magnus is better. Also, does anyone know why HDFC keeps such a poor conversion rate for Avios? This is particularly hurting because you will get back only half the value for annual/renewal fees.

 

[PiperatGatesofDawn]

HDFC transfers reward points at the ratio of 2:1 for Qatar and BA partners only while it is indeed 1:1 for everything else.

Also, does anyone know why HDFC keeps such a poor conversion rate for Avios?

This isn't just true for Avios. Most of HDFCs transfer partners transfer at 2:1 (with 5-6 exceptions).

If you're absolutely committed to only and only Avios then transferring to AY now and then at 3:2 to Avios next year would be the best value. Otherwise yeah it doesn't look good.

 

[Paras]

Aswin has a good writeup on how to achieve same 1:1 on hdfc, look here
:

 

[drsel]

VVery

Aswin has a good writeup on how to achieve same 1:1 on hdfc, look here
:

This is very complicated and time consuming
it will require a lot of effort and trouble.
also every transfer will cause some loss just like currency exchange

 

[drsel]

HDFC transfers reward points at the ratio of 2:1 for Qatar and BA partners only while it is indeed 1:1 for everything else.

This means that if you transfer your HDFC Infinia reward points to Qatar or BA you get only 1.67% returns for regular spends (instead of the flat 3.33% which is advertised everywhere) which is pathetic. At the same time Magnus even after devaluation has a flat transfer rate of Edge Reward points at 5:2 for all partners. This means you will get a return of 2.4% in case of Avios transfer. Not great either but better. If you combine Magnus with Select you can even manage up to 4% returns on grocery/supermarket/dept store and clothing shopping spends.

For accelerated (Gyftr) transactions (5x) it is the same. While Infinia gives 8.3% Magnus returns 12%! However for Amazon vouchers specifically (2x) Axis falls behind with only 4.8% return. However this can change anytime. Magnus 3x gives 7.2% while 4x gives 9.6%.

And it looks like more OneWorld partners will adopt Avois as their FF miles currency by next year (starting with Finnair in March) which means that Infinia will further lose an edge (pun intended).

Infinia is still the better card overall no doubt but for this specific use case Magnus is better.

Why do you say HDFC Infinia is the better card overall?
Magnus with burgundy is superior to Infinia

 

[sxchzy]

The

Why do you say HDFC Infinia is the better card overall?
Magnus with burgundy is superior to Infinia

Opportunity cost of 10L isn't being considered by you here.

 

[drsel]

Opportunity cost of 10L isn't being considered by you here.

Okay, but how is Infinia better than plain Magnus?
Plain Magnus gives 12% on airtickets on Traveledge.
what is the % return using Infinia for airtickets on Smartbuy, considering that for using the 16.66% points in the second transaction, you can use only 70% of the points and the rest by card

 

[sxchzy]

Okay, but how is Infinia better than plain Magnus?
Plain Magnus gives 12% on airtickets using Traveledge.
what is the return using Infinia , considering that for using the 16.66% points in the second transaction, you can use only 70% of the points and the rest by card

Again you are looking at it from one angle.
How much of your yearly spends will happen on travel edge or smart buy.
Only consider base rewards points for that matter.
Helps you get clarity

 

[drsel]

I just changed my existing saving account to Burgundy. It will take one week to implement.

So I am looking forward to
24% return on air tickets (Traveledge)
24% return on 5X Giftedge vouchers.
4.8% return on all other spends
5 + 5 movie and non movie tickets every month.
40% discount on EazyDiner every month
8 concierge, etc.

Benefits which are not there on Infinia

 

[D7162]

Why do you say HDFC Infinia is the better card overall?
Magnus with burgundy is superior to Infinia

And we are again in a never ending discussion

 

[drsel]

And we are again in a never ending discussion

Don't forget that Infinia is an invite only card.
you just can't apply for it like Magnus, that is a huge difference!!

 

[sxchzy]

I just changed my existing saving account to Burgundy. It will take one week to implement.

So I am looking forward to 24% return on air tickets on traveledge & some Giftedge vouchers and 4.8% return on all other spends, 5 + 5 movie and non movie tickets and 40% discount on EazyDiner, 8 concierge, etc.
Benefits which are not there on Infinia

Good for you.
Even though I have both I have stopped using magnus almost everywhere.
Sapphiro gives me BMS bogo.
Not a very frequent traveller so travel edge or smart buy doesn't have much usage to me.
Skyscanner or ffp miles or vistara vouchers suffices my travel needs.
40% discount is once a month which can be called unique in a way
But that is also taken care off on higher bills by citi premier indus pinnacle and many more cards
Only thing here left is 8 m&g
Which as I said isnt of much use to me
Now coming to base reward rate of 4.8% you have to look at opportunity cost of 10L
Based on your risk appetite you could invest those 10L in peer to peer lending and make 1.2L in interest income and pay off the fee and enjoy all other benefits.
But if you have 3L salary credit then it's different makes sense

 

[sxchzy]

I just changed my existing saving account to Burgundy. It will take one week to implement.

So I am looking forward to
24% return on air tickets (Traveledge)
24% return on 5X Giftedge vouchers.
4.8% return on all other spends
5 + 5 movie and non movie tickets every month.
40% discount on EazyDiner every month
8 concierge, etc.

Benefits which are not there on Infinia

One should also account for the frequency of his usage of traveledge giftedge.
Not reward induced spends,genuine needs or spends.
It might be that you end up spending more because you find it lucrative enough the rewards part of it

 

[rogerthat]

Why do you say HDFC Infinia is the better card overall?
Magnus with burgundy is superior to Infinia

All my arguments about Magnus are about plain Magnus. I would consider putting 10L in a SB account purely for Magnus Burgundy equal to manufacturing spends on a credit card.

 

[sxchzy]

I would consider putting 10L in a SB account purely for Magnus Burgundy equal to manufacturing spends on a credit card.

didnt get this part
could you explain this

 

[rogerthat]

didnt get this part
could you explain this

Opportunity cost. If you are putting 10L that you don't happen to have lying around uselessly and which you could've put to better use elsewhere and are just parking in a savings account only to get Magnus Burgundy thereby losing out on lets say 10% returns and settling for 3% on SB interest, that is a manufactured spend. Just like how people buy things they don't need on a credit card to get points and milestones. Magnus 1L was a good case study.

 

[sxchzy]

Opportunity cost. If you are putting 10L that you don't happen to have lying around uselessly and which you could've put to better use elsewhere and are just parking in a savings account only to get Magnus Burgundy thereby losing out on lets say 10% returns and settling for 3% on SB interest, that is a manufactured spend. Just like how people buy things they don't need on a credit card to get points and milestones. Magnus 1L was a good case study.

understood
i also pointed out the same thing

 

[drsel]

Opportunity cost. If you are putting 10L that you don't happen to have lying around uselessly and which you could've put to better use elsewhere and are just parking in a savings account only to get Magnus Burgundy thereby losing out on lets say 10% returns and settling for 3% on SB interest, that is a manufactured spend. Just like how people buy things they don't need on a credit card to get points and milestones. Magnus 1L was a good case study.

Yes even I could not manage one lac spend every month with my Magnus card before the devaluation.

If you invest 10 lacs in a bank fixed deposit at 7.5% interest and deduct 30% tax, the return goes down to 5.25%.
Savings interest after 30% tax will be 2.1%
5.25%--2.1%=3.15% loss or Rs. 31500 loss.

2 lakhs spend only in Traveledge in a month would mean a difference of Rs.24000
So I don't think it will be difficult to manage a difference of Rs.31500 for spends over the entire year!

 

[rogerthat]

Yes even I could not manage one lac spend every month with my Magnus card before the devaluation.
If you invest 10 lacs in a bank fixed deposit at 7.5% interest and deduct 30% tax, the return goes down to 5.25%.
5.25%--2.1%=3.15% loss or Rs. 31500 loss, compensated easily by getting 39375 extra edge points

I was thinking more like long term Mutual Funds and Gold.

 

[drsel]

I was thinking more like long term Mutual Funds and Gold.

Unsure if the other cards in the portfolio will get 5:2 ratio if you have a plain Magnus..

And also unsure what will be the ratio of the other cards in the portfolio if you have Magnus Burgundy