The rising travel trends in India and their impact on credit card usage

The Indian tourism industry is growing rapidly with the increasing number of domestic and international trips. Whether it is an impromptu weekend trip or a long luxury travel, Indians prefer to use credit cards to pay for their vacations. To purchase air tickets, stay in luxury hotels, or shop from malls, the use of credit cards has increased multi-fold because it offers convenience, rewards, and security.
Travel credit cards provide advantages like lounge entry, discounts in bookings, and cashback, which are now inseparable travel companions of modern travellers. Let us analyse how travelling by Indians is increasing the use of credit cards and transforming user behaviour.

Increased travel bookings through credit cards
 

Thanks to the ease of online travel bookings, Indians prefer paying through a credit card for expensive travel costs.

Hotel and airfare booking:

Websites of travel, hotels, and airlines provide additional cashback and discounts for booking flights and hotels with specific credit cards.

EMI facility:

Foreign vacations are mostly settled through EMI conversions to avoid paying a big amount at once.

Reward schemes:

Credit cards provide rewards for spends that can be used for future journeys.

Global acceptability:

Credit cards eliminate the hassle of currency exchange for international visitors.

Increased foreign spending
 

International travel is becoming more affordable, and Indian travellers incur more expenses while eating out, shopping, or other aspects of travel.

Zero forex markup charges:

There are some credit cards with zero forex markup, and these mean further savings on foreign transaction fees.

Increased security:

Credit cards are more secure than holding large amounts of cash in foreign land.

Interest-free cash advances:

Premium credit cards allow cash withdrawals abroad without paying immediate interest charges.

Tip: Always notify your bank before travelling internationally to prevent transaction declines due to security concerns.

Going cashless while travelling within the country
 

On long weekends, Indians prefer to go on short trips to nearby local destinations. Even on such trips, they prefer using credit cards for seamless transactions across hotels, restaurants, and experiences.

Contactless payments:

Tap-and-pay facility on credit cards is available at nearly all city and tourist-oriented places.

Privileged benefits:

Some credit cards offer lounge entry, seat upgrade, and priority check-in benefits too.

Fuel and travel cashback:

Road trips and train travel expenses can be optimised using fuel and travel credit cards.

Insurance coverage:

Some cards provide travel insurance, covering flight delays, lost baggage, and medical emergencies.

Tip: Opt for a card that provides travel insurance to stay protected against unforeseen circumstances.

How IDFC FIRST Bank credit cards upgrade your travel experience
 

IDFC FIRST Bank provides various travel-friendly credit cards that enhance the overall travel experience by providing rewards, convenience of finances, and premium benefits.

The IDFC FIRST WOW! credit cards are ideal for frequent flyers, with no forex loading on overseas transactions and free ATM withdrawals worldwide. It is designed for those who seek a seamless travel experience with lower costs.
For premium travellers, the IDFC FIRST Wealth Credit Card offers airport lounge facilities, international travel insurance, and instant reward points on travel bookings. Additionally, this card comes with partnerships with leading travel platforms like Yatra.com and MakeMyTrip, allowing cardholders to enjoy up to 20% discounts on flight and hotel bookings.
Similarly, the IDFC FIRST Select Credit Card is ideal for those who want a balance of travel benefits and everyday spending perks. It offers travel discounts, cashbacks, and flexible redemption options.

Conclusion

With Indian travellers spending more on flights, hotels, experiences, and international shopping, credit card usage has seen an unprecedented rise. The shift towards digital payments, the allure of travel benefits, and the security of cashless transactions make credit cards the go-to financial tool for modern travellers. Whether travelling within India or abroad, using the right credit card not only enhances convenience but also maximises savings through rewards and exclusive privileges.