Updated September 2026: in 2018 I wrote about a backup credit card whose 10X reward offer earned me far fewer points than I expected, because of a monthly cap I had not read. I have rewritten it into a guide to reward caps and how to check them before you chase an offer.
I had used this card for over three years as a backup. It had no annual fee, a higher interest rate than my other cards, and a reward points programme. I found that paying bills through the bank's online shopping portal earned 10X points per transaction, so I routed several bills through it and expected a large haul that month. The statement showed far fewer points than I had worked out. When I read the reward terms, there was a maximum number of bonus points that could be earned per month.
Why did the 10X offer pay out so little?
Because accelerated reward offers almost always come with a ceiling. The headline rate applies only until you hit a monthly or per-statement cap on bonus points. After that, spending earns the base rate, or nothing extra at all. Banks also exclude some categories, and bill payments, wallet loads and rent are common exclusions or get a reduced rate.
What should you check before chasing a reward offer?
- The cap: the maximum bonus points per month or per statement cycle.
- Eligible categories: whether bill payments, utilities, wallet loads or fuel count.
- How points are credited: some bonus points arrive a month or more later, in a separate line.
- What a point is worth: a point redeemed for vouchers can be worth much less than one redeemed for flights, and some catalogues are poor value.
- Expiry: points that lapse before you redeem them are worth nothing.
How do you work out if the offer is worth it?
Divide the cap by the bonus rate to find the spend at which the offer stops paying. If the cap is reached at a small amount, routing more spending through the card earns you little and may cost you if the portal adds a convenience fee. Compare what you actually earn with a simple cashback card, which is often easier to value.
Is a backup card with high interest still useful?
It can be, if you always pay the full statement balance by the due date. A backup card helps when a primary card is blocked or declined. The interest rate matters only if you carry a balance, and on most cards in India that interest applies to the whole outstanding amount, not just the unpaid part, until it is cleared.
What did I learn from it?
Read the reward terms before changing how you pay, not after the statement arrives. Terms change, so check the current version on the bank's site each time an offer is advertised. If a scheme needs a spreadsheet to understand, a flat cashback card is often the better choice.