Airtel Axis Credit Card Now Offers 7.76% Cashback on Utility Bill Payments

The Airtel Axis Credit Card has to be one of the most underrated yet rewarding cards in India, especially when it comes to Airtel recharges and utility bill payments. Known for offering up to 25% cashback on Airtel spends and 10% cashback on utility bills, the card has earned a loyal user base since most cards either offer no rewards or explicitly exclude bill payments from cashback categories.

However, the Airtel Axis Credit Card is now undergoing a quiet devaluation. The card, which earlier offered a flat 10% cashback on utility payments, had a convenience fee of 1.75% introduced some time ago, and that fee has now increased to 2.24%.

So while the card still claims to offer 10% cashback, the actual net benefit comes down to 7.76%, as 2.24% is charged upfront as a convenience fee.

Notably, cardholders have not been officially informed of this change, but the revised charges are already in effect.

Point to Consider – There are no convenience fees for payments via Google Pay. 

Bottom Line

This brings up an important question: Is this just the first step toward further charges or a bigger devaluation of the Airtel Axis Bank Credit Card?

Most people who use this card do so only for utility bill payments, which means there isn’t much scope for high spends or interest revenue for the issuer. Could this eventually affect the sustainability of the generous cashback structure?

Even with the reduced net benefit, 7.76% cashback on utility bills is still among the highest in the market, especially since most credit cards provide zero rewards in this category. And while some people route payments through gift vouchers to earn rewards, that usually caps out at around 5%.

There’s no doubt that the Airtel Axis Credit Card remains one of the best cards for utility bill payments, but this silent and rapid increase in fees certainly takes away some of its earlier appeal.