How to Upgrade Your Credit Card Offer?: Unlock Better Rewards

Credit Card Offer: Most people start using credit cards with an entry-level card that offers minimal features and perks. Over time, as they gain experience with credit card usage, they often realize the need for a higher-tier credit card from the same bank that provides better benefits and enhanced features. At this point, the customer can either request a credit card upgrade or accept an upgrade offer sent by the bank.

In either case, they take action to move to a more rewarding credit card. In this article, we define what a credit card upgrade is, highlight its benefits, outline how to qualify for one, and help you decide whether upgrading your credit card is the right move.

What is a Credit Card Upgrade?

Upgrading a credit card involves switching from your current card to a higher-tier version that the same bank offers, typically with better features and more benefits. For instance, if someone holds an HDFC Bank Regalia Gold Credit Card and the bank offers them the HDFC Bank Diners Club Black Credit Card, the person initiates a credit card upgrade by accepting the offer.

Likewise, if a person uses the American Express Membership Rewards Credit Card (MRCC) and the bank provides an offer for the Platinum Travel Credit Card, the person completes an upgrade by accepting the new card. Once the person accepts the offer, the bank issues the upgraded credit card. After the individual activates and begins using the new card, the bank disables the old one, effectively completing the upgrade process.

Benefits of Credit Card Upgrade:
If you are planning to upgrade your card, this will come with better features and benefits. Let’s check some of these things, which are included:

Higher Credit Score:
A larger credit limit is typically associated with the updated credit card. The credit utilization ratio (CUR) decreases when a person receives a greater credit limit while their monthly card spending stays constant. The percentage of the available credit limit that is utilized is known as the credit utilization ratio, or CUR. A credit score improvement is facilitated by a CUR of 30% or less.

Greater rewards:

Updated credit cards typically include better features and perks, such as enhanced reward points. For example, the HDFC Bank Diners Club Black Credit Card awards three times as many reward points when the cardholder uses it to buy quick coupons from various brands through the SmartBuy website. If the cardholder upgrades to the HDFC Bank Infinia Credit Card, they earn five times as many reward points for purchasing instant vouchers via the SmartBuy portal.

American Express Rewards:

The American Express Membership Rewards Credit Card (MRCC) rewards users with double points through the Rewards Multiplier program when they use the card to purchase instant vouchers from various brands.

However, once the cardholder upgrades to the American Express Platinum Travel Credit Card, they unlock even greater benefits. Specifically, they earn three times the reward points on instant voucher purchases made via the Rewards Multiplier platform, making the upgrade a clear advantage for frequent shoppers.

Also Read: Top 6 Credit Cards With Best Shopping Offers: Check the List

Credit Card Upgrade Eligibility:

Banks monitor how cardholders use their current credit cards and other relevant factors, and they send upgrade offers periodically based on this information. The following are some of the key factors they consider.

Spending On The Current Card:

Banks evaluate your spending habits on your current credit card when they decide whether to offer you an upgrade. If you meet additional eligibility criteria and use your card consistently over a certain period, the bank considers you eligible for an upgrade. So, if you want to qualify for a better card, you should use your existing credit card for most of your everyday purchases.

If you spend a significant amount over several months and still don’t receive an upgrade offer, you can take the initiative, contact the bank directly, and request one. Similarly, if your income increases and now qualifies you for a higher-tier card, you should reach out to the bank. At that point, make sure you provide your latest income details to support your request for a credit card upgrade.

On-time payments:

You must pay your credit card bill each month by the due date, whether or not you’re seeking a credit card upgrade. Banks often prioritize customers who make timely payments when they consider offering credit card upgrades, provided those customers also meet other eligibility requirements.

Also Read: Top 4 Credit Cards for Seamless UPI Transactions