Axis Atlas vs Magnus Burgundy? Which Credit Card did I get

Transcript

00:00

so I recently bought something big I sploded a little bit of money on myself and how much money you ask well we'll get to that in a second but I'm going to walk you through two credit cards that I evaluated for this purchase and what points I'm going to get how much value I'm going to get out of that and how can

00:15

you use my learnings to make sure that when you are in the market for something big like a car or a Louis with bag or a luxury watch or whatever else where you're going to swipe a couple of lak rupees how do you ensure that you get the maximum value out of it right so I'm going to compare two cards ACC Atlas and

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ACC Magnus burgundy and hopefully you will find this helpful as you see me go through this the purchase I made is the amount is 4 and a half lakh rupees it is not an insurance or a government spend it's not it doesn't come under the exclusion categories it's shopping

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essentially um and so and it's also not a car by the way if you're wondering I only bought a car earlier this year I'm not buying another car but I I yeah the amount is 4 and a half lakh rupees that is important because we do calculations around that the second part of the context is that I am actually going to be traveling to talin later this year

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talin is the capital of Estonia regular viewers of the channel know why I'm going there um and so I'm also thinking of how can I use my credit card points to sort of sponsor that trip right um so let's break down Talent STP into two parts there's the flights and there's the hotels on the flights front I think I'm sorted because I have MX points uh

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which can be converted to British Airways AVS points which is going to be further converted into finair and therefore I'm going to book a flight to Talon through fer which is which which operates there right to know more about how to to do this watch the nor video where anol has shared how he did this um

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so yeah that's on the flights front let's move on to the hotels hotels is where it gets tricky because there is a marott where I can use AMX points the problem there with that Marriott is that it's just one Marriott and it's really expensive and points don't make sense there so I looked at other hotels in Talon and looks like AAR has a good

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presence there there's one hotel in particular that I really like it's called Swiss Hotel so I want to go stay at the Swiss Hotel uh and I want to start accumulating a car points towards that goal and this purchase is going to help me with that right so that's essentially two parts of the context one I made a big purchase with 4 and a half

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lakh rupees big for me a lot of people might not find it that big but 4 and a half lakh rupees I spent how can I get points to go to Talon which I can use for my hotel stay right the two cards I evaluated are axis Atlas and axis Magnus um so I'm going to before we even jump

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in I can quickly give you the answer that look I got the access Atlas I am eligible for Access Magnus burgundy but it is not as simplistic please do not follow my advice blindly we'll go through a few scenarios we'll go through the logic and the math behind it and then hopefully you can make a more informed decision for your purchase and

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for your decision right before we proceed further I wanted to quickly share that we are now part of Zero's media 1 Network you can check out the link in description and actually I want to quickly share a few key points about access Atlas and access Magnus burgundy so access Atlas you get Edge miles and

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access Magnus burgundy you get Edge rewards right um in Access Atlas the value of each Edge mile is defined at rupees 1 and in Access Magnus burgundy there is no fixed value and it varies by the partner if you use their catalog you get a value of 20 P which is very low but I think in general access Edge

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rewards have a lower value than access Edge miles the transfer ratio to aore is one Edge Mile in axis Atlas is equal to two Accord points when it comes to axis Magnus burgundy the transfer ratio is five Edge reward is equal to four Accord points and finally the value of each

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Accord point is 1 and 1.8 rupees in both cases in Access Atlas also is 1.8 and access Magnus burgundy is also 1.8 right so those are some of the things that you should remember now we'll get into the few scenarios that I have laid out which makes sense for me and hopefully you'll find them useful so let's start with

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card number one access Atlas access Atlas when you spend 100 rupees you get two Edge miles okay that's the normal points in addition to that access Atlas is three milestones at 3 lakh Rupees perom at 7 and half lakh rupees perom and at 15 lakh rupees perom what that

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means is when you spend 3 rupes in a year you get 2,500 additional Edge Miles when you spend 7 and a half lakh rupees you get another 2 and a half th000 Edge miles and then when you spend 15 LS you get another 5,000 Edge miles right so that's that's what you get there's also

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the joining benefit because I got this card I also got 2,500 Edge miles at the time of joining so that's the how access address is structured now let's assume I am going to if I'm making this one transaction of 4 and a half lakh rupees right now I am going to assume that over

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the course of the next one year I can easily achieve the second milestone which is the 7 and a half lakh rupee Milestone because of all of the other spend that I'm also going to put on this card now right now so therefore I'm going to assume that I'm going to spend 7 and a half lakh rupees on access Atlas and now let's compute the Returns on

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access Atlas net returns of after the fees on 7 and 1 half lakh rupees with me so far great so at 7 and 1 half lakh rupees you get normal Edge miles of remember two Edge miles for 100 rupees spent that means normal Edge miles of 15,00 ,000 there's the joining bonus

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Edge miles which is 2,500 there is the 3 lakh Milestone Edge miles which is another 2,500 there's a 7 and5 lakh Milestone Edge miles which is 2,500 that's a total Edge miles of 22,500 the conversion ratio like we had started at the like I had mentioned at

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the start the conversion ratio is 1 is to2 that means 22,500 Edge miles is equal to 45,000 aore points the value of each ACC cor point like I had mentioned at the start is 1.8 rupees and therefore 45 ,000 Accord points becomes 81,000 INR

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so that's the value that I'm going to be getting out of uh spending 7 and a half lak rupees on access at list but there is a fees of 5,000 rupees so let's deduct that fees plus 5,000 plus 18% taxes is about 5,900 so out of 81,000 we deduct 5,900 we get to 75,100 so net

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returns of 75,100 you divide that by the total amount that I've spent which is 7 a half lakh that's a net return percentage of 10% think of it as 10% cash back on 7 and half lakh rupees which is amazing right so that's the return I'm going to get out of the axess atlas so now let's move to the second

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card which I was evaluating access Magnus burgundy I have a burgundy account I'm eligible for an aess Magnus so let's jump into it this has Edge rewards and not Edge miles so do not confuse it access has made it super confusing so you'll have to bear with me this is also a monthly card why do I say

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it's a monthly card because it has a monthly threshold which means that if you spend less than 1 and a half lakh rupees you earn certain number of points but the minute you cross 1 and a half lakh rupees your point earning is accelerated so how much okay less than

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one and a half lakh rupees you earn 12 points for every 200 rupees spent and more than 1 and a half lakh rupees you earn 35 points which is 3x of what you are earning less than one and a half lakh right so think of it like that now let's come to our purchase if I'm going to go make that 4 and a half lakh rupe

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purchase in the same month and swipe an access Magnus burgundy how many points do I get for the first one and a half lakh which is the base points I get 9,000 Edge reward points right because 12 Edge points for each for 200 rupees so for the first 150,000 I get 9,000 Edge reward points now the remaining

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three lakhs after 1 lak 15,000 I get 35 reward points for 200 rupees spent which means 52,500 as reward points if I add these points I get 9,000 + 52,500 which is equal to 61,500 edges reward points

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you could almost make a drinking game every time I say I reward points but sorry let's go on a core points transfer ratio in this case is not 1 is to2 like AIS Atlas here it is 5 is 4 which means you divide this by five and multiply it by four so 61,500 divided by 5 into 4

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which comes to 49,28318 which is equal to 88560 amazing right we with me so far the card fees is 30,000 plus taxes which which means 35,400 um and therefore the net return

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is 88560 minus 35,400 which is 53,1 160 rupees so I'm getting 53,1 160 rupees on spending 4 and a half lakh rupees which is 11.8% return Which is higher than Atlas amazing great job why did I still get

08:20

the atlas we'll come to that but I think uh just to make this Apples to Apples right I'm also going to look at a scenario where I end up spending 7 and 1 half lakh rupees on the Magnus because that's what I'm assumed that I'm going to spend on Atlas so let's make that same assumption that I'm going to spend 7 and 1 half lakh rupees on the Magnus

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over the course of the entire year so in this month I spent 4 and a half lakh but the remaining three lakhs I'm going to spend over the course of the year and there is no way I'm going to be Crossing that one and a half lakh monthly threshold that they want me to cross and therefore I'm going to look at the base reward points on these three lakh

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additional that I'm going to spend on AIS Magnus burgundy right so let's let's now so this is the scenar scenario 3 scenario one was access Atlas at 7 and a half lakhs scenario two is AIS Magnus burgundy at 4 and half lakhs and now scenario 3 is Axis Magnus burgundy at 7

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and a half lakhs to be able to compare it with the axis Atlas at 7 and a half so now in this scenario three we look at what are the additional base points that I'm going to get for the 3 lakh rupees that I going to spend more I get 18,000 points this is at the base rate which is 12 points for every 200 rupees that I

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spent so I get 18,000 as Reward Points let's add so the total reward point that I have from this 4 and 1 half lakh purchase in this 1 month and 3 lakh Split over the next 11 months I get 61,500 from the 4 and5 lakh rupe

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purchase 18,000 from these 3 lakh Split over the next 11 months which is 79,500 as Reward Points Accord it translates using the same 5 is4 ratio it translates to 63,600 Accord points the INR value of these Accord points is 1h1

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14,48 great the card fees is 35,400 so we deduct 35,400 from 1 14480 to arrive at the net return of 79,80 so I'm getting returns of 79,80 on spending

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750,000 which is about 10.5% so which is not that high quickly recapping axis Atlas in scenario 1 7 a half lakh rupees on axis Atlas you get 10% returns scenario 2 axis Magnus burgundy by spending 4 and a half lakh rupees in

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that one month you get a return of 11.8% scenario 3 you get 7 and2 lakh rupees over the course of the year the return is 10 and a half% i why did I still get the atlas well because the the difference between me spending 7 and a

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half lakh rupees on axis Atlas versus me spending 7 and a half lakh rupes on axis Magnus burgundy is barely anything is .5% which is not much also the second reason is I'm already selling out 4 and a half lakh rupees I did not feel like selling out 30,500 uh 30 5,400 rupees as

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an additional fees for this card and that's why I didn't get the Magnus burgundy should you get the Magnus burgundy maybe if your monthly spend is going to be really high and this is the last scenario this is the bonus scenario okay if you are say going to swipe 7 and a half lak rupees all in one month let's

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see how many returns do you get on Magnus burgundy then okay so this is the last scenario the bonus scenario what ends up happening in this is you have your so 7 and a half lak rupees in a month imagine instead of buying this for 4 and a half lakhs I was going to go and get a KI on it and I was going to swipe

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it for 7 and a half lakh rupees for down payment right hypothetically what points do I get for the first one and a half lakh same logic I get 9,000 Edward points for the remaining 6 lakh rupees that I spend in that same month I get 1 lak 5,000 Edge Edge reward points total

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I get 1ak 14,000 Edge reward points in that one month where I spent 7 and a half lakh rupees a if you were to use this an ACC cor for a future holiday five Edge reward points is four ACC cor points that means a total of 991,00 Accord points which is a value of

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multiplied by 1.8 because that's the value of an aore point it comes with 1ak 164,165 400 you get to 1ak 28560 of net returns

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which is an insane 177% you had spent 7 and a half lakhs and you got returns worth 1 lak 12856 which is 177% right it is insane and therefore if you're if you're going to be spending a big amount in a particular

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month please get the Magnus burgundy uh I think at 4 and a half lakh rupees I was more comfortable um getting the access Atlas and not the burgundy but if you're going to be spending upwards of that upwards like 7 and a half lakhs is like burgundy is like a completely

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no-brainer ultimate winner here right so hope that helps uh if you stuck around for this long you probably deserve to know that what I have bought with that 4 and a half lakh Rupees is actually in the background is that little cycle there um yeah yeah I know I know it it

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it it costs almost as much as a car but it is what it is um so yeah I hope this helps uh if you want to apply for access cards the link is in the description uh and in the pinned comment and thank you and see you in the next one and before I go always remember please do not get

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cards if you're not spending let your spends itate your cards and not the other way don't get cards and start overspending I was going to buy this and that's why I got this card in fact a few months ago you'll remember I was very clearly the camp of getting no Atlas because my spends didn't justify it the spend came up I decided to buy this and

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that's why I was like okay now is a good time to get atlas because I can make the most out of this right so please be cautious please be sensible about your spends do not just hold cards because you think they are cool or because I'm saying it or whatever else please make your own rational decision and um thank

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you

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