Planning to buy car on credit card - here are my calculations
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Hi everyone
I'm planning to purchase Tata Curvv.ev Emp+A (22L ex showroom).
I am planning to buy it on Magnus Burgundy, completely on the card.
I visited the branch because getting the burgundy is hard.
I threw some trump cards like last ITR of 70+L, 19L limit on ICICI card, salaried, etc. and the Axis guy seemed to drool.
I hope I get the card with a good limit.
Here are my calculations:
My cost:
Magnus Burgundy Fees: 30,000 + 18% GST = 35,400
Dealership MDR surcharge (considering 1.5%) = 1.5% of 22,00,000 = 33,000
Return:
12 Edge points per 200 upto 1.5L = 1.5L / 200 * 12 = 9000
35 Edge points per 200 above 1.5L = (22L - 1.5L) / 200 * 35 = 358750
Total points = 9000 + 358750 = 367750
Redemption:
Accor transfer at 5:4 (upto 2L points - Group A) = 2L * 4/5 = 1.6L Accor points
The Accor transfer limit (Group A) will reset in Jan 2025 (it is 2L per calendar year for Magnus burgundy)
So I can transfer the rest of the points (1.67L) in Jan 2025
Rest points 1.67L * 4/5 = 1.34L Accor points
Total Accor points by Jan 2025 = 1.6L + 1.34L = 2.94L
Each Accor point approximately has a value of ₹1.8
So, 2.94L * 1.8 = ₹5,29,200
So basically, I can book Accor hotels worth approx ₹5.3L by Jan 2025.
My total cost = 35,400 (card fee) + 33,000 (merchant MDR) = ₹68,400
So, I'm getting a return of ₹5,29,200 at the expense of an extra ₹68,400.
Please let me know if my calculations are correct.
This seems like an outstanding return rate.
I’ve mostly used lifetime-free or low-fee cards until now and such a return rate seems too good to be true.
I doubt I'm missing anything or any terms and conditions I should be aware of.
Thanks in advance.
Please let me know if there is any other card to get a better deal with a low chance of plan failure.
Also, please help me out with the following:
- The easiest way to know the merchant MCC code before the transaction
- How to negotiate the best MDR rate for credit cards. Talked to several dealers and all of them seem to be quoting 2 or 2.5% (one of them said he can try up to 1.5%)
- Any other catch, things to take care of that might be missing.
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be careful of this issue
Yes that is why looking for the best way to identify MCC code
car dealer wont allow this to happen , they will bring their personnal QR code or even relative card swiper
- you may get done thing smoothly online on tata website , pay and collect the car from showroom , email TATA in advance see what help they can do
-but for online i think u will have to do math again
good calculation, hats off to you
70 lac ITR? Are you CFO in your company?
Read this once :
Salute for your calculation but what if card gets devalued ? Significant amount of risk is involved .. risk se ishq hai to kood pado tata curvv lene 
Imo that much high value transaction on your new axis card will directly lead to card blocking and points forfeiture
Also don't forget to confirm max. Cap from higher customer support in writing in mail
Also do check out some posts from dd and technofino as you can get direct customer review.
will RBI ombudsman help (given that I'm genuinely making the transaction and not gaming the system)
Do check the MCC code at dealer end..
These days some are using Rent or Fuel MCC codes...😂
Mostly txn will not go thru, once I tried to pay 4lacs at one place but after 1lac they blocked my card, called cc and unblocked yet next txn did not go thru, again called same result, finally gave up.
22lacs txn IMO its not possible esp for new card.
Axis is unreliable, absolutely no support if anything goes wrong, they will never give back RP or CB. It would spoil new car fun.
and blocking the card with just 1lakh .. that is unheard of..
1 lakh is a common value..
there must be something else..
which card?
Can you share your calculations?
Whoa! I was unaware that a credit card could be used to purchase a car. 
Just a random query, what's your CIBIL bro?
People are buying apartments here with credit cards not just car -bike.... And yeah limited to some builders
While a Chinese one bought something like 1400cr worth from credit card.... 🤑🤑
It's just a car here or a apartment
Why Tata btw???
Are they not levying 2% on CC payments?
You can check my thread .I bought brezza for 14 lakh without any mdr charges. you have to negotiate. I payed through 3 cards as my max limit was around 9 lakh in diners /neu. .got neu coins at 1.5%. they had sbi pos where diners failed.
https://www.desidime.com/discussions/buying-car...
Max loss if your calculations completely fails is 1 lakh and reward is upto 5lakh . You wants a car because you have enough cash to pay upfront then ok.
I have SBI cashback card. I wanted to buy jupiter and total cost was within the limits. But the dealer said No. Not possible thorugh credit card. 😌
Car dealers openly accept card when MDR is paid by customer
U can negotiate MDR charges also
You can buy a Nexon and save some money instead of going for the coupe suv ki lehar.
- 55khw batter (+15kwh from nexon)
- faster charging (70kwh peak, may be a bit less)
- bigger trunk
- ADAS
- new acti.ev platform
- design is great of course
So no flights, only accor points ?
I did a transaction on showroom for my items
i got an eligble 1.5%for ASL motors
see if that helps .. also let us know how did u proceed finally?
![Portronics Mouse at Rs.57 [Min 3 Qty]](https://cdn1.desidime.com/topics/photos/1846585/medium/dd.PNG?1725971002)
Mostly txn will not go thru, once I tried to pay 4lacs at one place but after 1lac they blocked my card, called cc and unblocked yet next txn did not go thru, again called same result, finally gave up.
22lacs txn IMO its not possible esp for new card.
Axis is unreliable, absolutely no support if anything goes wrong, they will never give back RP or CB. It would spoil new car fun.
Victim of wrong MCC code - Lost a significant amount of money due to surcharge | TechnoFino - #1 Community Of Credit Card & Banking Experts
be careful of this issue
okay i can give a suggestion,
1) just buy some car wipes or cleaner from the showroom using your credit card :)
2) and ASK THE SALES PERSON ABOUT THE SERIAL NUMBER OF THE POS DEVICE and note it down:)
3) wait 2 days for transaction to settle and check reward points and also call customer care to verify MCC
4) next time when you get to purchase the car,find this specific pos device and viola MCC is same
viola you succeeded
0) before all this check with your bank on how much quantum or capp of reward points applicable on lakhs of transactions
Why Tata btw???
Why Tata? Lack of options in electric.