Most of us have to make monthly grocery purchases and utility bill payments. What if we get a sweet 10% value back on these transactions every month? The PhonePe HDFC Bank Ultimo Credit Card provides 10% reward points on select PhonePe categories like utility bill payments, Pincode, etc. It also provides 5% reward points on select online brands like Amazon, Myntra, Swiggy, etc., 1% reward points on Scan & Pay UPI transactions, complimentary airport lounge access, and a lot more. The reward points can be redeemed as cashback (1 reward point = ₹1) in the form of a statement credit. Let us look at the features and benefits of this credit card and whether you should take it.
Overview
| Card type | Rewards credit card (Cashback focus) |
| Reward range | 1% to 10% cashback |
| Joining fee | ₹999 + Taxes |
| Welcome bonus | One ₹499 PhonePe Gift Card, and Ten ₹50 PhonePe Gift Cards (total ₹999) |
| Renewal fee | ₹999 + Taxes |
| Renewal benefit | Renewal fee waived on spending ₹2 Lakhs in the previous year |
| Best for | Utility Bill payments, Travel bookings on PhonePe, and UPI Scan & Pay transactions |
| USP | 10% cashback on select PhonePe categories, 1 Reward Point = ₹1 Cashback redemption, and complimentary domestic airport lounge access |
Fees & Benefits
The joining fee for the PhonePe HDFC Bank Ultimo Credit Card is ₹999 + Taxes.
- Joining fee: ₹999 + Taxes
- Welcome benefit: ₹999 in PhonePe Gift Cards
The cardholder gets welcome benefits of ₹999 PhonePe Gift Cards in 2 parts as follows:
- One PhonePe Gift Card of ₹499 on the first RuPay credit card on UPI transaction on the PhonePe App.
- Ten PhonePe gift cards of ₹50 each (total ₹500) spread over the next 10 RuPay credit card on UPI transactions on the PhonePe App.
The total balance from the above gift cards can be accumulated and redeemed at eligible merchants on the PhonePe App. The minimum transaction amount must be ₹100 to be eligible for welcome benefits.
The annual renewal fee for the card is ₹999 + Taxes.
- Renewal fee: ₹999 + Taxes
- Renewal fee waiver: Spend ₹2,00,000 or more in the previous card anniversary year
Rewards Structure
The PhonePe HDFC Bank Ultimo Credit Card is power-packed with rewards as follows:
| Category | Reward Rate | Monthly Capping |
| Select PhonePe categories (recharges and bills), travel & stays (flights, bus, trains, and hotels), and Pincode (applicable for spends through RuPay credit card on UPI) | 10% | 1,000 reward points per calendar month |
| Select online platforms: Amazon, Flipkart, Myntra, Ajio, Uber, Swiggy, and Zomato | 5% | 500 reward points per calendar month |
| Scan and pay spends (RuPay credit card on UPI spends) | 1% | 500 reward points per calendar month |
Exclusions
The following categories/transactions will not earn any reward points:
- EMI transactions
- Fuel transactions
- Wallet loads
- Gift card purchases
- Credit card bill payment
- Government transactions
- Rental payments
- Education fees
- Insurance premiums
- Investments
- Jewellery purchases
Reward Redemption
The reward points earned on the PhonePe HDFC Bank Ultimo Credit Card can be redeemed in the following ways. **The card’s key strength is the redemption value of ₹1 per point when converted to cashback.**
Cashback (Statement Credit)
The reward points can be redeemed as cashback against the outstanding credit card balance (on request to customer care).
- Redemption value: 1 Reward Point = ₹1 Cashback (Statement Credit)
- Minimum Redemption: 500 reward points balance is required
- Monthly Cap: Maximum cashback of ₹7,500 can be redeemed per month.
- Redemption Fee: There is no redemption fee when reward points are redeemed as cashback.
Redemption on HDFC SmartBuy
The reward points can also be redeemed for flights, hotels, or products via the HDFC SmartBuy portal.
- Redemption value: 1 Reward Point = ₹0.30
Validity: The reward points have a validity of 1 year. The reward points will expire/lapse if not redeemed within a year.
Annual Net Benefit Scenario
| Category (Monthly Spends) | Monthly Spend (₹) | Reward Rate | Annual Cashback (₹) |
| PhonePe Bills (Max Cap) | ₹10,000 | 10% | ₹12,000 |
| Online Brands (Max Cap) | ₹10,000 | 5% | ₹6,000 |
| Scan & Pay (Max Cap) | ₹50,000 | 1% | ₹6,000 |
| Total Annual Cashback | ₹70,000 | – | ₹24,000 |
| Less: Net Annual Fee (Assuming ₹2 Lakh spend for waiver) | N/A | – | ₹0 |
| Net Annual Benefit | – | – | ₹24,000 |
Additional Features
a) Complimentary Airport Lounge Access
The card provides 8 (2 per calendar quarter) complimentary domestic airport lounge access annually.
- Eligibility Condition: The cardholder must spend ₹75,000 or more in the previous calendar quarter to unlock complimentary lounge access in the current calendar quarter.
- Calendar Quarter Definition: 1st January to 31st March, 1st April to 30th June, 1st July to 30th September, and 1st October to 31st December.
b) Fuel Surcharge Waiver
The card provides a 1% surcharge waiver on fuel transactions:
- Applicable on transactions between ₹400 and ₹5,000.
- Maximum waiver: ₹250 per statement cycle.
How to Apply
The PhonePe HDFC Bank Ultimo Credit Card is an exclusive co-branded card.
You can apply for the PhonePe HDFC Bank Ultimo Credit Card **exclusively through the PhonePe App**. It cannot be applied for through the standard HDFC Bank website or branch.
Optimal Use
The PhonePe HDFC Bank Ultimo Credit Card provides a 10% reward rate on specific categories on the PhonePe App. A maximum of 1,000 reward points can be earned in a calendar month. So, the cardholder can use the card for a maximum of ₹10,000 in a calendar month on these categories to earn the maximum 1,000 reward points.
Similarly, the card provides 5% reward points on select online platforms, subject to a maximum of 500 reward points in a calendar month. So, the cardholder can use the card for a maximum of ₹10,000 in a calendar month on these online platforms to earn a maximum of 500 reward points.
Finally, the card provides 1% reward points on scan and pay spends (RuPay credit card on UPI spends), subject to a maximum of 500 reward points in a calendar month. So, the cardholder can use the card for a maximum of ₹50,000 in a calendar month on scan and pay spends to earn a maximum of 500 reward points.
Comparison with Airtel Axis Bank Credit Card
The PhonePe HDFC Bank Ultimo Credit Card can be compared with the Airtel Axis Bank Credit Card as both provide cashback on utility bill payments and specific online platforms.
- Utility Bills: The Airtel Axis Bank provides a 25% cashback on Airtel services, capped at ₹250 monthly. The **PhonePe HDFC Ultimo** provides a 10% reward rate on utility bill payments for **all service providers**, with a higher cap of 1,000 reward points (₹1,000) in a calendar month, making it superior for diverse, high-value utility spends.
- Online Spends: The Airtel Axis Bank provides 10% cashback on Swiggy, Zomato, and Bigbasket (capped at ₹500 monthly). The **PhonePe HDFC Ultimo** provides a lower 5% reward rate, but on a **broader range of platforms** like Amazon, Flipkart, Myntra, Ajio, Uber, Swiggy, and Zomato, offering more flexibility.
Tips to Maximise Rewards
Prioritise Redemption as Cashback: Always redeem your accumulated reward points (RP) as a statement credit through HDFC Bank Customer Care, as this gives you the full 1 RP = ₹1 value. Avoid redeeming through SmartBuy where the value drops to ₹0.30.
Monitor Quarterly Spends for Lounge: If you value the 8 domestic lounge access visits, you must track your spending to ensure you cross the ₹75,000 mark in the preceding quarter.
Achieve Fee Waiver: Aim to cross the ₹2 Lakh annual spending threshold early to secure the renewal fee waiver. The high reward caps make this goal straightforward.
Max Out Capped Categories: Spend exactly ₹10,000 in PhonePe high-reward categories and ₹10,000 in the online brand categories monthly to achieve the maximum ₹2,000 cashback potential.
Eligibility & Documents
The application for this co-branded card is exclusively managed through the PhonePe App. The general criteria, aligning with HDFC Bank standards for this segment, are:
| Criteria | Salaried Applicants | Self-Employed Applicants |
| Age | Min 21 years & Max 60 years | Min 21 years & Max 65 years |
| Income | Net Monthly Income check (often around ₹1 Lakh+) | ITR check (often a high annual ITR requirement) |
Required Documents (Standard KYC):
- Identity & Address Proof: PAN Card, Aadhaar Card, Passport, Voter ID, Driving License.
- Income Proof: Latest salary slips, Bank Statements, or ITR copy.
Expert Verdict / Conclusion
The PhonePe HDFC Bank Ultimo Credit Card is a standout product for the digitally-savvy user, offering one of the highest cashback reward rates available for essential categories like utility bill payments and domestic travel bookings (10% back, up to ₹1,000/month).
- Best-in-Class Cashback: The 1 Reward Point = ₹1 Cashback redemption is the gold standard for value back.
- High-Impact Categories: The 10% rate on utilities/travel and 5% on top online brands directly rewards frequent, necessary spending.
- UPI Integration: Being a RuPay card with 1% rewards on Scan & Pay makes it highly versatile for everyday payments.
Individuals who use the PhonePe platform extensively and have high monthly utility/shopping bills should absolutely consider the PhonePe HDFC Bank Ultimo Credit Card. Its strong rewards, excellent redemption rate, and achievable fee waiver make it a top contender in the mid-range cashback segment.
FAQs
1. How do I get the annual fee waived?
The annual renewal fee of ₹999 + Taxes is waived if your total retail spending on the card in the previous year reached ₹2,00,000 or more. Excluded spends (like EMI, Fuel, Wallet load) are not counted towards this limit.
2. Can I use this card for fuel? Does it give cashback?
You get a 1% fuel surcharge waiver on transactions between ₹400 and ₹5,000, capped at ₹250 per statement cycle. However, you will **NOT** earn any reward points on the actual fuel transaction amount, as it is an excluded category.
3. How do I apply for the PhonePe HDFC Bank Ultimo Credit Card?
The card is exclusively offered and applied for via the **PhonePe App**. You cannot apply for this specific co-branded card through the standard HDFC Bank website or branch application process.
4. What is the value of 1 Reward Point?
1 Reward Point (RP) equals **₹1 cashback** when you redeem it against your outstanding credit card statement balance. If you use it on HDFC SmartBuy for flights, hotels, or products, the value drops to ₹0.30 per RP.