Popular credit card provider OneCard has announced that it will no longer offer reward points on fuel purchases starting December 15, 2023. OneCard had previously allowed cardholders to earn up to 5X rewards on fuel, representing one of its most generous ongoing reward categories. However, in an email to customers, OneCard said fuel transactions will be ineligible for rewards “with effect from 15th Dec’23.”
Customers question OneCard’s value proposition
The company emphasized that customers will still receive a fuel surcharge waiver of up to ₹400 per month. But the decision to cut fuel rewards just before the New Year has drawn criticism from some OneCard users.
“This devaluation will further decline rewards/cashback rates,” said one customer affected by the policy change. “OneCard already has below 1% baseline rewards, so losing a top bonus category like gas is a major blow.”
With no annual fee, OneCard has billed itself as a transparent, user-friendly credit card. But I question whether the product can keep customers happy over the long run while paring back key benefits like fuel rewards. The imminent cuts also raise the specter of more reward devaluations in the future, especially if macroeconomic challenges persist into 2023.
Limited benefits make OneCard less appealing
Adding to customers’ frustration is that OneCard’s benefits were already quite limited compared to other credit cards on the market. Aside from the now-discontinued fuel rewards, the card’s only other major perk is 1% foreign currency exchange transactions. With the end-of-gas rewards, some customers feel there is little reason to keep or use the OneCard anymore.
For now, frustrated OneCard users have limited options aside from canceling their cards or reducing spending. It remains to be seen if OneCard will add new rewards to offset the loss of fuel perks, or if further cuts are on the horizon.
What do you think OneCard should do to remain competitive? Share your thoughts in the comments section.
