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Airport Lounge Perks Shift to Reward High Spenders
Airport lounge access, once a common perk for premium credit cards, is changing. Banks are now setting higher spending thresholds, shifting from broad access to rewarding customers who spend more. This adjustment is due to increasing operational costs and crowded lounges, making banks reconsider how these benefits are offered. The goal is to ensure lounge access truly benefits active card users, not just card owners.
New Spending Requirements Introduced
Several major credit cards now have higher spending targets for lounge access. For instance, the HDFC Diners Club Privilege card requires Rs 60,000 spent quarterly for access in the next quarter. The HDFC Regalia Gold card has similar rules for domestic lounges, but international Priority Pass access remains unchanged. The IndusInd Pinnacle card needs a Rs 1.5 lakh spend for a limited number of lounge visits. Starting April 2026, the Kotak White card will require Rs 1 lakh spent quarterly for domestic lounge access.
Why Banks Are Changing Lounge Rules
Experts point to more travelers and crowded lounges as key reasons for these policy shifts. Ashish Lath, Founder and CEO of SaveSage, noted that while lounges initially helped boost credit card sales, the high costs from frequent use are now a major concern for banks. Ankit Bagadia, Director at Bankbazaar, added that banks used lounge access to get new customers but are now dealing with significant and growing expenses from this benefit and the resulting congestion. The industry is now focusing rewards on genuine card usage.
Travel Benefits Realigned
Santosh Agarwal, CEO of Paisabazaar, views these changes as a necessary adjustment, not a devaluation of perks. He highlights that travel cards still offer other valuable benefits like lower foreign transaction fees, hotel memberships, milestone rewards, and travel insurance. Banks advise customers to carefully check card terms, including spending minimums, visit limits, and covered lounges, to match their card benefits with their actual travel habits.