PEAKLIFE

By Neha Mehrotra

In the dynamic realm of finance, adaptability is key to staying ahead of the curve. Indian banking behemoths such as SBI Card, ICICI Bank, Axis Bank, and HDFC Bank have recognised this axiom and are reshaping their credit card policies to align with the evolving needs of customers and the regulatory landscape.

With a collective aim to streamline operations, enhance the user experience, and ensure adherence to regulatory frameworks, these changes underscore a proactive approach to meet the demands of a rapidly evolving financial ecosystem. From redefined reward structures to heightened security measures, check out the new specifics of the credit card rule modifications introduced by the banks.

1. Axis Bank

Axis Bank has made some big changes, especially for renting and making payments abroad. Starting from March 5, 2024, every time you use your Axis Bank card to pay rent, you’ll have to pay an extra 1% fee, capped at Rs 1500, alongside applicable government taxes.

Also, if you use your card abroad or with Indian merchants registered in foreign countries, you’ll have to pay a Dynamic Currency Conversion (DCC) markup fee of 1% plus taxes. Furthermore, Axis Bank has delineated specific spending thresholds for milestone benefits and annual fee reversals. As per the bank’s website, expenditures related to rent and wallet transactions are excluded from these calculations.

2. HDFC Bank

HDFC Bank has introduced modifications to the lounge access programmes associated with its Regalia and Millennia credit cards, effective December 1, 2023. Under the revised terms, access to airport lounges will now be contingent upon credit card spending. For the Regalia credit card, customers who spend Rs 1 lakh or more in a calendar quarter (Jan-Mar, Apr-June, Jul-Sept, Oct-Dec) will qualify for up to 2 complimentary lounge access vouchers, accessible through the Regalia SmartBuy page.

Similarly, Millennia credit cardholders meeting the same spending threshold will be eligible for up to 1 complimentary lounge access voucher per quarter, accessible via a link provided in an SMS notification.

3. ICICI Bank

Effective April 1, 2024, ICICI Bank is implementing revised guidelines for complimentary airport lounge access with its credit cards. Under the new policy, cardholders must have spent a minimum of Rs 35,000 in the previous quarter (January–February–March 2024) to qualify for one free lounge visit in the subsequent quarter (April–May–June 2024). To enjoy complimentary lounge access from April to June 2024, cardholders need to have made eligible transactions totaling at least Rs 35,000 between January and March 2024.

4. SBI

Commencing April 1, 2024, certain credit cards will no longer accrue reward points on rent payment transactions, as indicated on SBI’s website. Effective March 15, 2024, a revised Minimum Amount Due (MAD) calculation method will be implemented, incorporating Total GST, EMI amount, 100% of Fees/Charges, 5% of Finance Charge, Retail Spends, Cash Advance, and Overlimit Amount, with adjustments if necessary.

Additionally, starting March 1, 2024, the issuance of physical cards for DreamFolks Membership will cease, with AURUM Cardholders directed to aurumcreditcard.com or the SBI Card Mobile App for accessing DreamFolks Membership benefits. These updates reflect a strategic approach by SBI Card to refine card features, enhance the user experience, and adapt to evolving consumer needs and technological advancements.