Last Updated:
Cardholders should review their billing cycle statements and plan their utility payments accordingly to avoid unexpected charges.
SBI Card has also raised its finance charges on unsecured credit cards.
SBI Card is set to implement several updates to its credit card charges, including changes to utility bill payments, finance charges, rewards caps, and transaction fees, impacting users in a variety of ways.
Here’s a closer look at the changes and what they mean for cardholders.
New Surcharge on Utility Bill Payments
Starting November 1, 2024, SBI Card will introduce a 1% surcharge on utility bill payments made with SBI credit cards if the total exceeds Rs 50,000 in a single billing cycle. This fee will apply to payments for essential services such as electricity, gas, and water.
However, if the total utility bill payments are under Rs 50,000 in the same billing cycle, no additional charges will apply, allowing smaller payments to remain unaffected by this surcharge.
Increased Finance Charges on Unsecured Credit Cards
In addition to the new surcharge on utility bills, SBI Card has also raised its finance charges on unsecured credit cards. Effective November 1, 2024, the finance charge will increase to 3.75% per month on all unsecured SBI credit cards, except for the Shaurya/Defense card, which will remain unchanged.
Unsecured credit cards, unlike secured cards, do not require collateral or a security deposit. This adjustment may impact a significant number of users who rely on these cards for everyday transactions.
Further Utility Surcharge Updates in December
From December 1, 2024, SBI Card will extend the utility bill surcharge policy. Any utility bill payments exceeding Rs 50,000 in a billing cycle will incur a 1% fee on the total amount. This reiterates the changes introduced in November and clarifies the conditions under which fees will apply.
Summary
These updates, encompassing surcharges on utility payments, increased finance charges, and adjustments to card offerings, reflect SBI Card’s latest effort to revise its fee structure. Cardholders are encouraged to review their billing cycle statements and plan their utility payments accordingly to avoid unexpected charges.
Discontinuation of Club Vistara SBI Credit Cards
In an earlier update, SBI Card announced in September 2024 that it would discontinue issuing new Club Vistara SBI Credit Cards and Club Vistara SBI Credit Card PRIME. The issuance of these cards ceased on September 28, 2024, although existing cardholders may continue using their cards without interruption.
