SBI Card revises cashback benefits on some services from May 1; check details
In a notification issued on Thursday, the credit card issuer said the maximum cashback that can be earned on online and offline spends in a statement cycle would be capped at Rs 5,000.
- Apr 7, 2023,
- Updated Apr 8, 2023 7:47 AM IST
From May 1, SBI Cards and Payment Services will be revising some of the services on Cashback SBI Card. In a notification issued on Thursday, the credit card issuer said Cashback SBI Card will not offer any cashback on services like jewelry, school & educational services, utilities, insurance services cards, gifts, novelty & souvenir shops, member financial institution/quasi cash, and railways. The complimentary domestic airport lounge benefits will also be discontinued.
Besides, the maximum cashback that can be earned on online and offline spending in a statement cycle would be capped at Rs 5,000.
SBI Cards has a tie-up with 42 lounges across 21 airports in the country, according to its website.
In the month of March, State Bank of India Cards & Payment Services revised the charges and fees of the SBI Credit Card. The customers who were paying their rent via credit card would be charged Rs199 + taxes, up from Rs 99 and the applicable taxes.
Last year in November, the SBI Cards hiked the processing fee on rent payments made using credit cards to Rs 99 plus GST at the rate of 18 per cent.
Earlier this week, the Reserve Bank of India (RBI) said that SBI Card saw the highest new credit card additions around 300,000 in February. In comparison, HDFC Bank and ICICI Bank added about 60,000 and 80,000, respectively. The brand has a broad base of over 15 million cards in force as of Q3 FY23.
As per the RBI data, SBI Card grew 2 per cent sequentially in the same period, while HDFC Bank and ICICI Bank grew 0.6 per cent and 0.4 per cent.
But overall, credit card spendings have gone down drastically, almost 7 per cent month-on-month. Over the last few quarters, the revolver rate of SBI Card has declined from 45 per cent as of Q1FY21 to 24 per cent as of Q3FY23. The net interest margin has also declined from 19.2 per cent to 11.6 percent in December 2022 quarter, registering an all-time low.
SBI Cards and Payment Services is a separate entity and non-banking financial company that offers an extensive credit card portfolio to individual cardholders and corporate clients.
(CORRECTION: This article had previously stated erroneously that all card holders will lose complimentary access to airport lounge from May 1. It has since been corrected)
Also read: TCS, Infosys, Wipro: Expect variable pay cuts, slowdown in hiring in Q4 FY23
From May 1, SBI Cards and Payment Services will be revising some of the services on Cashback SBI Card. In a notification issued on Thursday, the credit card issuer said Cashback SBI Card will not offer any cashback on services like jewelry, school & educational services, utilities, insurance services cards, gifts, novelty & souvenir shops, member financial institution/quasi cash, and railways. The complimentary domestic airport lounge benefits will also be discontinued.
Besides, the maximum cashback that can be earned on online and offline spending in a statement cycle would be capped at Rs 5,000.
SBI Cards has a tie-up with 42 lounges across 21 airports in the country, according to its website.
In the month of March, State Bank of India Cards & Payment Services revised the charges and fees of the SBI Credit Card. The customers who were paying their rent via credit card would be charged Rs199 + taxes, up from Rs 99 and the applicable taxes.
Last year in November, the SBI Cards hiked the processing fee on rent payments made using credit cards to Rs 99 plus GST at the rate of 18 per cent.
Earlier this week, the Reserve Bank of India (RBI) said that SBI Card saw the highest new credit card additions around 300,000 in February. In comparison, HDFC Bank and ICICI Bank added about 60,000 and 80,000, respectively. The brand has a broad base of over 15 million cards in force as of Q3 FY23.
As per the RBI data, SBI Card grew 2 per cent sequentially in the same period, while HDFC Bank and ICICI Bank grew 0.6 per cent and 0.4 per cent.
But overall, credit card spendings have gone down drastically, almost 7 per cent month-on-month. Over the last few quarters, the revolver rate of SBI Card has declined from 45 per cent as of Q1FY21 to 24 per cent as of Q3FY23. The net interest margin has also declined from 19.2 per cent to 11.6 percent in December 2022 quarter, registering an all-time low.
SBI Cards and Payment Services is a separate entity and non-banking financial company that offers an extensive credit card portfolio to individual cardholders and corporate clients.
(CORRECTION: This article had previously stated erroneously that all card holders will lose complimentary access to airport lounge from May 1. It has since been corrected)
Also read: TCS, Infosys, Wipro: Expect variable pay cuts, slowdown in hiring in Q4 FY23