SBI Imposes Extra Fees on Utility Payments with Credit Cards

SBI (State Bank of India) has introduced significant changes for credit card users, effective December 1. The bank will no longer offer reward points on online gaming platforms and merchant transactions made using its credit cards.

However, the new rule does not apply to all SBI credit cards. SBI has released a list of cards where reward points will no longer be awarded for these transactions. The affected cards include:

SBI Arum Card

SBI Elite Card

SBI Card Elite Advantage

SBI Card Pulse

Simply Click SBI Card

Simply Click Advantage SBI Card

SBI Card Prime

SBI Card Prime Advantage

SBI Card Platinum

SBI Card Prime Pro

SBI Card Platinum Advantage

Gold SBI Card

Gold Classic SBI Card

Gold Defense SBI Card

In addition to this, SBI has also removed the 1% reward points on utility payments made via credit card. Starting December 1, a 1% fee will apply to utility payments exceeding Rs. 50,000 in a single billing cycle.

This move comes as part of a broader trend, with research reports showing a 45% drop in new credit card issuance in October compared to the previous year, following the Reserve Bank of India’s warnings about unsecured loans. While SBI continues to lead the country’s debit card market, HDFC Bank remains the dominant player in the credit card sector.

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