New rules of credit card: New rules of credit card are coming into effect from May 1, if you also have one then check the update

IDFC First Bank recently announced changes to all credit cards except its super-premium IDFC First Private Credit Card, which will be effective from May 1, 2024. Under this, the private bank will reduce reward points for online spends, impose more spend-based criteria for entry into airport lounges and update the terms and conditions for utility and fare payments.

how much was cut

Reward points will be tripled (3X) for online spends up to Rs 20,000 in a statement cycle. At present it is 6 times (6X). However, cardholders can get 10 times (10X) reward points on spends above Rs 20,000 per month. But the reward points for education, wallet reload and government service transactions will be changed to 3X. IDFC First Bank said that no surcharge will be levied on bills below this limit, but 1% credit card fee and GST will be levied on bills above this limit.

However, this utility surcharge will not be applicable on First Private Credit Card, LIC Classic Credit Card and LIC Select Credit Card. Regarding airport lounge access, the number of free domestic airport lounge visits on IDFC First Select Credit Card will be reduced from four to two every quarter. On the other hand, on First Wealth Credit Card, users will now be able to use the lounges of both domestic and international airports twice per quarter, which was earlier four times. The bank will increase the charges for rental transactions to Rs 249 per transaction or 1% plus 18% GST (whichever is higher).

These banks have also cut profits

Axis Bank, ICICI Bank and Yes Bank have also reduced the benefits available on their cards. Recently, ICICI Bank had increased the minimum spend required for complimentary airport lounge access to Rs 35,000 on several credit cards including the Coral Credit Card and MakeMyTrip ICICI Bank Platinum Credit Card. Meanwhile, Yes Bank has now increased the minimum spend to avail domestic lounge access on all its credit cards to Rs 10,000. Apart from this, Axis Bank will make changes in Magnus Credit Card from April 20.