Revised late payment charges and fee waiver norms
Effective May 1, SBI Card has revised its Late Payment Charges (LPC) structure.
Under the updated framework, a charge of ₹100 will apply when the outstanding amount due is above ₹100 and up to ₹500. Higher slabs continue to attract increased charges as per the revised schedule.
In another change applicable from the same date, the annual fee waiver condition for the BPCL SBI Credit Card has been tightened.
The ₹499 annual fee will now be reversed only if annual spends reach ₹1 lakh, up from the earlier threshold of ₹50,000.
Updates to recovery and default communication process
SBI Card has also reiterated its existing practices related to dues recovery and credit reporting. As per the website notice, the company may use multiple communication channels, including post, phone calls, SMS, email, and third-party agencies, to remind and follow up on outstanding payments.
Any third-party agencies engaged for collections are required to comply with prescribed debt collection conduct guidelines.
The company also stated that before reporting a cardholder’s default status to a Credit Information Company (CIC) registered with the Reserve Bank of India (RBI), it will provide the cardholder a one-month notice period.
Reward points redemption changes from April
Earlier, SBI Card outlined revisions to its reward points programme, effective April 1. The changes include:
- A monthly redemption cap of 60,000 reward points for statement credit
- Mandatory redemption in multiples of 4,000 points
- Applicability exclusions for select cards, including Air India SBI Signature Card, PhonePe SBI Card PURPLE, and PhonePe SBI Card SELECT BLACK
The company also specified updated timelines for forfeiture of reward points linked to promotional offers.
