Changes in Credit Card Rules from September 2024: What You Need to Know

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As of September 1, 2024, several important changes in credit card rules will take effect across various banks in India. These updates will influence how reward points are earned and redeemed, payment deadlines, and the minimum amount due on your credit card statements. Staying informed about these changes can help you manage your finances better and avoid unnecessary fees or lost rewards.

1. HDFC Bank Credit Card Updates

New Reward Points Caps: HDFC Bank is introducing a cap on reward points starting September 1, 2024. The new rule limits the reward points you can earn on utility and telecom transactions to 2,000 points per calendar month. This change affects all HDFC credit cards, including co-branded and premium options like Swiggy and TataNeu credit cards.

Impact on Education Payments: Additionally, HDFC Bank has announced that reward points will no longer be earned on education-related payments made through third-party apps such as CRED, Cheq, and MobiKwik. This could be a significant change for those who have been using their credit cards to earn points on such payments.

2. IDFC First Bank Credit Card Changes

Shortened Payment Due Date: Starting with the September 2024 statement cycle, IDFC First Bank will reduce the payment due date from 18 days to 15 days from the statement generation date. This means you will have 3 fewer days to make your credit card payments, making it crucial to manage your finances more closely.

Lower Minimum Amount Due (MAD): The Minimum Amount Due (MAD) on your IDFC First Bank credit card will be reduced from 5% to 2% of the principal amount. While this reduction may seem like a relief, it is advisable to pay more than the minimum to avoid accumulating high-interest charges over time.

3. Enhanced Reward Points for RuPay Credit Cards

RuPay Reward Points System: Good news for RuPay credit card users! From September 1, 2024, the National Payments Corporation of India (NPCI) has mandated that RuPay credit cards will earn the same reward points for UPI transactions as other payment service providers. This enhancement in the reward points system will make RuPay cards more competitive and rewarding.

How to Prepare for These Changes

To ensure you’re getting the most out of your credit cards, consider the following steps:

  • Review Your Spending Habits: Adjust your spending to stay within the new reward points limits, especially if you frequently pay utility bills or telecom expenses with your HDFC credit card.
  • Pay Attention to Payment Due Dates: With IDFC First Bank shortening the payment period, make sure to mark your calendar or set reminders to avoid late fees.
  • Maximize Rewards with RuPay: If you use a RuPay credit card, start planning how to take advantage of the enhanced reward points for UPI transactions.

Conclusion

These changes to credit card rules, effective September 2024, highlight the importance of staying informed and adapting your financial strategies accordingly. Whether it’s adjusting to new reward points caps, shortened payment deadlines, or taking advantage of enhanced rewards with RuPay, being proactive will help you continue to benefit from your credit cards while avoiding potential pitfalls.

For more updates and tips on managing your finances, stay tuned to Vehlad.in – your go-to source for the latest financial news and insights.

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