New Credit Card Rules 2023

Author - Admin | Date - 05 Min | Reading Time - 05 Min

A notification titled "Master Direction - Credit Card and Debit Card - Issuance and Conduct Directions, 2023" was published by the Reserve Bank of India (RBI) on April 21, 2023.

New rules and regulations relating to the issuing of unsolicited facilities, credit card closures, new credit card issuance, etc. are included in the notification.

All Scheduled Banks in India (apart from Payment Banks, State Co-operative Banks, and District Central Co-operative Banks) as well as all Non-Banking Financial Companies (NBFCs) are subject to the new regulations online credit card generator are legal they can help us to get free credit card numbers.

Here are the updated credit card restrictions that will be in force as of July 1, 2023, if you currently have a credit card or wish to apply for one.

New Credit Card Billing Rules

The card issuing company must send the credit card bills and statements via mail or email on time. There should be no delay. The card issuer must provide adequate time to cardholders to make the payment before the card issuer charges interest.

RBI states that cardholders must get at least one fortnight to pay the credit card bill. To make sure the cardholder receives the bill on time, the card issuing company can send the credit card statements through the internet banking or mobile banking, provided the cardholder gives their explicit consent.

What are the Types of Credit Card Charges?

Interest: This is charged on accounts where the full payment is not made by the due date and outstanding balance is carried forward.

Overdue penalty: Defaulting on your credit card bill payment can lead to late payment charges. These charges are not the same as interest rates.

ATM withdrawal: You can withdraw cash using your credit card. However, you pay cash advance charges as well as interest from the date of cash withdrawal.

Annual fee: The credit card may carry joining and annual fees.

Frequently Asked Questions

What are credit card issuers?

Card issuers are financial institutions that are authorized by the Reserve Bank of India (RBI) to issue credit cards. They can be banks or non-banking financial institutions (NBFCs), Among other things, credit card issuers set credit limits and interest rates and offer several card benefits. Based on card usage, the card issuer can increase your credit limit and offer loans as well.

What are the Different Types of Credit Cards?

Consumer Credit Cards: These are the most popular credit cards. They are issued to individual customers after assessing their income and capacity to repay the outstanding. Cardholders can carry forward the outstanding (called as revolving) by paying at least a minimum amount and applicable interest charges.

Charge Cards: In this type, the cardholder must pay the bill amount in full before the due date. Rolling over the outstanding to the next billing cycle is not permitted.

Business Credit Cards: Business credit cards are issued to organisations or individuals for business use.

Corporate Credit Cards: Corporate Cards are issued to employees identified by a corporate/entity.

Add-on Credit Cards: These are supplementary credit cards issued to the family of primary credit card holder.

The credit limit is shared with the primary card and the responsibility to repay is also of the primary card holder.

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