Bad News for Banks IDFC First & SBI Card Users! Fewer Benefits Coming Your Way

Recent updates indicate that both IDFC FIRST Bank and SBI Card have implemented changes that may reduce certain benefits for their credit card users. If you use a credit card from either of these issuers, you might want to read on, as some of these changes could affect your daily spending, rewards, and overall card experience.

To help you quickly understand the key changes, we’ve broken down everything you need to know in an easy-to-follow format, including practical advice on how to adapt to these updates.

Bad News for Banks

Change	IDFC FIRST Bank	SBI Card
Fuel Fee & Surcharge Waiver	A 1% surcharge applies if fuel spending exceeds ₹30,000 per statement cycle; waiver capped at ₹300/month	No major changes
Annual Percentage Rate (APR)	Revised from 9%–43.8% to 8.5%–46.2%	No major changes
Railway Lounge Access	Minimum spend of ₹20,000 in the previous calendar month required	Not applicable
Add-On Card Fees	New add-on cards issued after Feb 20, 2025, will have ₹499 annual fees + taxes	Not applicable
Reward Points	No major changes	Reports of reward points being revoked if used on certain discount offers

For official details, visit: IDFC FIRST Bank | SBI Card

While IDFC FIRST Bank and SBI Card remain popular, their recent changes make them less rewarding for frequent users. If you rely on these cards for benefits like fuel surcharge waivers, lounge access, or e-commerce reward points, you may need to reconsider your options.

Stay updated on credit card policy changes to maximize rewards and avoid unexpected charges.

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Bad News for Banks: IDFC FIRST Bank Credit Card Updates

Fuel Fee & Surcharge Waiver

One of the biggest changes for IDFC FIRST Bank credit cardholders is the introduction of a 1% fuel surcharge if your fuel spending crosses ₹30,000 in a statement cycle. Previously, there was no such restriction, allowing high-spending users to enjoy surcharge-free fuel purchases.

Additionally, for premium cards like Ashva, Mayura, and FIRST Wealth Credit Cards, the fuel surcharge waiver is now capped at ₹300 per statement cycle. If you regularly spend large amounts on fuel, this could mean additional costs.

What to Do?

1. If fuel is a major expense for you, consider switching to a dedicated fuel credit card like BPCL SBI Card or IndianOil Citi Credit Card, which offer cashback or higher fuel rewards.
2. Track your fuel expenses carefully to stay below the ₹30,000 limit to avoid the surcharge.

Bad News for Banks: Higher Annual Percentage Rate (APR)

APR, or Annual Percentage Rate, determines the interest you pay on outstanding balances. IDFC FIRST Bank has increased its APR range from 9%–43.8% per annum to 8.5%–46.2% per annum.

This means that if you carry a balance, you could end up paying higher interest charges. The exact APR you receive depends on your credit profile.

What to Do?

1. Always try to pay your credit card bills in full to avoid interest charges.
2. If you have a high APR, consider a balance transfer to a lower-interest card.
3. Check your credit score regularly—a good score could help you negotiate a lower interest rate.

Railway Lounge Access Requires Minimum Spend

Previously, select IDFC FIRST Bank credit cards offered complimentary railway lounge access as a standard benefit. However, now you must spend at least ₹20,000 in the previous calendar month to qualify.

What to Do?

1. If you frequently travel by train and rely on lounge access, ensure you meet the spending requirement before the month ends.
2. Alternatively, consider SBI IRCTC Credit Card, which is tailored for railway travelers and provides benefits like discounted railway bookings and free lounge access.

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Bad News for Banks: Add-On Card Fee Introduced

Previously, IDFC FIRST Bank did not charge for add-on credit cards. However, from February 20, 2025, any new add-on card issued will carry a ₹499 annual fee + taxes. If you already have an add-on card, this fee will not affect you.

What to Do?

1. If you were planning to get an add-on card for a family member, apply before February 20, 2025 to avoid the new charges.
2. Compare with other banks offering free add-on cards, such as HDFC and ICICI Bank.

Bad News for Banks; SBI Card Updates

Reward Points Being Revoked

Several SBI Card users have reported that reward points credited on e-commerce transactions (Amazon, Flipkart) during sales events are being revoked after 2–3 months.

In some cases, if users had already redeemed the points, SBI Card deducted an equivalent amount from their credit limit. This issue primarily affects customers who received extra reward points on top of an instant discount offer.

What to Do?

1. Monitor your reward points carefully—check if they are still available after 2-3 months.
2. Before making large purchases, read SBI Card’s latest terms & conditions on reward eligibility.
3. If points are revoked unfairly, contact SBI customer support and escalate the issue if necessary.

How These Changes Affect You

These updates suggest that both IDFC FIRST Bank and SBI Card are tightening their benefits to reduce costs. While this might not impact occasional credit card users, frequent travelers, fuel buyers, and online shoppers will likely feel the pinch.

If you’re affected, consider switching to alternative cards that still offer generous benefits.

1. Best Cards for Fuel Savings: ICICI HPCL Super Saver, BPCL SBI Card
2. Best Cards for Railway Travelers: SBI IRCTC Card, HDFC Bank Diners Club
3. Best Cards for Online Shopping: Amazon Pay ICICI Card, Flipkart Axis Bank Credit Card

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Bad News for Banks (FAQs)