If you use a credit card, this news is very important for you. Some new rules related to credit cards are going to be implemented from July 15, 2025, which will directly affect card users.
If you use an SBI credit card, it is very important for you to know this news before July 15, 2025. SBI Card, one of the largest credit card companies in the country, has announced some new changes for its customers, which are related to the payment process, charge structure, and card benefits.
Calculation of Minimum Amount Due Will Be Stricter
Until now, the calculation of the minimum amount due on credit cards was quite flexible, but this rule will change from July 15. Under the new system, the minimum amount due will now include not only the outstanding amount but also the following:
- EMI amount
- GST
- Late fees and other charges
- Financial charges
- Amount spent over the limit
- At least 2 percent of the total outstanding amount
After this change, users may see an increase in the minimum amount to be paid each month. This will affect those customers the most who continue to use the card by only making the minimum payment.
Order of Payment Settlement Will Also Change
SBI Card has also decided that the process of adjusting card payments will be changed from July 15. Now, whatever payment is made, it will first go towards taxes and charges. Only after that will the remaining expenses be deducted. The new order will be as follows:
- First GST
- Then EMI payment
- After that, late fees and other charges
- Then finance fees
- After that, balance transfer
- Then retail expenses
- Finally, payment will be adjusted towards cash advance
This process can cause problems for customers who want their payments to be adjusted first into expenses that attract higher interest. Now that taxes and charges will be adjusted first, interest on the remaining payments may increase if the full payment is not made on time.
Air Accident Insurance Cover Will Be Discontinued
SBI Card has also decided to discontinue the air accident insurance cover available on its co-branded cards. From August 11, 2025, the air accident insurance cover of ₹50 lakh to ₹1 crore, available on some cards issued in partnership with banks like UCO Bank, Karur Vysya Bank (KVB), and Punjab & Sind Bank (PSB), will be discontinued.
Earlier, this cover was available as a complimentary benefit, meaning customers did not have to pay any separate premium for it. But now, this facility will not be available on these cards. This will affect those customers who often travel by air and consider this type of insurance cover important.
Alert on the Official Website for New Terms
SBI Card has also provided information about all these changes on its official website, sbicard.com. Customers are being alerted there through notifications. Also, customers are being informed of the new terms via email and messages.
What Could Be the Impact
These changes will have the most impact on customers who only pay the minimum amount each month, or who frequently use features like cash advance and balance transfer. Also, customers who took co-branded cards considering the air insurance cover may now have to look for alternative options.
In addition, customers whose payment habits have been irregular may now face an increase in interest charges because the impact of previous dues may last longer due to the change in payment adjustment rules.
SBI Card Users Are Now Looking Ahead for Updates
After the implementation of these new rules, it will be interesting to see what the reaction of the customers is. In the coming days, other credit card companies may also make similar changes or may introduce some new offers considering the competition.
