ATM Withdrawal Fee Increase

In another update, the Reserve Bank of India has announced an increase in ATM withdrawal fees. Starting May 1, 2025, the fee will rise from the current charge of ₹21 to ₹23 per transaction once customers exceed their free monthly limit.

Bank account holders will continue to enjoy free transactions, with the following allowances:

• Five free transactions per month at their own bank’s ATMs (covering both financial and non-financial transactions).

• Three free transactions per month at ATMs of other banks in metro cities.

• Five free transactions per month at ATMs of other banks in non-metro areas.

Once these limits are exceeded, customers will be charged up to ₹23 per withdrawal to help banks cover rising operational costs.

American Express Platinum Travel Credit Card Updates

American Express has unveiled changes to its Platinum Travel Credit Card effective April 1, 2025. As anticipated, these changes affect redemption options and point values:

• Taj vouchers have lost value: A ₹5,000 voucher now requires 12,500 points, and a ₹10,000 voucher needs 25,000 points.

• New redemption options: Options now include The Postcard Hotel, where 20,000 points equal a ₹10,000 voucher, and Air India, offering a ₹6,000 voucher for the same points.

• Removal of Flipkart gift vouchers: These have been dropped from the Platinum Travel Collection.

RuPay Select & RuPay Platinum Debit Card Benefits

RuPay Select Debit Card

• Domestic Airport Lounge: Access once per calendar quarter per card at any participating Domestic Airport lounge.

• International Lounge: Access two times per calendar year at participating International Airport lounges.

RuPay Platinum Debit Card

• Domestic Airport Lounge: Access once per calendar year per card at any participating Domestic Airport lounge.

• International Lounge: Access once per calendar year at participating International Airport lounges.

Invest in Fixed Deposits on the Angel One App

Angel One is now offering an opportunity to invest in Fixed Deposits with attractive returns of up to 9.00%*. Key highlights include:

• No physical work or paperwork – Enjoy a fully digital process.

• DICGC Insurance: Fixed Deposits in banks are insured up to ₹5 lakhs.

• Account Convenience: No need for an additional bank account.

Swiggy’s New Rewards Partnership with IndiGo

Swiggy is making headlines with its first-ever rewards partnership with IndiGo, an exciting move for both foodies and travelers. The highlights include:

• Earn 1 IndiGo BluChip for every ₹100 spent: Applicable across Swiggy platforms including Food Delivery, Dineout, and Instamart.

• Timely Credits: The IndiGo BluChip Account will be credited within 24-48 hours after transactions are fulfilled.

• Bonus for Linking IDs: Customers who link their IndiGo ID with Swiggy will also receive a complimentary three-month Swiggy One membership, unlocking additional benefits like free food deliveries.

Kotak Bank Credit Card Applications Resume

Credit card enthusiasts have reason to celebrate as Kotak Bank resumes credit card applications. Note, however, that the popular Myntra Credit Card is still not available. Kotak Mahindra Bank is now accepting applications for the following eight cards:

• Zen

• White

• IOCL (with the Kotak Indian Oil Credit Card being offered as first year free)

• League

• BIZ

• PVR INOX

Utkarsh Small Finance Bank – RuPay JCB Debit Cards

Utkarsh Small Finance Bank has introduced RuPay JCB Platinum and Classic Debit Cards, offering convenient payment options with exclusive benefits.

RuPay JCB Platinum Debit Card

• Tailored for an affluent segment, offering exclusive privileges and discounts on entertainment, shopping, and more.

RuPay JCB Classic Debit Card

• Designed for everyday efficient money handling and convenient transactions.

Shared Benefits:

• Rewards: Earn 1 reward point on every ₹100 spent.

• Discounts: Enjoy a 15% discount on certain transactions.

• Free Cash Withdrawal: Access free cash withdrawal at Utkarsh Bank ATMs.

Equitas Small Finance Bank’s New Co-Branded Credit Cards

Equitas Small Finance Bank has launched three new co-branded credit cards, each catering to different customer segments.

Selfe Credit Card

• Annual Fee: ₹1000

• Additional Charges: Vary depending on card style:

  • Default Plastic Card (Blue) – ₹0

  • Green Card – ₹250

  • Metal Card – ₹3500

• Benefits: Choose 2 complimentary memberships from a list that includes Amazon Prime, Disney Hotstar, Sony Liv, Zee5, and Readers Digest.

• Accelerated Rewards: Earn 5X rewards on 2 out of 5 chosen categories: Apparel, Dining, Grocery, Utility, and Taxi.

• Reward Points: Earn 2 reward points for every ₹100 spent.

• Redemption Options: Products, Vouchers, Hotel Booking, Flight Booking at 0.35 per 1 Reward Point and Cashback at 0.15 per 1 Reward.

PowerMiles Credit Card (Premium Metal Card)

• Price: ₹5000+Tax

• Exclusive Luxury Memberships:

  • Club Marriott – Up to 20% off on hotel & F&B bills, flat 20% off on spa services, complimentary membership for spouse.

  • Eazydiner – 25%-50% savings, complimentary beverages, welcome bonus of 2000 EazyPoints, and 2X EazyPoints on every meal.

• Benefits:

  • Complimentary domestic lounge access (2 times per quarter at 40+ domestic lounges) and one access per quarter at 1000+ international lounges.

  • 3X rewards on international POS and online purchases.

• Reward Points Redemption: Products, Vouchers, Hotel Booking, Flight Booking at 0.50 per 1 Reward Point and Cashback at 0.25 per 1 Reward.

• Miles Transfer: 1:1 with Xchange Rewards.

• Validity: Points valid for 3 years (not applicable for rent payments, wallet loads, fuel, and government services).

Tiga Credit Card

• Price: ₹500

• Benefits:

  • 3X rewards on UPI, contactless payments, and pay-by-3 merchant.

  • Pay-by-3 option: Automatically converts transactions with select merchants into a 3-month low-cost EMI.

  • Low Percentage Rate: 0.99/m for the first 3 months.

• Reward Points Redemption: Products/Vouchers at 0.15 per 1 reward and Cashback at 0.10 per 1 reward.

• Validity: Points valid for 2 years (except on rent payments, wallet loads, fuel, or government services).

HDFC Business Regalia Credit Card Changes

Effective April 1, 2025, HDFC will introduce key modifications to its Business Regalia Credit Card:

• Lounge Access: Complimentary domestic airport lounge accesses are reduced from 12 to 8.

• Spending Requirement: Cardholders must spend ₹1 lakh in the previous quarter to qualify for free lounge access.

• Insurance Changes: Benefits such as Air Accidental Death Cover, Emergency Overseas Hospitalization Protection, Flight Delay Cover, and Missed Connecting International Flight will no longer be available.

SBI Card and Etihad Co-Branded Credit Cards

SBI Card has recently announced the discontinuation of its Etihad Co-Branded Credit Card series, which includes:

• The Etihad Guest SBI Credit Card

• The Etihad Guest SBI Premier Credit Card

This decision is part of broader changes in airline credit cards in India, prompting travelers to reconsider their options. Alternatives such as HSBC TravelOne or Axis Atlas Credit Card are emerging as viable choices for loyal Etihad passengers.

Club Vistara SBI Credit Cards Devaluation

In partnership with Vistara, SBI Card’s offerings have also undergone changes:

• For Renewals After April 1, 2025: Cardholders renewing after this date will not incur any renewal fees; however, they will also forgo renewal or milestone benefits.

• For Renewals Before April 1, 2025: Existing terms remain, with renewal fees applicable and milestone benefits retained.

Tata Neu and HDFC Credit Cards Milestone

A major milestone has been reached in the co-branded credit card space, with over 2 million Tata Neu HDFC Credit Cards issued. Key statistics include:

• A market share of over 13% of net new cards issued in Q3 FY25, according to RBI data.

• A unified rewards ecosystem spanning daily essentials and lifestyle services, evidenced by over 12 million UPI transactions monthly and total transactions exceeding ₹800 crores.

• Top spending categories include groceries, fuel, utilities, electronics, and jewelry.

• The card is now also available to new customers via a Fixed Deposit option, broadening its accessibility.

New Banking Regulations Effective April 1, 2025

The Reserve Bank of India is rolling out several new regulations aimed at bolstering financial inclusivity and security:

• Priority Sector Lending Guidelines: Increased limits for education, renewable energy, and affordable housing loans to boost credit flow.

• NBFC Loan Risk Weights: Adjusted from 125% to 100%, easing the burden on the non-banking financial sector.

• UPI Guidelines: Banks and PSP apps must update mobile number records weekly, and UPI users must explicitly consent for seeding their numbers.

• Urban Cooperative Banks: Now subject to the Prompt Corrective Action Framework based on criteria like consecutive annual losses, net NPAs between 6% and 9%, and a Capital Adequacy Ratio up to 250 basis points below required levels.

• MFIs Guidelines: Revised from the RBI-recognised SRO for microfinance companies, capping borrowers at loans from no more than four lenders simultaneously.

GST Collections Soar in March

In fiscal updates, GST collections have reached a record ₹1.96 lakh crore in March—the second highest-ever collection—with an approximate growth of 10% compared to the previous fiscal period. Breaking down the figures:

• Domestic GST Revenue: Increased by 8.8% to ₹1.49 lakh crore.

• Imported Goods Revenue: Grew by 13.56% to approximately ₹47,000 crore.

• Refunds: Total refunds for the month rose 41% to ₹19,615 crore, leading to a net GST revenue of over ₹1.76 lakh crore, a 7.3% year-over-year increase.

India’s Push to Ease International UPI Payments

In an ambitious move, the government is lobbying the Financial Action Task Force to ease compliance requirements for cross-border payments made via UPI. Since its launch in 2016, UPI’s dominance has grown remarkably—from 34% of digital payments in 2019 to 83% in 2024. The government hopes that by boosting UPI usage among Indians traveling abroad, the cross-border payments market will become more competitive against global giants like Visa, Mastercard, and SWIFT.

Relaunch of the BHIM App – Introducing BHIM 3.0

The Bharat Interface for Money (BHIM) is receiving a major revamp with the launch of its new BHIM 3.0 app, set to be rolled out in phases and fully available by April 2025. New features include:

• A more user-friendly interface available in over 15 Indian languages.

• Optimized performance even in areas with low or unstable internet connectivity.

• Enhanced money management tools: including a ‘split expenses’ feature, a ‘Family Mode’ for managing household spending, and a ‘spends analytics’ dashboard.

• An ‘Action Needed’ task assistant that reminds users of pending bill payments, prompts enabling UPI Lite for faster transactions, and alerts when the ‘Lite Balance’ is low.

• For merchants, the integrated BHIM Vega feature allows instant in-app payment acceptance.

Despite early challenges against competitors like PhonePe, Google Pay, and Paytm, the government now aims to boost BHIM’s market share from a current 0.2% to 5% by 2028.

Industry Call for Merchant Discount Rates on UPI

The Payments Council of India has written to Prime Minister Modi, urging the introduction of a merchant discount rate (MDR) on UPI transactions and RuPay debit cards. Key points from the submission include:

• A proposed MDR of 0.3% on UPI transactions for large merchants, with a nominal fee for RuPay debit cards across all merchants.

• The argument that MDR is critical to the sustainability and further innovation of the digital payments ecosystem.

• This call for an MDR comes in the wake of a recent government allocation of ₹1,500 crore to promote low-value BHIM-UPI transactions—only a fraction of the estimated ₹10,000 crore annual cost required.

Global Expansion – UPI in Singapore

In a significant development for international payments, nearly 12,000 merchants in Singapore could soon begin accepting UPI payments. NPCI International Payments Limited has partnered with Singapore-based HitPay to enable seamless QR code-based payments. This move is strategically aligned with the anticipated influx of over 1.2 million Indian tourists to Singapore in 2024, ensuring an easy and secure payment experience for travelers.

Conclusion

This update covers a gamut of developments—from fee revisions and digital ad tax removals to groundbreaking partnerships and global expansion in the UPI ecosystem. Whether you’re a merchant, a credit card user, or simply following the changing landscape of financial services, these updates highlight the dynamic changes shaping the industry. Stay tuned for more in-depth coverage and timely updates in our next post.

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