Starting December 20, 2024, Axis Bank will introduce a new redemption fee on its Credit Card portfolio. The fee will apply when redeeming EDGE Rewards or EDGE Miles for cash (INR 99) or transferring them to a mileage program (INR 199). Both fees are exclusive of GST, which will be added at 18%.
Axis Bank Credit Card Fee Changes: Affected Cards and Redemption Advice
These changes will not apply to all Axis Bank credit cards. The cards affected include the Axis Bank Atlas Credit Card, Samsung Axis Bank Infinite and Standard Credit Cards, Axis Bank Magnus Credit Card (including the Burgundy Variant), and Axis Bank Reserve Credit Card. However, the Axis Bank Olympus and Horizon cards, as well as Citi-protegee cards, will remain unaffected.
Axis Bank’s decision appears to be aimed at offsetting processing charges and discouraging small transfers, although the transfer ratios will remain the same. To avoid these new fees, it’s advisable to complete any redemptions before the December 20th deadline.
Axis Bank Announces Fee Increases and Changes for Credit Cards
Along with the new redemption fee, several other fee changes will be implemented. Interest charges on credit cards will increase to 3.75% per month. Auto-debit reversals or cheque return fees will be charged at 2% of the payment amount, with a minimum fee of INR 500. Cash payments made at branches will now incur a revised fee of INR 175. If the Minimum Amount Due (MAD) is not paid for two consecutive cycles, a new INR 100 fee will apply. Additional changes include an updated Dynamic Currency Conversion (DCC) markup of 1.5%, a 1% fee on rent transactions (with no cap), and a 1% fee on education payments made through third-party apps.
These changes will also apply to Citi-migrated cards. To avoid fees, users should consider transferring rewards or points before December 20, 2024.
