Credit Card Rule Changed: Big news! Credit card 6 rules changed from July 1, know new rules immediately otherwise…

The Reserve Bank of India (RBI) has recently introduced new guidelines related to the issuance of credit cards and debit cards.

Credit Card Billing Rules: The Reserve Bank of India (RBI) has recently introduced new guidelines related to the issuance of credit cards and debit cards. According to a Livemint report, these also include new rules related to credit card closure, billing etc.

Here we are sharing the new credit card billing rules which are going to be effective from 1st July, 2022:

• The Card Companies shall ensure that there is no delay in sending/dispatching bills/statements/e-mails. Customers should get sufficient days (at least a fortnight) for payment before charging interest. In order to avoid complaints of delay in billing, the Card Company may, with the consent of the Cardholder, consider providing bills and statements through Internet/Mobile Banking. The card company should put in place a system to ensure that the cardholder has received the billing statement.
• The Card Company shall ensure that incorrect bills are not sent to the Cardholders. If the Cardholder objects to any bill, the Card Company will have to provide an explanation and within 30 days of the complaint, the Cardholder will have to provide documents as proof.
• No charge will be levied on the Cardholder’s disputed transaction as ‘Fraud’ till the dispute is resolved.
• The card company must follow a standard billing cycle on all issued credit cards. In this regard, an option will be given to change the one time billing cycle as per the convenience of the cardholders.
• Amount deposited prior to the date of payment on account of refund/failed/reverse transaction or any such transaction shall be immediately adjusted against ‘Payment Outstanding’ and the same shall be reported to the Cardholder.
• The Card Company shall obtain the Cardholder’s approval for adjustment of a cutoff i.e. 1% of the Credit Limit or Rs.5,000 on account of refund/failed/reverse transaction or any such transaction, which has already been paid by the Cardholder. This consent has to be obtained through email or SMS within seven days of the card transaction. In case consent is not received or no response is received from the Cardholder, the Card Company will have to remit the credit transaction to the Cardholder’s bank account. Irrespective of the cutoff, if a Cardholder requests the Card Company to credit the outstanding amount to his/her bank account, the Card Company shall do so within three days from the date of receipt of the request.