From December 20, 2024, Axis Bank will implement a new redemption fee on its credit card portfolio. Charges will be applicable on redeeming EDGE Rewards or EDGE Miles for cash (INR 99) or transferring them to the Mileage Program (INR 199). Both charges do not include GST, which will be added at 18%.
Axis Bank Credit Card Fee Changes: Affected Cards and Redemption Advice
These changes will not be applicable to all Axis Bank credit cards. The affected cards include 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, Axis Bank Olympus and Horizon cards, as well as Citi-Protégé cards, will remain unaffected.
It appears that Axis Bank’s decision is aimed at offsetting processing fees and discouraging small transfers, although the transfer ratio will remain the same. To avoid these new fees, it is advisable to complete any redemptions before 20 December deadline.
Axis Bank announces fee hike 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 reversal or check return charges will be charged at 2% of the payment amount, with a minimum charge of Rs 500. Cash payments made at branches will now attract a revised charge of Rs 175. If the Minimum Amount Due (MAD) is not paid for two consecutive cycles, a new Rs 100 charge will be applicable. Additional changes include an updated Dynamic Currency Conversion (DCC) markup of 1.5%, a 1% fee on rental transactions (with no limit), and a 1% fee on education payments made through third-party apps.
These changes will also be applicable to city-migrated cards. To avoid the fee, users should consider transferring rewards or points before December 20, 2024.
