SBI Credit Card Users Alert! 1% Extra Charge on Fuel and Transport From December 1; Check New Rules

SBI Card has announced changes to its credit card charges that will come into effect from December 1st this year.According to the new revised rules, cardholders may have to pay an additional 1% fee on certain transportation and fuel transactions, depending on how much they spend.

As per the customer notice dated October 27, the new charges will apply to all SBI credit cards, including co-branded cards such as Flipkart SBI Credit Card and BPCL SBI Card OCTANE.

SBI Credit Card New Charges From December 1

SBI Card is introducing a 1% fee on specified transportation and fuel transactions. However, the two charges have different conditions.

The transportation charge will apply to individual transactions exceeding Rs. 30,000, while the fuel fee will be calculated when the total fuel spending crosses Rs. 50,000 in a billing cycle. This means that customers who regularly use their SBI credit cards for fuel purchases or large transportation payments may have to pay more from December onwards.

The charge will be calculated separately for each transaction and not on the total monthly spending.

For example, if a cardholder makes a transportation payment of Rs. 35,000, the additional fee will be Rs. 350, excluding applicable taxes.

However, transactions of Rs. 30,000 or below will not attract this new charge. Similarly, multiple transactions below the threshold will remain exempt even if their combined value exceeds Rs. 30,000.

The specified Merchant Category Codes (MCCs) include 4111, 4784 and 4131, covering eligible passenger transportation, toll and bus-related transactions.

Unlike the transportation charge, which is calculated on individual transactions, the fuel fee will be calculated on the entire eligible fuel spending during the billing cycle.

For example, if a customer spends Rs. 60,000 on fuel using an SBI credit card in one billing cycle, the additional charge will be Rs. 600, excluding applicable taxes.

So for Fuel spending of Rs. 40,000, Rs.5000 there will be no additional fee. However for fuel spending of Rs. 60,000 1% fee i.e. 600 will be applied while Rs. 75,000 a 1% fee will be applied.