New Credit Card Rules effective from July 1

India’s Central Bank, the Reserve Bank of India (RBI) has issued some changes and guidelines that will be effective from July 1 regarding Credit Cards. A few days back, RBI announced a new set of guidelines for credit and debit cards, directing credit card issuers to implement changes like no hidden charges and offering insurance on credit card frauds, theft, etc. On the other hand, the Reserve Bank of India has issued a new set of guidelines aimed specifically at solving some pain points of credit card users, like billing cycle-related issues, charges on disputed transactions, and more.

However, the said changes will be effective from July 1, 2022, providing enough time to credit card users as well as issuers to be aware of them. To ensure flexibility in cases where card issuers do not follow a typical billing cycle, cardholders will get a one-time option to change their credit card’s billing cycle. However, this option is already offered by some banks. Now, Refunds for failed or reversed transactions will be adjusted towards the amount of payment due from the cardholder. Also, Credit Cardholders will receive replies to complaints raised regarding incorrect bills within 30 days.