Kotak Mahindra Bank is also one of the major credit card issuers in India and lakhs of individuals are availing of its services. If you are also having a Kotak Bank Credit Card, here is an important update for you. Kotak Bank has recently announced that a 1% convenience fee would be applicable on rent payments now. Earlier, there was no such fee applicable to rental transactions, but following other major card issuers, Kotak Bank has come up with this update. For further information, continue reading:
1% Fee On Rent Payments With Kotak Credit Cards
If you make rental payments using your Kotak Bank Credit Cards, you should be aware of the recent update announced by Kotak Bank. With effect from February 15, 2023, a convenience fee of 1% + GST would be applicable on all rental transactions using Kotak Credit cards. However, all the other fees & charges and terms & conditions remain unchanged as of now. You might also have received an email regarding the same from Kotak Mahindra Bank.
Last year, i.e. in January 2022, many banks and card issuers updated their rent payment terms and conditions, including the ICICI Bank, HDFC Bank, IDFC First Bank, etc. Following them, Kotak Mahindra Bank has also come up with this update now. It might sound disappointing to people who use their Kotak Bank Credit Cards for rent payments. However, a 1% fee is not really that high and the bank might have done it for some reasons.
Previously, almost all the major card issuers were allowing rental payments without any additional fee. But, the trend has changed now and all of them are coming up with new updates on rent transactions. ICICI Bank also announced a similar update last year and HDFC Bank put some restrictions on Reward Points earned on rent payments. Kotak Bank has not put any such restriction as of now and only a nominal convenience fee has been announced. So, you must not be very much disappointed as you can enjoy all other privileges on your Kotak credit cards. If you have any further doubts, let us know in the comment section below!