ICICI Bank Credit Cards Set for Major Devaluation Starting November 15, 2024

ICICI Bank has recently devalued its credit cards, joining the increasing number of banks that are making similar changes. This devaluation is one of the most significant in recent times and affects all ICICI Bank credit cards, from the basic Platinum Chip to the super-premium Emeralde Private. While most changes like capping on utility bill payments or capping on rewards for certain restricted categories are becoming common among credit card issuers in India, some put forth for implementation by ICICI Bank will directly impact cardholders across the board. Weather changes to late payment charges, airport lounge access, capping on bill payments, or fuel surcharge waivers, massive devaluating changes have been made to ICICI Bank Credit Cards, which shall be implemented on 15th November 2024.

One of the most notable and surprising changes is the increase in the required spending amount for airport lounge access, which has now been raised to ₹75,000 each quarter. In simple terms, all ICICI Bank credit cardholders (except for ICICI Emeralde and Emeralde Private Metal cardholders) will now need to spend ₹75,000 in the preceding quarter to be eligible for complimentary airport lounge access in the next quarter. One might even joke that this move alone would lead to reduced foot traffic at airport lounges across the country, as most people would not bother to spend so much on ICICI Bank credit cards.

Spend ₹75,000 to Get Free Airport Lounge Access With ICICI Bank Credit Cards

Now, all ICICI Bank credit cardholders, except for those holding the super-premium ICICI Emeralde and Emeralde Private Metal cards, will need to spend ₹75,000 in the previous quarter to be eligible for lounge access in the next calendar quarter. This also applies to the new Adani One co-branded credit cards. This is a disappointing move by ICICI, as it seems unreasonable to expect customers to spend this much just to be eligible for airport lounge access.

Spa Access Discontinued

The spa access offered through DreamFolks will now be discounted. Previously, the following cards could be used for this benefit: ICICI Bank Sapphiro Visa Credit Card, ICICI Bank Emeralde Credit Card, ICICI Bank Emeralde Private, ICICI BANK DIAMANT WORLD CREDIT CARD, Emirates ICICI Bank Sapphiro Credit Card, Emirates ICICI Bank Emeralde Credit Card, ICICI Bank Adani One Signature Credit Card, ICICI Bank Adani One Platinum Credit Card, and MakeMyTrip ICICI Bank Signature Credit Card. However, they will no longer provide this benefit.

Additional Fee for Add-On Cardholders

Now, ICICI add-on credit cardholders will pay an additional fee of ₹199. This fee applies to all cards and must be paid annually. Even this move is quite shocking, as card issuers usually offer the first, second, or even the third supplementary credit card for free.

1% Fee on Third Party Education Payments

From 15 November, a 1% fee will be charged on all third-party education payments made through applications and platforms like CRED, etc., with ICICI Bank credit cards. All education payments made directly to schools and colleges, including international education payments, will not be affected.

Changes to ICICI Emeralde and Emeralde Private Credit Card

The spend threshold for reversing the ICICI Emeralde and Emeralde Private Credit Card annual fee has been revised to ₹10 lakh per annum, down from the current criteria of ₹15 lakh per annum.

Additionally, the Forex markup for both of these cards has been revised to 2% for international spending. In addition to these changes, the ICICI Bank Emeralde Mastercard Metal Credit Card will no longer earn reward points for government transactions.

Capping on Reward Earning for Grocery/Insurance/Utility Spends

ICICI Bank has introduced new reward earnings caps on certain categories, such as groceries, insurance, and utility spending.

1% Fee on High Fuel and Utility Spends

Rent/Government/Education Now Excluded for Calculation of Annual Fee Reversal

Annual fee reversal and milestone benefits will now exclude rent, government, and education spending. This means that all spending on these categories will not be considered for waivers or milestone benefits. This shall be applicable to all ICICI Bank credit cards.

Changes to Late Payment Charges

Let’s have a look at the new structure for late payment charges.

The complete list of all the new changes is available on the official ICICI Bank website.

Bottom Line

Starting from November 15, 2024, ICICI Bank credit card holders should be aware of the new changes to the features of their cards. These changes include additional charges, restrictions on spending categories, increased spending criteria for free airport lounge access, and revisions to interest rates. All ICICI Bank credit cards will be affected in some way by these changes.

ICICI Bank credit cards already have a basic reward rate and limited features, making them a less preferred choice for many people. With these latest changes, the cards may become even less appealing. When compared to other issuers such as HDFC, SBI Card, AmEx, or IndusInd Bank, ICICI Bank credit cards are at a disadvantage.

One positive aspect of the latest changes is that the super-premium ICICI Emeralde Private card will remain almost the same, with only a few minor adjustments. Additionally, the popular Amazon Pay ICICI Credit Card has not been affected by these changes. However, those who frequently make commercial payments with their credit cards or seek airport lounge access will be impacted the most.

If you are an ICICI Bank credit card holder, we would like to hear your thoughts on these latest changes. Please share your views on the recent credit card adjustments made by ICICI Bank in the comments below.