IDFC First Bank has made some new changes to its credit card payments and fee structure, which will be implemented starting from the August 2024 statement. These changes mainly revolve around the Minimum Amount Due (MAD) and Payment Due Date. The MAD has been reduced from 5% to 2%, and the Payment Due Date has been changed from 18 to 15 days. All of these changes are expected to generate more financial gain for the bank. IDFC First Bank credit cardholders should take note of these new changes to avoid incurring any additional charges in the upcoming months.
Revised Payment Due Date
The Payment Due Date on IDFC First Bank Credit Cards shall now be 15 days from the statement generation date rather than the previous 18 days. This shall be implemented from the August statement cycle.
Kindly note that the standing instructions will be automatically executed following the revised payment due date.
Revision in Minimum Amount Due (MAD) Payment
The Minimum Amount Due (MAD) is the minimum amount that you must repay on your credit card bill every month to avoid late payment fees or overdue charges. MAD is typically a percentage of the total amount due for the specific billing cycle. With the recent changes, the MAD is being reduced from 5% to 2% of the principal amount payable from August 2024.
Those looking for the official notification by IDFC First Bank can view it here.
Bottom Line
These changes can directly impact IDFC First Bank Credit Cardholders. Earlier customers enjoyed 18 days of interest-free credit after statement generation but now the payment due date is set at 15 days after statement generation. The minimum amount due has been reduced from 5% to 2%. While some may see this as a positive change, it actually means that a larger amount will be subject to interest charges, especially for those who intend to revolve credit or miss their payment due date.