Why Banks are devalueing your credit card benefits ?

Budding Star

Is it due to recession coming ...  please share your view ? is credit card debt is all time high ?

Global Recession 2023: According to the Centre for Economics and Business Research (CEBR) and several other agencies, a global recession will start in 2023.

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Benevolent Benevolent
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Seriously ... 

So you mean Indian Banks are devaluing because recession is coming in US and EU. 

1. EU and USA is technical already in recession. 2023 is going to be consolidation phase where banks/loan default will take place. 

2. CC in India is getting devalued mainly because of 2 reasons (every tom dick now has a credit card) and lot of people misuse it. ... No if no but here.. its as simple as this 2 reasons and no 3rd reason. 

Finance Ninja Finance Ninja
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Arey bro, credit card user base increasing.

Currently, Banks are spending 2-3 times more to acquire 1 credit card customer.

MDR is not a profitable business.

Since, the credit card user base is increasing, therefore. The operational cost of banks is also increasing.

Note - If you get more than 1% to 1.25% cashback on your credit card, it means banks are paying money from their own pocket (except co-branded credit cards merchant spend).

Baki aur bhi multiple reasons hai. Itna kon time waste karega. 😬

Aur hai. last thing, Airports and flights in India are going to increase a lot in future. So flight companies are spending more money on credit card Air Miles. Abhi flights, hotels wagera me bahot rewards milenge credit cards pe. Obviously, jab tak na India k middle class log train chorr kar flight ka use karna daily habit na banale.

Budding Star Budding Star
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ohh .. ok. understood bro .. thanks😃
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Benevolent Benevolent
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People are misusing. So banks are reducing the benefits. 

Cool Cool
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1) Bank/Business gives good offers until the acquired users later restrictions on benifits

2)The Best Card in the industry now will not same best card after 1-2 years check and downgrade/upgrade time to time

Always check new startup with good funds raised recently they offer more than already settled card.

Correct me if I'm wrong usually this happens

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