With effect from 1st day of September, there comes some major changes in the rules related to personal finances and taxes, regarding the issuance of credit cards, Aadhaar updates and other tax payment deadlines.
Along with this RBI has intimated that card issuers are prohibited from signing exclusive contracts with card networks. Therefore, cardholders can freely choose their card network either at the time of issue or later. There is also a change in the policy of Fixed Deposit Schemes offered by banks which will benefit people.
Aadhaar, GST and Tax
The Unique Identification Authority of India has announced that the free Aadhaar documents updating offer has been extended by three months till September 14, earlier it was June 14. GST taxpayers will mandatorily have to provide valid bank details within 30 days of registration. The due date of issuing the TDS Certificate for tax deducted under section 194-IA in July, 2024 is to be noted as September 14, 2024.
Also Read | Is Union Budget 2024-25 Really Empowering Growth
Changes will influence:
- How reward points are earned and redeemed
- Payment deadlines
- Minimum balances
RuPay credit cards
On above mentioned cards the reward point system will be improved as per the order of the National Payments Corporation of India (NPCI). It is said they will earn the same reward points as other payment service providers for UPI transactions.
The step is taken to ensure the usage of credit cards using the reward points which previously had disadvantages in this context.
HDFC Bank caps
New caps on reward points will be implemented in case of HDFC Bank. The points gained from utilities and telecom transactions are capped at 2000 each calendar month. Also, no reward points will be rewarded for school payments made via CRED, MobiKwik or any third-party app.
However direct payments via Point-of-Sale devices or websites of educational institutions will continue to accrue points. This policy stands valid for all HDFC cards including premium cards such as Swiggy and Tata Neu.
IDFC First Bank
Beginning of the September will bring about a lot of changes in IDFC First Bank’s credit card payment as cardholders will now have 15 days instead of 18 days (which earlier used to be case) to settle their bills
Minimum Amount Due (MAD) will see a cut from 5% to 2% of the main amount. This means more interest will have to be paid if consumers do not pay more than the MAD.
Credit card rules by RBI
These rules will come into effect from September, 2024. The Reserve Bank of India (RBI) issued a directive to banks, instructing them not to enter into exclusive contracts with card networks that limit their ability to work with other networks. This decision was taken after a view that spotted an absence of consumer-centric flexibility in certain card network and issuer agreements. This will come into effect from September 6, 2024 after a circular stating the same was issued six months ago.
Fixed Deposit Schemes
IDBI Bank
IDBI Bank extends the validity date for Utsav Fixed Deposits (FDs) across various tenures, including 300 Days, 375 Days, 444 Days, and a new addition of 700 Days to the existing list.
The bank offers 7.05% (regular citizen), 7.55% (senior citizen) of interest rate for Utsav FDs maturing in 300 days. Likewise, customers can enjoy an interest rate of 7.15%, while senior citizens are entitled to earn 7.65% for those Utsav FDs maturing in 375 days.
IDBI Bank has also extended the validity date for the special FD deadline to September 30, 2024.
Indian Bank
Indian Bank is offering 7.05% interest rates to the general public, 7.55% to seniors, and 7.80% to super senior citizens on its Ind Super 300 Days. The last date has been extended to September 30, 2024.
Punjab and Sind Bank
Punjab and Sind Bank offers an interest rate of 6.30% on the Special FD of duration of 222days. Moreover, the bank provides a competitive 7.15% interest rate on special deposits with a duration of 333 days. The deadline for availing these schemes is September 30, 2024
Also Read | 71% Intraday Traders Lose Money, 76% Under 30 Face High Loss
State Bank of India
The Amrit Kalash Scheme by SBI is active till September 30,2024. SBI customers can enjoy an interest rate of 7.10% on the Amrit Kalash scheme with a tenure of “400 days” from 12th April 2023. Senior Citizens may avail an interest rate of 7.60% in this scheme.
The We Care scheme, which is applicable for fresh deposits and renewal of maturing deposits has also been extended till September 30, 2024. Beneficiaries will enjoy an additional premium of 50 basis points (bps) on top of the existing 50 bps for the general public, making it a total of 100 bps above the card rate.
About the Author
Mr. Anubhav Aggarwal is a commerce and CS Student. He carries a keen interest in the field of Banking, Finance and Politics. He has a passion for writing and shows a positive attitude towards learning and gaining experience.
