SBI Credit Cards: Big Changes from July 15 - New Payment Rules, No Free Air Accident Cover

SBI Card has announced big changes for its credit cardholders starting July 15, 2025. These updates will affect how much you have to pay each month and what benefits you get on your cards.

New Minimum Amount Due (MAD) Calculation

Starting July 15, the minimum amount due on your credit card will be calculated differently:

• 100% of GST
• 100% of EMI amounts
• 100% of fees and other charges
• 100% of finance charges
• Overlimit amount (if any)
• Plus 2% of the remaining balance

Earlier, paying a small portion helped avoid higher charges. Now, you will need to pay a much higher amount or your outstanding dues will keep growing quickly.

New Payment Settlement Order

The way your payments get adjusted will also change. From July 15, whenever you pay, your money will be used in this order:

1. GST
2. EMI amounts
3. Charges and fees
4. Finance charges
5. Balance transfers
6. Retail purchases
7. Cash advances

This means if you have pending fees or interest, your payments will go towards those first, and interest on your actual purchases will keep adding up.

Air Accident Insurance Being Removed

From July 15 and August 11, the free air accident insurance will be discontinued on many SBI credit cards:

• ₹1 crore cover on cards like UCO Bank SBI Card ELITE, Central Bank of India SBI Card ELITE, KVB SBI Signature Card, and others will end.
• ₹50 lakh cover on cards like SBI Card PRIME, Platinum Cards from several partner banks, and others will also be discontinued.

Past Changes to Card Benefits

Earlier this year, SBI Card also removed or stopped some card benefits:

• March 28, 2025: Yatra SBI Credit Card was stopped.
• April 1, 2025: Free flight tickets on Club Vistara SBI Cards ended, but renewal fees were waived.
• March 11, 2025: Etihad Guest SBI Cards were discontinued completely.

What Should You Do Now?

If you use any of these cards, it’s time to review their features, costs, and benefits. With key benefits like air accident cover ending and payment rules tightening, you should decide if you want to keep, upgrade, or close your card.

Also Read: Best Fertilizer Stocks in India For July 2025! 

Conclusion

These upcoming changes will impact how much you pay and what you get from your SBI credit card. Make sure you understand the new rules so you can plan your payments and avoid extra charges. If needed, explore other card options that better suit your needs.

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