SBI credit card - sincere request for your valuable suggestions

[Bodhi]

Dear friends,

I was issued an SBI premium card with a very low limit last April. On investigation, it turned out that though I had applied on a card-to-card basis, SBI simply issued the card limit based on my CIBIL report and did not consider the card statements or any other documents such as ITR/salary slips, etc.

The card was then subsequently closed without any usage or activation but SBI is still putting forth "0" as the number of days past the payment date for months now. In fact, even in January 2023 - "0" is depicting.

I have the following queries:

1. Since this was a case of clear misselling - what rights do I have as a consumer?

A. Can I not demand SBI to completely wipe off the SBI card account off my CIBIL report including the hard enquiry?

B. This also has negatively impacted my CIBIL score and caused hindrance in getting a good HL from another Bank. Can I demand compensation for all my hours wasted in trying to get this sorted out and the months that this card has hindered me from getting good pre-approved deals. Which I was receiving earlier and not recently - this, I believe was because of the drop in the CIBIL score and also an erroneous date past due date mentioned as "3" which was subsequently rectified by SBI after a lot of follow-ups.

C. As of today, SBI is unwilling to reactivate the same card account with an enhanced limit but is willing to take a fresh application on a card-to-card basis which was committed earlier. Can I expect an LTF or any other giveaway as a form of compensation from SBI?

2. Ideally, I would like this credit card account to be completely wiped off my CIBIL since I have a clean record. How will this card remaining on my CIBIL report impact my score and other banks' perception of me?

This SBI card's limit is around 15% of my next closest card depicted in my CIBIL report. A friend of mine from the Banking industry mentioned that such a low limit (though closed) may discourage other banks to award me high credit limits and also this account may raise suspicion in other Banker's minds as to why SBI awarded such a low limit to this client who has much higher limits from other banks. The SBI card is the most recent credit card account opened and closed by me. And it is the first account reflecting in my CIBIL report at the moment.


Thank you very much in advance for all your kind suggestions.

 

[SpiesCan'tCatchMe]

My honest opinion would be, don't expect much from SBI. Regarding the limit it's totally upto SBI and their internal criteria to allot the limit.

 

[luciferlucifer is verified member.]

was this your first SBI card?

 

[Bodhi]

was this your first SBI card?

Yes, this was my first SBI card

 

[anish1516]

I already had SBI Elite card with 2.75L limit but when I got my second SBI card I got only 10k limit which was increased just after a month’s usage. So if you wish to use the card I would encourage to use as your limit would get increased soon and frequently.

Now coming to how you can deal with SBI it’s quite tough. Recently I had some charges wrongly billed on my card and I have be mailing them since a month and reached out to the top most escalations but of no use. I have now raised it with RBI as well but don’t have high hopes.

Coming to home loan I am pretty sure that if your CIBIL is above 750 you would get the best rates available from the banks so don’t be too bothered about this small stuff. Most of the people on this forum hold multiple cards (I personally have more than 20 active accounts) but when enquired about home loan I am getting good rates.

 

[Bodhi]

I already had SBI Elite card with 2.75L limit but when I got my second SBI card I got only 10k limit which was increased just after a month’s usage. So if you wish to use the card I would encourage to use as your limit would get increased soon and frequently.

Now coming to how you can deal with SBI it’s quite tough. Recently I had some charges wrongly billed on my card and I have be mailing them since a month and reached out to the top most escalations but of no use. I have now raised it with RBI as well but don’t have high hopes.

Coming to home loan I am pretty sure that if your CIBIL is above 750 you would get the best rates available from the banks so don’t be too bothered about this small stuff. Most of the people on this forum hold multiple cards (I personally have more than 20 active accounts) but when enquired about home loan I am getting good rates.

Thank you very much @anish1516

Very kind of you to have put forth all the above in such a clear and honest manner - I truly appreciate it!

 

[panu24]

I already had SBI Elite card with 2.75L limit but when I got my second SBI card I got only 10k limit which was increased just after a month’s usage. So if you wish to use the card I would encourage to use as your limit would get increased soon and frequently.

I am interested in knowing which second SBI card you got with 10k limit and did you really get limit increased on this second card in one month usage?
I too have second card recently got as Cashback card and willing to have its limit increased. I am using it since last 2 months now.

 

[AsB]

Dear friends,

I was issued an SBI premium card with a very low limit last April. On investigation, it turned out that though I had applied on a card-to-card basis, SBI simply issued the card limit based on my CIBIL report and did not consider the card statements or any other documents such as ITR/salary slips, etc.

The card was then subsequently closed without any usage or activation but SBI is still putting forth "0" as the number of days past the payment date for months now. In fact, even in January 2023 - "0" is depicting.

I have the following queries:

1. Since this was a case of clear misselling - what rights do I have as a consumer?

A. Can I not demand SBI to completely wipe off the SBI card account off my CIBIL report including the hard enquiry?

B. This also has negatively impacted my CIBIL score and caused hindrance in getting a good HL from another Bank. Can I demand compensation for all my hours wasted in trying to get this sorted out and the months that this card has hindered me from getting good pre-approved deals. Which I was receiving earlier and not recently - this, I believe was because of the drop in the CIBIL score and also an erroneous date past due date mentioned as "3" which was subsequently rectified by SBI after a lot of follow-ups.

C. As of today, SBI is unwilling to reactivate the same card account with an enhanced limit but is willing to take a fresh application on a card-to-card basis which was committed earlier. Can I expect an LTF or any other giveaway as a form of compensation from SBI?

2. Ideally, I would like this credit card account to be completely wiped off my CIBIL since I have a clean record. How will this card remaining on my CIBIL report impact my score and other banks' perception of me?

This SBI card's limit is around 15% of my next closest card depicted in my CIBIL report. A friend of mine from the Banking industry mentioned that such a low limit (though closed) may discourage other banks to award me high credit limits and also this account may raise suspicion in other Banker's minds as to why SBI awarded such a low limit to this client who has much higher limits from other banks. The SBI card is the most recent credit card account opened and closed by me. And it is the first account reflecting in my CIBIL report at the moment.


Thank you very much in advance for all your kind suggestions.

A quick suggestion
1) For banks having a great Credit Card profile, like HDFC, Axis, SBI, ICICI, etc., if you have received a less limit, and you close the card, they will simply close the card. In very rare case, like Standard Chartered Bank, threating to close the card, to increase Credit Limit will help.
2) I suggest never close the card based on lower limit, unless you do not want that card. All banks will definitely increase limit at some point, or you can use the card for a few months and then threaten to close.

I have never applied for a card on a card-to-card basis, but I have seen a few friends and other people going for it. It is generally a random value. Sometimes, if your income is high, or customer profile with the bank is high, they may offer 100%+ CL, other times, it will be much less, and depending on CIBIL. You cannot complain to RBI against this.

Once a card is closed, the same card may never be re-activated due to security concern.
Also, once an account is opened with CIBIL, unless it was not your fault, they will never close that account.
- if there was a default in payment, the account is kept in CIBIL record for 5-6 years
- if there was no default in payment, the account is kept with CIBIL for at least 10 years
meaning, banks can see these accounts when they pull your CIBIL for hard enquiry

SBI will not give you LTF card right away, unless you hold a Govt. job and/or have salary account with them.

There will not be a significant impact on account closure. The effect will completely vanish in 6 months, unless the card is the oldest/one of the oldest in your Credit History.

P.S - A current Credit Limit will never decide your upcoming Credit Limits as long as you have good CIBIL and you pay bills on time. Even salary sometimes does not matter. I have seen people earning 14+ lakh and getting CL of 50k, and people like me, who earn less than this, and getting CL of 2.2 lakh.

 

[anish1516]

I am interested in knowing which second SBI card you got with 10k limit and did you really get limit increased on this second card in one month usage?
I too have second card recently got as Cashback card and willing to have its limit increased. I am using it since last 2 months now.

Cashback Card. Also just in case you don't know if you wish you can transfer your other SBI card's limit to your cashback card. Just call customer care and ask them to transfer some limit to new card.

 

[panu24]

Cashback Card. Also just in case you don't know if you wish you can transfer your other SBI card's limit to your cashback card. Just call customer care and ask them to transfer some limit to new card.

Thanks. I did that already but not much to transfer as existing card already have somewhat low limit. As I am using both cards and need to have usage below 30-35%, I got curious to know, how and when Cashback card holders will get limit enhancement.

I can anytime formally apply for limit enhancement to SBI that I know 🙂

 

[Bodhi]

A quick suggestion
1) For banks having a great Credit Card profile, like HDFC, Axis, SBI, ICICI, etc., if you have received a less limit, and you close the card, they will simply close the card. In very rare case, like Standard Chartered Bank, threating to close the card, to increase Credit Limit will help.
2) I suggest never close the card based on lower limit, unless you do not want that card. All banks will definitely increase limit at some point, or you can use the card for a few months and then threaten to close.

I have never applied for a card on a card-to-card basis, but I have seen a few friends and other people going for it. It is generally a random value. Sometimes, if your income is high, or customer profile with the bank is high, they may offer 100%+ CL, other times, it will be much less, and depending on CIBIL. You cannot complain to RBI against this.

Once a card is closed, the same card may never be re-activated due to security concern.
Also, once an account is opened with CIBIL, unless it was not your fault, they will never close that account.
- if there was a default in payment, the account is kept in CIBIL record for 5-6 years
- if there was no default in payment, the account is kept with CIBIL for at least 10 years
meaning, banks can see these accounts when they pull your CIBIL for hard enquiry

SBI will not give you LTF card right away, unless you hold a Govt. job and/or have salary account with them.

There will not be a significant impact on account closure. The effect will completely vanish in 6 months, unless the card is the oldest/one of the oldest in your Credit History.

P.S - A current Credit Limit will never decide your upcoming Credit Limits as long as you have good CIBIL and you pay bills on time. Even salary sometimes does not matter. I have seen people earning 14+ lakh and getting CL of 50k, and people like me, who earn less than this, and getting CL of 2.2 lakh.

Thank you very much @ashishB

Very kind of you to have put forth all the information, I appreciate it 😊

 

[Bodhi]

See my comments inline to your questions

It is not misselling as per your post, did they promised any limit? did they promised particular card variant and didn't provided (even this is not misselling because t&c clearly states they can change card variant if they found you're not suitable for that card based on their internal criteria).

Regarding Cibil: Just keep maintaining 750+ and pay-on time, remaining will adjust within time - do not put much stress on that.

Loans: If you have good CIBIL score and low limit on unsecured cards, you'll always get better loan offers. Regarding offers, ignore CIBIL offers those are useless - apply directly and let us know which bank says because of this SBI card they're rejecting your loan application because loan offer always depends on CIBIL score (so keep maintain >750) and your income/debt ratio.

Actually here nothing went wrong - you applied the card and you got it. Low limit is your problem, if you have sent mail to nodal they might ask income docs and increase limit or if you have waited 6 months, you can apply LE.

What is your "(total CIBIL limit)/(your income)", and what limit do you think you deserve?

Thank you @helloworld

 

[deep@vie]

Dear friends,

I was issued an SBI premium card with a very low limit last April. On investigation, it turned out that though I had applied on a card-to-card basis, SBI simply issued the card limit based on my CIBIL report and did not consider the card statements or any other documents such as ITR/salary slips, etc.

The card was then subsequently closed without any usage or activation but SBI is still putting forth "0" as the number of days past the payment date for months now. In fact, even in January 2023 - "0" is depicting.

I have the following queries:

1. Since this was a case of clear misselling - what rights do I have as a consumer?

A. Can I not demand SBI to completely wipe off the SBI card account off my CIBIL report including the hard enquiry?

B. This also has negatively impacted my CIBIL score and caused hindrance in getting a good HL from another Bank. Can I demand compensation for all my hours wasted in trying to get this sorted out and the months that this card has hindered me from getting good pre-approved deals. Which I was receiving earlier and not recently - this, I believe was because of the drop in the CIBIL score and also an erroneous date past due date mentioned as "3" which was subsequently rectified by SBI after a lot of follow-ups.

C. As of today, SBI is unwilling to reactivate the same card account with an enhanced limit but is willing to take a fresh application on a card-to-card basis which was committed earlier. Can I expect an LTF or any other giveaway as a form of compensation from SBI?

2. Ideally, I would like this credit card account to be completely wiped off my CIBIL since I have a clean record. How will this card remaining on my CIBIL report impact my score and other banks' perception of me?

This SBI card's limit is around 15% of my next closest card depicted in my CIBIL report. A friend of mine from the Banking industry mentioned that such a low limit (though closed) may discourage other banks to award me high credit limits and also this account may raise suspicion in other Banker's minds as to why SBI awarded such a low limit to this client who has much higher limits from other banks. The SBI card is the most recent credit card account opened and closed by me. And it is the first account reflecting in my CIBIL report at the moment.


Thank you very much in advance for all your kind suggestions.

After taking customer consent,SBIcards makes a CIBIL enquiry & then their Algo shows the surrogate for thar particular customer & if it shows only KYC(CIBIL) basis then none of the supporting docs will be considered & limit will be assigned as per KYC only.I never had any SBI card,last month only applied for cashback card got it on KYC only basis with limit 2.15l.