Shocking Decrease in SBI's credit Limit!!

[Pujaari]

Hey folks, do yourself a favor and take a peek at your credit limit in SBI cards. You might be in for a rude awakening, like I was. They slashed my limit to such a low amount, I can barely afford a bag of peanuts. Literally.

4L to 14k. Just hoping its some technical glitch. Have mailed to cc anyways

 

[maheshspanicker]

My Click limit is intact as of now. You never know with SBI, but they seem to be targeting customers with the CB card.
Or they are preparing the ground for the rest of us!

 

[SSV]

My Click limit is intact as of now. You never know with SBI, but they seem to be targeting customers with the CB card.
Or they are preparing the ground for the rest of us!

You would be fine provided your CL is not very high

 

[ALOAK]

I got this SMS from SBI

View attachment 23840

Don't it is fraud. Sbi will never send sms to update PAN .

 

[scn]

Marked safe from this limit agenda,

I don't know this will work or not with cashback card in today time if limit is decreased and you need to earn higher cashback with decreased limit. Only que do sbi make fine or not if do transaction like below. Only point is balance never goes higher than your credit limit

4 years ago, when I got a limit 24k, i can't transact more than 24k but in chunks I transact almost 60k-70k in a month with the limit of 24k with no any fine in the same month after bill generation and earn points as per 70k transactions.
whenever I reaches to 20-22k, I make a payment and utilization comes to zero and I'm free to transact again

 

[srikant]

This is not definitely a technical glitch... They may consider reversing any fees imposed as a result of this action if we persist

Fees ka to chhodo, what about the effect on credit report?!

 

[RAMESH BABU N]

Have you ever transferred CL limit of other cards into CB card limit, anytime?

YES. From my STAFF-LTF card to SBI CB - total limit and closed STAFF-LTF last year - when SBI CB was launched. It was a smooth affair.

 

[ALOAK]

Marked safe from this limit agenda,

I don't know this will work or not with cashback card in today time if limit is decreased and you need to earn higher cashback with decreased limit. Only que do sbi make fine or not if do transaction like below. Only point is balance never goes higher than your credit limit

4 years ago, when I got a limit 24k, i can't transact more than 24k but in chunks I transact almost 60k-70k in a month with the limit of 24k with no any fine in the same month after bill generation and earn points as per 70k transactions.
whenever I reaches to 20-22k, I make a payment and utilization comes to zero and I'm free to transact again

With a limit of 40 or 60k if u use 10k or 12k u r using 30% above u r credit usage which will show in cibil. That is why I can't use this sbi vistara prime max is 8k pay it then use it. But can't do that always. Else we too will lose interest in savings

 

[neogen]

My SimplyClick card limit is intact at 5L. I barely use this card, only when there is some sale on Amazon.

Perhaps create a poll to check whose limit was affected and by what amount.

Also, any particular card type that has been targeted, any insights?

 

[Oscar]

Fortunately, my limit remains unaffected

 

[RAMESH BABU N]

Probably, SBICARDS is reducing the CL of those who have RECENTLY taken new card(s) from other issuers. That could be a major reason.
Another reason could be unreasonably high turnover on their (SBICARDS) cards to get max cashback/rewards/benefits - as compared to the competitive card issuers. Limiting their cashback outflow.
Combined CLs of ALL cards could be very high - when compared to the declared income levels in ITRs - remember that IT Dept is using AI tools n they are sharing their info with/from banks now on-the-fly.
One more reason - too many cards - per user.

 

[jack333]

Probably, SBICARDS is reducing the CL of those who have RECENTLY taken new card(s) from other issuers. That could be a major reason.
Another reason could be unreasonably high turnover on their (SBICARDS) cards to get max cashback/rewards/benefits - as compared to the competitive card issuers. Limiting their cashback outflow.
Combined CLs of ALL cards could be very high - when compared to the declared income levels in ITRs - remember that IT Dept is using AI tools n they are sharing their info with/from banks now on-the-fly.
One more reason - too many cards - per user.

Yes i think they can do soft cibil enquiry any time and if we have other high limit cards they can check

 

[Gorillaz]

My limit was 2.5L and now it’s 10k. What I have observed is that they are mostly deceased limit for the CB card. There is second theory as well like many have mentioned about limit transfer. SBI has in many cases changed the limit to the original amount at the time of issue. For me, the CB card was issued with a limit of meagre 10k and I had to transfer some from my other card. I think instead of transferring the limit they should have followed what the axis bank has done.

 

[pprakash11]

What about @jack333 ??

 

[rogerthat]

I don't have a Cashback card. My limits weren't affected at all, though they are not that great to begin with. IRCTC: 1L, BPCL: 60k, Prime: 40k.

 

[jack333]

What about @jack333 ??

Bhai meri utni hi hai 1.74. I think in this round they decreased for those who had transferred limit from other sbi cards. I don't have any other sbi card

 

[SSV]

YES. From my STAFF-LTF card to SBI CB - total limit and closed STAFF-LTF last year - when SBI CB was launched. It was a smooth affair.

Unfortunately, this is the exact use case that they are targeting this time around..Whether it is right or wrong is another topic to discuss on another day.
Please read my previous posts, you will know the reason. There was some abuse happened in this regard by some people , unfortunately you were caught in the middle of this storm. What you could do is, wait for sometime and then ask them to increase your CL based on your income documents

 

[SSV]

My limit was 2.5L and now it’s 10k. What I have observed is that they are mostly deceased limit for the CB card. There is second theory as well like many have mentioned about limit transfer. SBI has in many cases changed the limit to the original amount at the time of issue. For me, the CB card was issued with a limit of meagre 10k and I had to transfer some from my other card. I think instead of transferring the limit they should have followed what the axis bank has done.

This is the main reason and in your case the, is only reason I.e. transfer of CL from another card to CB card..

 

[SSV]

Fees ka to chhodo, what about the effect on credit report?!

Unfortunately, there is nothing you can do about it. Banks have right to increase/decrease CLs at anytime basis their internal policy. But as of now they need customers' consent before increase.
It would be nice to have prior intimation in the case of CL decrease as well.

However, if credit utilization is the main concern for you, then there are two options
1) Apply for CE basis your income documents. The decision in this regard is completely at the discretion of SBI
2) you always have an option of closing the card which I'd making your credit utilization high..

Wait ...

you have another option, pay the bill before the bill generation..

 

[SSV]

Probably, SBICARDS is reducing the CL of those who have RECENTLY taken new card(s) from other issuers. That could be a major reason.
Another reason could be unreasonably high turnover on their (SBICARDS) cards to get max cashback/rewards/benefits - as compared to the competitive card issuers. Limiting their cashback outflow.
Combined CLs of ALL cards could be very high - when compared to the declared income levels in ITRs - remember that IT Dept is using AI tools n they are sharing their info with/from banks now on-the-fly.
One more reason - too many cards - per user.

These are all probable candidates in this CL review decision but todays main theme is transfer of other CC CL to CB card CL. This triggered the downgrade of CL apart from a few other cases..

 

[Gorillaz]

E

This is the main reason and in your case the only reason I.e. transfer of CL from another card to CB card..

This is exactly my thoughts. I’m now thinking of increasing the credit limit via income proof