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

 

[SSV]

This statement doesn't make any sense.
Credit is a liability and should not be directly linked to one's annual income as 1:1. The income should only be indicative. Other things considered are his overall wealth and the behavioral responsibility of paying off any loan or other debt.

As per your statement, No loan greater than a person's annual income should be granted.

+1, well said sir...this is exactly in my mind and tired of typing lengthy posts for what could be an unfruitful discussion

 

[RAMESH BABU N]

I presume that the focus will shift from CL to Actual Usage - by all banks - as data integration will take place - slowly but surely - as IT Dept is NOW using AI tools to look for such gaps.
If usage is at 10L, on a salary income of only 5L, then it is a sure way of getting IT notices. Irrespective of multiple CLs.
Within 1 or 2 years, there would be many more unpalatable changes. Cashback may appear in AS26/TRACES shortly.

 

[deep@vie]

This statement doesn't make any sense.
Credit is a liability and should not be directly linked to one's annual income as 1:1. The income should only be indicative. Other things considered are his overall wealth and the behavioral responsibility of paying off any loan or other debt.

As per your statement, No loan greater than a person's annual income should be granted.

Agreed but it's unsecure one so banks can start reviewing it.E.g. they can cap limit at 3×net monthly pay or something like that.
ITD neither has intentions nor staff/infrastructure to do it atleast as of now.
They haven't even processed my return even after 40days of filing.

 

[deep@vie]

I presume that the focus will shift from CL to Actual Usage - by all banks - as data integration will take place - slowly but surely - as IT Dept is NOW using AI tools to look for such gaps.
If usage is at 10L, on a salary income of only 5L, then it is a sure way of getting IT notices. Irrespective of multiple CLs.
Within 1 or 2 years, there would be many more unpalatable changes. Cashback may appear in

I presume that the focus will shift from CL to Actual Usage - by all banks - as data integration will take place - slowly but surely - as IT Dept is NOW using AI tools to look for such gaps.
If usage is at 10L, on a salary income of only 5L, then it is a sure way of getting IT notices. Irrespective of multiple CLs.
Within 1 or 2 years, there would be many more unpalatable changes. Cashback may appear in AS26/TRACES shortly.

I guess it's something like there was chip on 2000 Rs note.
I know many people who pays a bill of 20l+ every year & either files nil tax ITR or not at all.
Sir, I guess you being too optimistic of our institutions.

 

[SSV]

In the first place,
There is a discussion whether Cashback is taxable or not ? . How do we treat this cashback is dependent on various factors and it seems there is no single definitive answer right now...

For example:

Taxation of Cashback

Check out the taxation of cashback and how you can deal with taxes applicable on Instant cashbacks and Deferred cashbacks or cashback referrals.

cleartax.in

Cashbacks: Whether An Invitation To Income Tax?

We often get tempted by attractive offers and cashbacks offered by various vendors when we make digital payments. Online shopping websites and some stores are offering cashbacks on use of certain credit cards or mobile wallets to pay for the goods.

taxguru.in

 

[imdjay]

Agreed but it's unsecure one so banks can start reviewing it.E.g. they can cap limit at 3×net monthly pay or something like that.
ITD neither has intentions nor staff/infrastructure to do it atleast as of now.
They haven't even processed my return even after 40days of filing.

Some calculation is already there to decide one's Credit limit. it mostly works.
With the income criteria, banks also consider a person's spending behavior and how soon he/she pays the due.

Making it a rigid rule of 2x or 3x of income will not be right. A person can spend any amount unless he pays the due, how he is doing it, doesn't matter to Bank. But it matters to ITD. They can take the data from Banks and scrutinize it. However, it is not feasible nor fair to restrict credit solely based on income, as a person's worth cannot be solely determined by their income.

 

[RAMESH BABU N]

I guess it's something like there was chip on 2000 Rs note.
I know many people who pays a bill of 20l+ every year & either files nil tax ITR or not at all.
Sir, I guess you being too optimistic of our institutions.

Last year's AS26 and this Year's AS26 - just have a good look at them. You will know.

Last year's Rs 400 Refund - Rupees 12 as interest in it - is now part of this year's AS26.

When 12 Rupees is included, do you expect Thousands of Cashback will escape ? Be practical. And, be realistic. You might sound optimistic but be prepared.

 

[Wealth is my birth right!]

Did you mess around with your CB cards limit by transferring some limit from any other card sir ?

Not limit sharing since I have only 1 card from sbi
I used card to get good cb before it devalued
May be that’s a triggering thing

 

[SSV]

Not limit sharing since I have only 1 card from sbi
I used card to get good cb before it devalued
May be that’s a triggering thing

Could be, they may be looking for reducing the CB costs as over utilization this CB card will definitely have negative consequences for them..
Hence I use this card where I couldn't get 5% CB back using other cards , for instance using APAY card in Amazon not the CB card..
Still I earned around 28K CB on about 7Lakhs spends with a 2.70 L CL..
My CL is still intact.
Is your CB more than this??

 

[deep@vie]

Last year's AS26 and this Year's AS26 - just have a good look at them. You will know.

Last year's Rs 400 Refund - Rupees 12 as interest in it - is now part of this year's AS26.

When 12 Rupees is included, do you expect Thousands of Cashback will escape ? Be practical. And, be realistic. You might sound optimistic but be prepared.

Even AIS/TIS was introduced in Nov,21.
I'm very much practical & realistic but you please don't be over optimistic otherwise you'll be disappointed.
It's India & here things happen on their own speed.
I'm well prepared & have ledger of every single penny earned/spend in last 10yrs.
Anyways thanks for your concern.

 

[Shrinit Padwal]

Any idea what this is - encash inline? New option got added today morning

 

[deep@vie]

Any idea what this is - encash inline? New option got added today morning

Encash Inline,a loan will be within credit limit.
Encash is out of credit limit.

 

[Wealth is my birth right!]

Could be, they may be looking for reducing the CB costs as over utilization this CB card will definitely have negative consequences for them..
Hence I use this card where I couldn't get 5% CB back using other cards , for instance using APAY card in Amazon not the CB card..
Still I earned around 28K CB on about 7Lakhs spends with a 2.70 L CL..
My CL is still intact.
Is your CB more than this??

Yes my CB is more than this
Initially when this cb card came there was amazon wallet load bug existed so all other cc bills I paid via sb card with 5%

 

[SSV]

Yes my CB is more than this
Initially when this cb card came there was amazon wallet load bug existed so all other cc bills I paid via sb card with 5%

In this case, you already made big moolah by exploiting this CB card from its inception... poor SBI...
However, the party has to stop somewhere to everyone...
I know you have no regrets..

 

[SSV]

Today I received this Spend Based offer for Cashback SBI.

Is it a mere coincidence or SBI sent this offer to everyone after reducing their Cashback Card limits ?

All offers to you only... where are our offers?? you are stealing all our offers....I will complain to the Head Master..

 

[VISHESH_BANSAL]

All offers to you only... where are our offers?? you are stealing all our offer....I will complain to the Head Master..

Ask them to reduce your CL.
Then only, SBI may consider you for Spend Based offer.

 

[SSV]

Ask them to reduce your CL.
Then only, SBI may send you Spend Based offer.

NO.. NO... I don't want that stick... ( or ,shall I have to say AXE)...
I am happy now, I am withdrawing my complaint...I will just keep quite and enjoy my lolly...

 

[db24]

FLASH

FLASH

FLASH

LIMITS RESTORED......


Check....

Bakwas

 

[SSV]

Bakwas

+1, rightly said.
It was only user specific upon own request , not a mass update using the script as it was intially claimed..
I kept on insisting from the beginning that after the storm is over, we can raise a request to increase our CL to an appropriate level based on our credit profile if our limit was crashed to an abysmal level...

 

[SSV]

+1, rightly said.
It was only user specific upon own request , not a mass update using the script as it was intially claimed..
I kept on insisting from the beginning that after the storm is over, we can raise a request to increase our CL to an appropriate level based on our credit profile if our limit was crashed to an abysmal level...

Bakwas

There will always be a way to get things done.. Sometimes it may take time and quite a bit of energy... That should not deter us from achieving our target.
We are all part of a system and need to live with it in a harmonous way.
This forum facilitates to achieve this thru exchanging our views and experiences here..
In doing this, we may stumble a bit with different people expressing different things in a different way, even then we need to be as much inclusive as possible..
Patience coupled with some deligence is the mantra here..