The End of 'Lifetime Free'? ICICI's Big Change to Credit Cards 😲

[helloworld]

The statement means:

1. Same Pricing Across Networks: Whether your card is on a Visa, MC, or other network, the pricing will be the same, unless the bank specifically mentions otherwise.
2. No Joining/Annual Benefits for LTF Cards: If your card has no joining fee or annual fee, then you won't receive any special joining or annual benefits (like welcome bonuses or rewards).
3. No Fees Charged for LTF Cards: If you were issued a lifetime free (LTF) card (no joining/annual fee), no fees will be applied during your statement cycles.
4. Possible Future Changes: Although your card is currently LTF, the bank has the right to change its policy and introduce an annual fee in the future. They are required to inform you in advance, as per regulatory guidelines.

Credit card companies are slowly making changes that could impact how we look at "Lifetime Free" (LTF) cards. Over the past few years, we've seen a number of trends that are quietly squeezing more out of cardholders.

• Surcharges on Various Categories:
  • Banks are now adding surcharges on transactions like rent payments, government-related spends, and utility bill payments, where they used to be free earlier.
    
    
• Add-on Fees for Previously Free Services:
  • What used to be free add-on cards for family members are now being charged by card issuers. Add-on fees are being applied, even for existing customers who were previously exempt.
    
    
• Spend Requirement for Lounge Access:
  • Lounge access, which was previously complimentary with premium cards, now often comes with a spend requirement. This means if you don’t meet a minimum spend threshold, you may not qualify for free lounge visits anymore.
    
    
• Spend Requirement for Annual Fee Waivers:
  • Cards that offer annual fee waivers based on spends are now excluding certain categories like fuel, utility payments, Insurance, or wallet reloads. This makes it harder for users to meet the spend threshold and get the annual fee waived.
    
    
• Subscription-Based Rewards for Specific Categories:
  • Cards are shifting towards subscription-based rewards, where additional benefits are only available for based on subscription for those categories. This complicates rewards for users and forces them to track specific subscriptions or offers or spend more.
    
    
• Discontinuing Cards to Promote New Ones:
  • Credit card companies are now discontinuing popular cards and pushing users to “upgrade” to newer, often more expensive options. They lure users with added benefits but sneak in higher annual fees and stricter milestone-based waivers.
    
    
• Frequent Devaluations:
  • We’re seeing points or rewards get devalued frequently. So, even if you’re spending more, the value you get in return keeps diminishing.
    
    
• And Now… LTF Cards Are No Longer LTF :
  • The latest bombshell, and possibly the biggest one for LTF cardholders: ICICI started hinting that they may start charging annual fees on LTF cards, with the necessary intimation.

Source: https://www.icicibank.com/managed-assets/docs/personal/cards/mitc_cc.pdf

---

What Does This Mean for LTF Cardholders?​

Gone are the days when LTF was truly lifetime free. If banks like ICICI continue this trend, other issuers might follow suit. Those who’ve relied on getting LTF cards for the long term might have to start paying annual fees, unless the bank decides to retain the benefit.

So, if you’re someone who has always aimed for “Lifetime Free” cards, it’s time to re-evaluate. It may be smarter to focus on cards with better rewards and benefits, even if they come with a fee, rather than chasing after LTF deals that could lose their advantage in the long run.

Since you have an LTF card (with no joining or annual fee), you're not being charged these fees now. However, the bank reserves the right to introduce an annual fee in the future with this notification, but they must notify you ahead of time if that happens.

---

What do you think about this shift? Could this be the end of LTF as we know it?

 

[s1t2y3a3m6]

So what should we expect from ICICI ? Amazon pay card will consider as a premium credit card and levied membership fee ?

 

[helloworld]

So what should we expect from ICICI ? Amazon pay card will consider as a premium credit card and levied membership fee ?

If they decide to, ICICI can simply send out a notice like:

"Effective 17th November'25, an annual fee will be applicable for this card. If you wish to continue using it, kindly pay the fee. Otherwise, you can opt for card closure."

It's as simple as that.

But this is not for amazonpay card, its for like 'Sapphiro obtained as LTF or Rubyx or Coral by various means', more specifically priced cards obtained as LTF.

 

[Raghav2006]

So what should we expect from ICICI ? Amazon pay card will consider as a premium credit card and levied membership fee ?

Well, if they're gonna charge for every card they offer, they gotta add some lounge access to apay and it will be their most premium card XD.

 

[shrewdoc]

So what should we expect from ICICI ? Amazon pay card will consider as a premium credit card and levied membership fee ?

You're already paying a membership fee to get that 5% on Amazon Shopping.

Amazon Pay card was never a true LTF card. It came with strings attached since inception.

 

[Swastik]

People will start closing cards,
Popularity of credit cards overall will be reduced,
Not good for industry at large

 

[Raghav2006]

People will start closing cards,
Popularity of credit cards overall will be reduced,
Not good for industry at large

If they really get rid of LTF, most people will switch to their most basic cards just for online discounts as their cards are not useful for their rewards anyways and people used to take it for collection and free upgrades.

 

[BVCBVC is verified member.]

View attachment 72283

The statement means:


Credit card companies are slowly making changes that could impact how we look at "Lifetime Free" (LTF) cards. Over the past few years, we've seen a number of trends that are quietly squeezing more out of cardholders.

• Surcharges on Various Categories:
  • Banks are now adding surcharges on transactions like rent payments, government-related spends, and utility bill payments, where they used to be free earlier.
    
• Add-on Fees for Previously Free Services:
  • What used to be free add-on cards for family members are now being charged by card issuers. Add-on fees are being applied, even for existing customers who were previously exempt.
    
• Spend Requirement for Lounge Access:
  • Lounge access, which was previously complimentary with premium cards, now often comes with a spend requirement. This means if you don’t meet a minimum spend threshold, you may not qualify for free lounge visits anymore.
    
• Spend Requirement for Annual Fee Waivers:
  • Cards that offer annual fee waivers based on spends are now excluding certain categories like fuel, utility payments, Insurance, or wallet reloads. This makes it harder for users to meet the spend threshold and get the annual fee waived.
    
• Subscription-Based Rewards for Specific Categories:
  • Cards are shifting towards subscription-based rewards, where additional benefits are only available for based on subscription for those categories. This complicates rewards for users and forces them to track specific subscriptions or offers or spend more.
    
• Discontinuing Cards to Promote New Ones:
  • Credit card companies are now discontinuing popular cards and pushing users to “upgrade” to newer, often more expensive options. They lure users with added benefits but sneak in higher annual fees and stricter milestone-based waivers.
    
• Frequent Devaluations:
  • We’re seeing points or rewards get devalued frequently. So, even if you’re spending more, the value you get in return keeps diminishing.
    
• And Now… LTF Cards Are No Longer LTF :
  • The latest bombshell, and possibly the biggest one for LTF cardholders: ICICI started hinting that they may start charging annual fees on LTF cards, with the necessary intimation.

Source: https://www.icicibank.com/managed-assets/docs/personal/cards/mitc_cc.pdf

---

What Does This Mean for LTF Cardholders?​

Gone are the days when LTF was truly lifetime free. If banks like ICICI continue this trend, other issuers might follow suit. Those who’ve relied on getting LTF cards for the long term might have to start paying annual fees, unless the bank decides to retain the benefit.

So, if you’re someone who has always aimed for “Lifetime Free” cards, it’s time to re-evaluate. It may be smarter to focus on cards with better rewards and benefits, even if they come with a fee, rather than chasing after LTF deals that could lose their advantage in the long run.

Since you have an LTF card (with no joining or annual fee), you're not being charged these fees now. However, the bank reserves the right to introduce an annual fee in the future with this notification, but they must notify you ahead of time if that happens.

---

What do you think about this shift? Could this be the end of LTF as we know it?

Very strange one. Seems all banks might follow this.

Bro @HumorSimpson the end is near GIF!!

 

[BVCBVC is verified member.]

If they decide to, ICICI can simply send out a notice like:

"Effective 17th November'25, an annual fee will be applicable for this card. If you wish to continue using it, kindly pay the fee. Otherwise, you can opt for card closure."

It's as simple as that.

But this is not for amazonpay card, its for like 'Sapphiro obtained as LTF or Rubyx or Coral by various means', more specifically priced cards obtained as LTF.

True might be for all gemstone cards.

 

[VISHESH_BANSAL]

I know People who hold More than 12 ICICI CARDS just because they are LTF🤣 and I think this is the Reason , ICICI added this Clause in MITC.

They have All Network Variants of a Particular Card Varaint like Gemstone Cards on All Card Networks i.e, Amex/Visa/Mastercard/Rupay 🤣

Do People really need 4 LTF Cards that too of same Variant under different Networks ?

When People will get obsessed with LTF Cards like this, Holding All Network Variants of Same Card as LTF, then Why Bank Should not change the Pricing to Chargeable ?

But Bank should Allow any One Network as LTF and other Network Varaint of Same Card Chargeable If Cardholder want to hold the same due to obsession or any other Reason

 

[cardio_guy]

I think the gamechanger will be subscription based plans. A basic LTF card will have no benefits attached to it.
Like how we used to subscribe/recharge for DTH pay-to-use channels to access paid channels, there will be monthly subscription plans to enjoy various benefits - like cashbacks on various categories, lounge access etc. The subscription amount can be as low as 49 rs per month/quarter or so.

Already many cards are moving in this direction - AU Lit, ICICI Mine, etc. More banks will come this way.
Also, it is easier to plug in all other restrictions with this. Like spend limits and surcharges.

 

[Andy1]

It seems ICICI slowly wants to close their credit cards subsidiary.😉

 

[Andy1]

It seems, now all companies are waiting for why I burnt my XYZ credit card videos.

 

[j_s]

This is nothing more than legal housekeeping.

 

[VISHESH_BANSAL]

Just to mention at the very beginning - I don't hold Icici Cards.

Now, imagine if you had purchased a Hyundai Venue 3 years ago. And at tht time the dealer had an offer of free accessories; so you bought every accessory that you could lay your hands on; just cause it's free. Now 3 years later, the Dealer realizes his Business mistake and comes to you with a Bill of ₹80,000 for all the accessories you bought for free, saying it's no longer free. How the hell does that even work out??

You are comparing Sale of Goods and Sale of Credit Cards.🤦‍♂️

I understand that Banks also need to do business; but nobody had told them to distribute LTF cards left, right and center. Especially Icici giving multiple variants of the same Card for free. Their complete failure of Business policy has led them into a situation like this.

ICICI Is at Fault too. No Doubt

I do not think Purpose of that Clause is
to change the Pricing of the only LTF Card a Customer is holding.

But the High chances are there that ICICI may Change the Pricing who is holding Mutiple LTF Cards of same Variant under different Networks. They can not suddenly choose to Cancel all the Mutiple Cards they issued earlier on their own, so Best option is to make them Chargeable , and let Customer Opt for closure himself. Just like they made Add on Card Chargeable just to get rid of Ocassionally used Add on Cards.

 

[HumorSimpson]

Very strange one. Seems all banks might follow this.

Bro @HumorSimpson the end is near GIF!!

 

[keerthirahul123]

 

[RAMESH BABU N]

I expect shortly

All Banks may follow a common rule - ONLY ONE LTF CC, per customer.

All additional CCs would be charged by that Bank. Including Add-Ons.

No LEs for at least 1 yr. Or, even 2 yrs.

Non-Activation of a given CC will adversely affect CIBIL - All Banks may refuse such a customer for 1yr (or even 2 yrs).

Non-usage of CCs might result in reduction of Limits.

 

[Swastik]

Here's my take on this,

ICICI has recently devalued all its basic and premium cards, even Rubyx and Sapphiro are not worth paying anything anymore

But Emerald PVC is still quite good LTF(Unlimited Domestic lounges for both primary and add on, Unlimited international lounge for primary, without any spend criteria)
And plenty have gotten their hand on Emerald PVC LTF through either corporate tie up, high salary, high trv, contacts, etc.
That's a loose end as far as bank is concerned,
And that's why bank is planning to convert some of those low performing card to paid

Mind you this is all just conspiracy theory untill LTF Emeralde holders actually start reporting something

 

[bing1309]

I would appreciate this move since people just going for freebies and discounts. How will banks make money. pay a minimum fee and keep the card this restores little bit glory in for a credit card. By the way joining and annual fees will itself make many customers to not take a credit card. Or else only devaluation happens and even who wants to truly spend are offended in getting something out of card. So it's a good move and no one can stop banks in charging fees, banks can give reasonable time and information if you still want to keep pay or else close if there are case of serious commitments bank will just discard the credit card and introduce new one where literally you won't have any option to walk out of commitments from bank given. If same card taking in different variant is automatically understood why are you taking such variants i can understand rupay and visa because rupay is convenient. But amex master visa rupay. Comon we know why taking such card networks.

Many says I got from this and that way LTF and who pays joining fee and annual fee what about them they take the burn in devaluation, it's best for banks to charge fees or else it's a mess.