ICICI Bank introduces changes to credit card usage rules: from fees to bonuses

Moody's Ratings stated on Tuesday that it expects a deterioration in global credit conditions in 2027. The main reasons cited for this forecast are the increase in financing costs and rising energy prices, which are putting pressure on borrowers.

In its report on global credit conditions for 2027, Moody's Ratings analyzes key factors that may shape the credit markets in the coming year. The company notes that investments in artificial intelligence will remain significant, but investors will increasingly assess whether the increase in revenue and productivity justifies such large expenditures.

Moody's Ratings emphasized that 'business model disruptions will become more apparent: some companies will benefit from stronger demand and productivity, while others will face increased competition and reduced pricing power.'

Furthermore, the agency expects that government intervention, including tariffs, regulation, export controls, and strategic investments, will play an increasing role in the outcomes of the credit market. Moody's added that since many of these tools can be introduced or revoked by administrative decisions, policy may change rapidly, which will continue to affect trade, capital allocation, and competition in 2027.

Increased spending on energy security, critical minerals, defense, and climate resilience will create opportunities for certain sectors while increasing costs for others. Moreover, higher refinancing costs will put additional pressure on issuers and borrowers with high debt levels and significant maturities in the near future.

The agency concluded that 'Moody's Ratings expects a weakening of global credit conditions in 2027, as higher financing costs and elevated energy prices will create points of pressure, even as major economies continue to expand.'

SBI Card has notified credit cardholders about significant changes in tariffs. Starting from December 1, 2026, an additional fee will be charged for certain types of transactions related to transport and fuel.

According to the notification published on the SBI Card website on October 27, the revised fee structure will come into effect if two conditions are met: transport transactions exceed 30,000 rupees, and total fuel expenditure exceeds 50,000 rupees within one billing cycle.

The new rules stipulate a commission of 1% for each relevant transport transaction exceeding the amount of 30,000 rupees. Transactions are identified by Merchant Category Codes (MCCs) 4111, 4784, and 4131, which cover specific transport services.

The SBI Card notification specifies that starting December 1, 2026, a commission of 1% of the transaction amount will be charged for every transport transaction exceeding 30,000 rupees (and corresponding to MCCs 4111, 4784, 4131). For example, when paying for transport amounting to 35,000 rupees, the additional charge will be 350 rupees. For a transaction amount of 50,000 rupees, the commission will reach 500 rupees.

It is important to note that this commission applies to each individual relevant transport transaction exceeding the threshold of 30,000 rupees, not to the total transport expenses for the entire billing period.

SBI Card users must also monitor their total fuel expenditure during each billing cycle. If the cumulative cost of relevant fuel transactions exceeds 50,000 rupees, a commission of 1% of the total fuel expenditure for that billing cycle will be charged.

According to the SBI Card notification, starting December 1, 2026, if the total amount of all fuel transactions made within one billing period exceeds 50,000 rupees, a commission of 1% of the entire fuel amount will be levied. This means that this fee is calculated not only on the amount exceeding 50,000 rupees. For instance, if the total fuel expenditure for the billing period amounts to 55,000 rupees, a 1% commission will be calculated on the full amount, resulting in an additional deduction of 550 rupees.

As of December 1, cardholders need to distinguish between two types of limits. The commission for transport expenses applies to each individual transaction exceeding 30,000 rupees, whereas the fuel commission depends on the total volume of relevant expenses within one billing cycle, exceeding 50,000 rupees. Users who regularly make large payments are advised to check their statements and monitor their total fuel consumption to determine if they fall under the changed tariffs.