Credit Card Inactive RBI Rules: In today’s time, many people use credit cards. Some users even hold three to four credit cards. There are also users who, troubled by fines or other charges on their credit cards, want to close their accounts. If you are one of them and are considering closing your credit card, you can go to the bank and request to close it.
If the bank is not closing the credit card or is delaying the process, you can file a complaint and receive ₹500 per month from the bank. According to one of the RBI’s rules, if a bank does not close the credit card, the bank is required to pay the customer ₹500 per month.
The Bank Will Pay ₹500 Per Day
According to RBI regulations, if a credit card is not closed upon request, the bank is required to pay ₹500 per month to the customer. Knowing these regulations can benefit you. If you have applied to close your credit card and the bank has not closed it even after several days, the bank must initiate the process within 7 days of receiving the application. If the bank fails to follow this procedure, it will have to pay a penalty of ₹500.
Conditions Under Which You Receive ₹500 Per Month
Under the RBI rule implemented in 2022, the bank has to pay a penalty of ₹500 per month to the customer. If the credit card is not closed even 7 days after applying, the bank may be fined ₹500. However, the bank will only pay you ₹500 per day if there is no outstanding balance on your credit card.
RBI Rules for Closing Credit Cards
Payment of Outstanding Balance: If you are thinking of closing your credit card, first check the outstanding balance on your card. If there is any balance, make sure to pay it off. A credit card cannot be closed if there is an outstanding balance.
Redeem Reward Points: Before closing your credit card, make sure to redeem your reward points. These points are earned when you use your card and can be redeemed before closing the account.
How to Close Your Credit Card?
To close your credit card, you need to fill out an application form, which is available at your bank branch. You can also contact the bank for more information.
Keep This in Mind
After your credit card is closed, it is important to destroy the card. Once it is closed, cut the card and dispose of it properly in the trash.
