Late payment fees of top credit cards with airport lounge access compared: SBI Card, HDFC Bank, ICICI Bank, HSBC

If you fail to settle your credit card bill by the due date, you will incur a late payment fee and finance charges on the outstanding amount. The late payment fee is typically a fixed amount based on your total outstanding balance, while finance charges are calculated as a percentage of the total outstanding amount.

Credit card finance charges are generally computed using the Average Daily Balance method, meaning interest is compounded on a daily basis. It’s important for cardholders to understand that missing a payment deadline also renders new transactions ineligible for the interest-free period. Consequently, any new transactions will be added to the overall balance, and interest will be compounded daily until the balance is fully paid off.

Here is what top banks credit cards with airport lounge access such as SBI, ICICI Bank, HDFC Bank, HSBC are charging as late payment fee.

(Source: Credit card issuer websites; late payment fees as on May 30, 2024)

Also read: Top credit cards with airport lounge access

SBI Card

Top credit cards with airport lounge access: SBI Elite Credit Card, SBI Prime Credit Card, Club Vistara SBI Card PRIME

Late payment charges

Late Payment charges will be applicable if minimum amount due is not paid by the payment due date.

• NIL for Outstanding Amount on payment date from Rs.0-Rs.500
• Rs. 400 for Outstanding Amount greater than Rs. 500 & up to Rs. 1000;
• Rs. 750 for Outstanding Amount greater than Rs. 1000 & up to Rs. 10,000;
• Rs. 950 for Outstanding Amount greater than Rs. 10,000 up to Rs. 25,000;
• Rs. 1100 for Outstanding Amount greater than Rs. 25,000 & up to Rs. 50,000
• Rs. 1300 for Outstanding Amount greater than Rs. 50,000

An additional Late Payment Charge of Rs. 100 will be levied on missing payment of Minimum Amount Due (MAD) by the due date for two consecutive cycles. This charge will continue to be levied for every payment cycle until the MAD is cleared.

HDFC Bank

Top credit cards with airport lounge access: HDFC Bank Millennia Credit Card, InterMiles HDFC Bank Platinum Credit Card, HDFC Bank Black Card – Diners Club Black Credit Card, InterMiles HDFC Bank Signature Credit Card, IndiGo HDFC Bank Credit Card

Late payment charges

Charges in case of default (no payment or delayed payment): Basis Credit Card bill amount (excluding Infinia (Metal edition)) Outstanding Balance Late Payment Charges (Excl. GST)

• Less than Rs 100 Nil
• Rs 100 to Rs 500 = Rs 100/-
• Rs 501 to Rs 5,000 = Rs 500/-
• Rs 5,001 to Rs 10,000= Rs 600/-
• Rs 10,001 to Rs 25,000= Rs 800/-
• Rs 25,001 to Rs 50,000 = Rs 1100/-
• More than Rs 50,000 Rs 1300/-

ICICI Bank

Top credit cards with airport lounge access: ICICI Bank Sapphiro Credit Card

Late payment charges

• Nil for amount due less than Rs. 100
• Rs 100 for amount between Rs 100 and Rs 500
• Rs 500 for total amount due greater than Rs 501 and up to Rs 10,000
• Rs 750 for total amount due greater than Rs 10,000

HSBC

Top credit cards with airport lounge access: HSBC Cashback Credit Card

Late payment charges

• 100% of the minimum payment due (subject to a minimum of Rs 250 and a maximum of Rs 1,200 per month).

In case a cardholder makes partial payment, can a card-issuer charge interest/levy late payment charges on the total amount due?
According to the RBI Master Circular FAQs, “In case a cardholder does not clear the total amount due within the payment due date, interest free credit period will be lost, and interest may be levied from the date of transaction on the outstanding amount (adjusted for payments/refunds/reversed transactions as and when credited) and not on the total amount due. Further, late payment fee and other charges relating to delay in payment shall be levied only on the outstanding amount (adjusted for payments/refunds/reversed transactions as and when credited) after the payment due date and not on the total amount due.”