Credit Cards Department
FREQUENTLY ASKED QUESTIONS (FAQs)
COVID 19 Ex Gratia to borrowers for difference in interest
- What is the ex gratia payment to the borrower/credit cards under the scheme announced by GoI?
The bank/ lending institution will provide ex gratia payment to the borrower account of the difference between compound interest and simple interest on loan accounts/credit cards with sanctioned limits and outstanding upto Rs. 2 crores (aggregate of all the borrowings / facilities from all the banks and financial Institutions) for the period from 1st March 2020 to 31st August 2020 (6 months / 184 days).
- Are the Credit Card holders eligible for this scheme?
Yes. Credit Card holders are also eligible for this scheme.
- Do I have to apply for the relief?
No. The ex gratia relief will be credited to the account of all eligible Credit Card holders without any requirement to apply.
- Whether the Cardholders who have opted for moratorium facility under the RBI COVID 19 relief package earlier are eligible to avail the benefit under the above relief?
Yes. The package will be available for eligible cardholders irrespective of whether they have availed or partially availed or not availed the moratorium on repayment announced by RBI vide DOR. No. BP.BC.47/21.04.048/2019-20 dated 27.03.2020 and extended on 23.05.2020.
- Will I be eligible for relief if my Credit Card balance is in "Credit" as on 29.02.2020?
No. Ex-gratia will not be paid on those Credit Cards where balance is in "credit" as on 29.02.2020.
- In which of my accounts will the differential amount be credited?
The differential amount will be credited to the respective Credit Card Account(s).
- Can a cardholder who has closed the card account/s between 1st March 2020 and 31st August 2020 avail the benefit of the scheme?
Yes. Such cardholders are eligible for refund of differential interest from 1st March 2020 upto the date of closure of account (not later than 31st August 2020).
- If I have already closed my credit card account after March 1st 2020 , how will the differential amount be paid to me?
It will be credited to your savings/ current account (maintained with IDBI Bank) and if you do not maintain any such account with the Bank, you may contact the nearest branch with details of other bank accounts where the amount can be credited /remitted to.
- What are the main criteria of the ex gratia to borrowers scheme?
The main criteria/ highlights of the scheme are as under:
- Loan accounts with sanctioned limits and outstanding not exceeding Rs.2 crores (aggregate of all facilities with all the lending institutions) as on 29.02.2020.
- Credit Card Accounts/Loan Accounts should be standard in the books of the Bank as on 29.02.2020.
- The period reckoned for refund shall be from 1st March 2020 to 31st August 2020,
i.e. 6 months period / 184 days.
- Are NPA Credit Cards Accounts also eligible for the relief package?
No. The Credit Card should not be a "Non Performing Asset (NPA) as on 29.02.2020.
- Whether Accounts categorised as SMA-0, SMA-1 and SMA-2 (delinquent accounts) are eligible to avail the benefit of the package?
Yes, the card accounts classified as SMA-0, SMA-1 and SMA-2 as on 29th Feb 2020 are eligible for the relief package.
- Which Rate of Interest (%) shall be considered for calculating the package and on what amount?
- RoI (%): As per the guidelines, in case of Credit Cards, the applicable RoI is 13%.
- Reference Amount: The Credit Card Outstanding (i.e. settled amount) in the account as on 29.02.2020 will be the reference amount on which the difference of Compounding and Simple Interest would be calculated.
- What is settled amount for Credit Card dues?Settled amount in case of Credit Card dues is the amount outstanding against the actual transactions.
For illustration: Authorization amount locked at the time of hotel check-in (which is released at the time of check-out) would not be considered as part of the settled amount for calculation of Credit Card dues.
- What will be the treatment for the repayments/credits made in the Credit Card during the period from 1st March 2020 to 31st August 2020?
The outstanding as on 29.02.2020 will be the reference amount for calculating the differential. Any repayment/credits subsequent from 01.03.2020 - 31.08.2020 shall be ignored for the purpose of calculation.
- Where should I contact for any queries?
The Customers may contact the nearest IDBI Bank Branch OR
Call Credit Card Customer Care No. - 18004257600 (Toll - free) / 02240426013 (Non Toll - free) OR
may write to us at email@example.com