HDFC Bank has made a significant change to its credit card offerings, raising the eligibility bar for its premium cards, including the coveted ‘Infinia’ and ‘Diners Club Black’. This move reflects the bank’s strategy to ensure these cards are issued to customers with a strong financial standing and a high spending capacity.
For those seeking the prestigious ‘Infinia’ card, the minimum monthly income requirement has been set at ₹5 lakh for private sector employees and ₹3.5 lakh for government employees. Self-employed individuals will need to demonstrate an annual income of ₹60 lakh through their Income Tax Return (ITR). The ‘Diners Club Black’ card now requires a minimum monthly salary of ₹2.5 lakh for private sector employees and ₹1.75 lakh for government employees. The minimum ITR for self-employed individuals has been set at ₹30 lakh. For the ‘Regalia Gold’ card, the monthly salary threshold is ₹1.5 lakh for private sector employees and ₹1 lakh for government employees, with self-employed individuals needing an ITR of ₹18 lakh.
These new eligibility criteria, which came into effect immediately for new applications, are intended to ensure the bank issues its premium cards to customers with a high likelihood of significant spending. This strategy is aimed at optimizing the bank’s spending and cost ratios. However, the bank has clarified that existing cardholders will not be impacted by these changes and their renewals will proceed as usual.
Previously, while the eligibility criteria for these premium cards were not explicitly disclosed by the bank, it was generally understood that applicants with a monthly income of ₹3 lakh or an annual income of ₹36 lakh were considered for the ‘Infinia’ card. Similarly, the ‘Diners Club Black’ card typically required a monthly salary of ₹1.75 lakh or an annual income of ₹21 lakh for self-employed individuals. For the ‘Regalia Gold’ card, the usual requirement was a monthly salary of ₹1 lakh or an annual income of ₹12 lakh.
HDFC Bank emphasizes the importance of income as a crucial factor in credit card eligibility. The bank stresses that credit cardholders should have the means to repay their balances and that the type of credit card they are eligible for directly depends on their income level. The bank may require self-employed individuals to submit their latest ITR as proof of income.
Super premium credit cards, like the ‘Infinia’, are typically offered on an invitation basis to individuals with an excellent credit score, high annual income, a record of prompt repayment, and a long credit history with the bank. These cards offer a range of attractive benefits, including a higher credit limit, discounts on dining, free lounge access at airports, and increased reward points on spending. These cards also allow customers to book flight tickets using their accumulated reward points.
While these super premium cards provide significant benefits, they also come with a lower interest rate on outstanding dues, charging 1.99% per month (23.88% annually). This is significantly lower than the interest charged by regular credit cards, which can be as high as 3.75% per month (45% annually).
This move by HDFC Bank reflects the growing trend of banks focusing on issuing premium cards to customers with a strong financial profile. This strategy helps optimize spending and cost ratios for the bank while offering exclusive benefits to its high-spending customers.
