IDFC FIRST Bank Credit Card: Key changes you need to know from February 20thnews24

In the last few months, many banks have announced changes to their credit card reward program and fee structure. IDFC FIRST Bank is the latest to join that list with the changes taking effect from 20th February. So, what are these changes, and how will they impact IDFC FIRST Bank credit cardholders? Let us understand.

1% fee on education fee payments through third-party platforms

A 1% fee, subject to a minimum of Rs. 249, will apply to education fee payments made through third-party platforms. Some of these platforms include CRED, Paytm, Cheq, MobiKwik, and others. The fee will not be applicable for payments made directly through the educational institute’s official website or at their POS (Point of Sale) machines.

The Merchant Category Codes (MCC) for education-related transactions include 8299, 8211, 8241, 8244, 8249, and 8220. The education fee payment transactions will continue to earn reward points in line with the card variant’s reward structure.

1% fee on fuel spends above Rs. 30,000 in a statement cycle

A 1% fee on total fuel spends will be applicable if the fuel spends exceed Rs. 30,000 in a statement cycle. For example, if the total fuel spent in a statement cycle is Rs. 30,000, there will be no fee. If the total fuel spent in a statement cycle is Rs. 40,000, there will be a fee of Rs. 400 + GST.

So, if the spends in a statement cycle exceed Rs. 30,000, the 1% fee will be applicable to the entire amount and not just the incremental amount above Rs. 30,000. The Merchant Category Codes (MCC) for fuel transactions include 5172, 5541, 5542, and 5983.

For Ashva, Mayura, and FIRST Wealth credit cards, the fuel surcharge waiver will be capped at Rs. 300 per statement cycle.

Revision in annual interest rate range

There will be a revision in the interest rate (APR %) range – 8.5% to 46.2% per annum. The earlier range was 9% to 43.8% per annum. The interest rate change is not applicable to the FIRST SWYP Credit Card.

Minimum spends required for complimentary railway lounge access

Many banks offer complimentary access to airport lounges as a credit card feature. IDFC FIRST Bank is one of the few that offers complimentary access to railway lounges also. Earlier, the railway lounge access did not require the cardholder to spend any minimum amount. However, this is set to change.

From 20th February, the cardholder will have to spend a minimum of Rs. 20,000 in the previous month to get complimentary access to railway lounges in the current month. For example, if the cardholder spends Rs. 20,000 or more in March 2025, they will get complimentary railway lounge access in April 2025.

Railway lounges are located at select railway stations. They provide travellers with premium amenities such as:

1. Comfortable seating
2. Wi-Fi
3. Mobile/laptop charging stations
4. Complimentary food, including meals, snacks, beverages, etc.
5. Shower facilities (may be available at select lounges)

Check your IDFC FIRST Bank credit card features and benefits to understand whether it is eligible for railway lounge access. The number of times a railway lounge can be accessed on a complimentary basis in a year varies from card to card.

Joining and annual fee of Rs. 499 on add-on cards

Most banks offer add-on cards free of cost. However, starting from 20th February, IDFC FIRST Bank will join the list of few banks that charge a fee for add-on cards. For all add-on cards created on or after 20th February 2025, IDFC FIRST Bank will levy a joining and annual fee of Rs. 499 + GST.

The fee is not applicable for all add-on cards created before 20th February 2025. There is no revision of fees charged on add-on cards for Ashva, Mayura, and FIRST Private credit cards.

The add-on cards are linked to the primary card. They allow the add-on cardholder to enjoy all the card privileges. Some of these include instant discounts/cashbacks, base reward points, accelerated reward points, spends for achieving milestones, meeting spends criteria for fulfilling spend-based offers, unlocking spend-based lounge access, achieving spends for the annual fee waiver, etc. Add-on cards are also known as supplementary cards or secondary cards.

Card replacement fee

The credit card replacement fee will be revised to Rs. 199 + GST. The card replacement fee remains unchanged for metal credit cards (Ashva, Mayura, and FIRST Private credit cards) and digital credit cards (FIRST Digital and FIRST EARN credit cards).

Image personalisation fee

IDFC FIRST Bank gives cardholders the option to design their credit cards with the image personalisation feature. However, this feature is available on specific credit card variants only. The cardholder can either upload a favourite photo of their choice or select a picture from the ready-made gallery provided by IDFC FIRST Bank.

From 20th February 2025, if the cardholder opts for a credit card with the image personalisation feature, there will be a joining and annual fee of Rs. 499 + GST. The annual image personalisation fee is not applicable to image credit cards created before 20th February 2025.

All of the seven changes mentioned above don’t apply to the FIRST Private Credit Card. On all the above fees, interest, and charges, a GST of 18% will be applicable.

IDFC FIRST Bank credit cards continue to deliver a rewarding experience

Starting 20th February 2025, IDFC FIRST Bank credit cards will attract a 1% fee for transactions in specified categories like education, fuel, etc. Complimentary access to railway lounges will require minimum spends, and there will be specified fees for add-on cards, card replacement, and image personalisation.

However, even with these changes, IDFC FIRST Bank credit cards offer a wide range of benefits to the cardholders. Some of these include lifetime free credit cards (except for a few fee-based variants), opportunities to earn accelerated reward points up to 10X, option to pay with reward points on all e-commerce websites, up to 45 days of interest-free ATM cash withdrawals, etc. 

The bank provides its credit cardholders with great offers and discounts on well-known merchants, every day of the week. Thus, even with the current changes effective 20th February 2025, IDFC FIRST Bank credit cards continue to deliver a rewarding experience for cardholders.

Gopal Gidwani is a freelance personal finance content writer with 15+ years of experience. He can be reached at LinkedIn.