https://www.desidime.com/comments/permalink/10154423
Credit Card spends reach 1,65,000 CRORE
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According to this article cc spends have crossed 1lakh 65000 crore
And the article is beyond pay wall
If anyone has this article to read kindly share it
Thank you in advance
https://m.economictimes.com/industry/banking/fi...
So the spends on cc are growing rapidly since last 2 -3 years and despite RBI doing multiple corrective steps & even spelling it loud & clear that it's not a good sign
So as dimers we all know about many tricks - hacks - dubious ways to get benifit out of credit cards.
How much of these spends come under such categories of not real spends... And anyway these are going to reduce as RBI & banks keep check but is this really because of this or there are more lege to this
Dimers please have informing healthy discussion on this without any slugfest to pull one other down
Thank you in advance
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https://www.desidime.com/comments/permalink/10154426
Here:
" Credit card base grew 18% year on year (y-o-y) to reach an outstanding base of 103 million as on end May 2024, with HDFC bank adding the highest number of new cards, and Kotak Mahindra bank seeing a sharp drop amid RBI restrictions. Spendings by credit cards also grew 17% to reach Rs 1.65 trillion, according to a report by Motilal Oswal Financial Services.
The credit card industry has seen a continuous decline as major players are cautious of large unsecured loans and amid asset quality issues.
“The industry has seen a continuous decline from the base of January this year owing to the lack of the festive season. We believe that June and July too will see tepid growth, and thereafter, the festive season will bring some improvement”, said Nitin Aggarwal, Research Analyst at Motilal Oswal Financial Services.
Kotak Mahindra Bank witnessed a growth of 43% in card spending indicating that the bank was engaged in cross selling of products after RBI imposed restrictions on the bank on April 26 from issuing new cards and onboarding customers online.
Card spend grew 31% for ICICI Bank and just about 3% for HDFC Bank. IDFC Bank and Federal Bank reported faster growth of 52% and 43% YoY, respectively.
Credit cards on UPI have been witnessing a constant growth with total payments growing 35% on year since May 2024. The spending via UPI on credit cards stood at Rs. 20.3 trillion. Market share of UPI is 86% in FY23.
Average ticket size of UPI credit card transactions have continuously been declining since from Rs. 1,838 in FY21 to Rs. 1,528 in FY24. This suggests the increasing penetration of UPI in everyday transactions as person to merchant(P2M) transactions increased.
The volume of P2M transactions almost doubled with 8,804 transactions in May 20204, from 4,826 transactions a year ago, according to data from the National Payments Corporation of India."
https://www.desidime.com/comments/permalink/10154428
Ah this sounds similar to UPI turnover transaction stuffs
this sounds similar to UPI turnover gimmic released by NPCI i think , hmmm P2P transactions also calculated in UPI so account to account of same person falls under this UPI turnover lol now this is similar to credit card 1,65,000 crore xD which includes rent payment rotation and reward hacks/tricks transaction turnover
Govt (or whoever the article source) surely dont have proper statistical tools lol but they can put effort if they need to find this in a exact manner but I dont know why Govt. (or whoever the article source) is not willing to do so... MAYBE ITS BECAUSE GOVT. wants to show something else to viewers xD for stockmarket balooning game AS GROWTH ahhh dont know
just my personal speculation
https://www.desidime.com/comments/permalink/10154473
There is no p2p transaction allowed on credit cards although ever other person knows about the way it works but having said that out of 10cr + cards not much people are on desidime Or similar platforms
but the majority of these people Who're optimising credit cards or using tricks are a minority because most of the banks which do issue credit cards operate in top 50 Cities beyond which very few activity takes place & even majority of cards are issued for Salaried people which itself is not beyond 20cr & even post that majority of banks require ITR /INCOME PROOF to issue credit card which is again not more than 8 crore people filing ITR /GST etc.. All these are imp factors for a cc and are concentrated in these 50 cities
Secondly almost every bank has atleast 4 -5 lakh income criteria to issue most common cards ( although that's only in theory) that means they are targeting the people whose take home is atleast 1000 /day Or 3.65 lakh/year and for those people spends would be atleast 25 % of their income or atleast 250/day or aprox 90k/ year.... For these kind of people are mostly not much into the manufactured spends / discretionary spends -as they're not having surplus economic resources or fall back if something goes wrong including getting ban from lending institutions due to hacks - tricks etc -& are mostly not have the mental ability to do manufactured spends & get away with it as their day to day spends eat out a lot of their time & energy
Of course this isn't the case of us dimers & we know majority of students here got CC without any income & also do all kinds of ms - to hacks but thier ability is restricted both by thier limited credit limit & thier ability to cope with outcome
So this is my general feeling ,The main two triggers according to my assessment is one that Axis & other banks during some time gave enough rewards to people who marketed the credit cards on behalf of banks
second was Rent payment & other payments moving to cc from fintech also the fintech played a imp role in stream lining card processes
The other basic things are an young working age population moving to cities majority of them engineers in software & allied got thier cc from employee bank relationship which is like in millions /yr
That's my understanding and this is going to be sustainable growth going ahead if RBI doesn't take more stringent actions than before & economy moving South
Maybe some 10 -15% people with probably less than 5 % spends doing manufactured spends or hacks would be reduced due to various steps
View 4
more replies
https://www.desidime.com/comments/permalink/10154437
VU+ for the post to get this analyzed by many people;) for various inputs;)) nice data to share:) jioanupt
https://www.desidime.com/comments/permalink/10154737
1. Debit card usage has decreased drastically.
2. Almost all smartphones, electronic devices, home appliances etc are available @ 10% discount on credit cards all the time.
3. Most of the banks have allowed to have multiple cards with shared limits. Due to this people are able to purchase everything with discount.
4. People without cards also are taking help from friends, colleagues and neighbours for instant discount.
5. COD purchases has decreased too.
https://www.desidime.com/comments/permalink/10154875
An increase in consumer spending ( in credit or from savings ) is good news because it keeps the economy going and creates more job opportunities.
https://www.desidime.com/comments/permalink/10154968
We can't trust the numbers, take example of CBDC/ e-Rupee.
The banks are under enormous pressure, so much that they are paying allowances in CBDC account to their employees and asking them to inflate transactions by asking everyone to exchange trivial amounts between their CBDC accounts.
View 10
more replies
https://www.desidime.com/comments/permalink/10155163
So many white transactions? Good know?
https://www.desidime.com/comments/permalink/10155442
mhm yes I agree:)
side note: but still black transaction will never come to light:)
side note: but still black transaction will never come to light:)
https://www.desidime.com/comments/permalink/10155573
increase in Financial spending
https://www.desidime.com/comments/permalink/10156001
https://bfsi.economictimes.indiatimes.com/amp/n...
Much detailed Article
With useful Information
https://www.desidime.com/comments/permalink/10156073
@DeciDeaim hey hope you read the article and i am not getting which is IIB bank mentioned in the below paragraph
The total number of outstanding credit cards in the system grew 17.7% YoY to 103.3 million in May’24. Among key players, IIB and BOB reported strong YoY growth (up 27.5%/30.1%, albeit on a low base), followed by HDFC Bank (up 16.5%), ICICI Bank (up 16.4%), Kotak Mahindra Bank (up 16%), Axis Bank (up 15%), and SBI Card (up 11.5%).
If you know which is this IIB bank Or it's a typo???
View 9
more replies
https://www.desidime.com/comments/permalink/10156138
Time for RBI to launch credit card to Tap in ,i wud prefer LTF
https://www.desidime.com/comments/permalink/10156382
Hence the devaluation in lounge access is also acceptable
https://www.desidime.com/comments/permalink/10156538
Abhi 100 times aur increase karna hai next 1 decade me.
https://www.desidime.com/comments/permalink/10156704
@abhishek012 and team responsible for 1,00,000 crore of it
https://www.desidime.com/comments/permalink/10156763
Oh.. I thought ki kisi ek bande ne 1,65,000 CRORE spend kar diye credit cards se!
https://www.desidime.com/comments/permalink/10156780
Should be @abhishek012 in association wit NPCI he is capable of doint that 🤣🤣
https://www.desidime.com/comments/permalink/10157185
ya sab mhengai or low income ki wjah sa ha , company increment karti nhi, logonka pas bas loan ka hi option bachta ha
https://www.desidime.com/comments/permalink/10162418
1 crore plus ka to mera contribution hai..
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Here:
" Credit card base grew 18% year on year (y-o-y) to reach an outstanding base of 103 million as on end May 2024, with HDFC bank adding the highest number of new cards, and Kotak Mahindra bank seeing a sharp drop amid RBI restrictions. Spendings by credit cards also grew 17% to reach Rs 1.65 trillion, according to a report by Motilal Oswal Financial Services.
The credit card industry has seen a continuous decline as major players are cautious of large unsecured loans and amid asset quality issues.
“The industry has seen a continuous decline from the base of January this year owing to the lack of the festive season. We believe that June and July too will see tepid growth, and thereafter, the festive season will bring some improvement”, said Nitin Aggarwal, Research Analyst at Motilal Oswal Financial Services.
Kotak Mahindra Bank witnessed a growth of 43% in card spending indicating that the bank was engaged in cross selling of products after RBI imposed restrictions on the bank on April 26 from issuing new cards and onboarding customers online.
Card spend grew 31% for ICICI Bank and just about 3% for HDFC Bank. IDFC Bank and Federal Bank reported faster growth of 52% and 43% YoY, respectively.
Credit cards on UPI have been witnessing a constant growth with total payments growing 35% on year since May 2024. The spending via UPI on credit cards stood at Rs. 20.3 trillion. Market share of UPI is 86% in FY23.
Average ticket size of UPI credit card transactions have continuously been declining since from Rs. 1,838 in FY21 to Rs. 1,528 in FY24. This suggests the increasing penetration of UPI in everyday transactions as person to merchant(P2M) transactions increased.
The volume of P2M transactions almost doubled with 8,804 transactions in May 20204, from 4,826 transactions a year ago, according to data from the National Payments Corporation of India."
Ah this sounds similar to UPI turnover transaction stuffs
this sounds similar to UPI turnover gimmic released by NPCI i think , hmmm P2P transactions also calculated in UPI so account to account of same person falls under this UPI turnover lol now this is similar to credit card 1,65,000 crore xD which includes rent payment rotation and reward hacks/tricks transaction turnover
Govt (or whoever the article source) surely dont have proper statistical tools lol but they can put effort if they need to find this in a exact manner but I dont know why Govt. (or whoever the article source) is not willing to do so... MAYBE ITS BECAUSE GOVT. wants to show something else to viewers xD for stockmarket balooning game AS GROWTH ahhh dont know
just my personal speculation
There is no p2p transaction allowed on credit cards although ever other person knows about the way it works but having said that out of 10cr + cards not much people are on desidime Or similar platforms
but the majority of these people Who're optimising credit cards or using tricks are a minority because most of the banks which do issue credit cards operate in top 50 Cities beyond which very few activity takes place & even majority of cards are issued for Salaried people which itself is not beyond 20cr & even post that majority of banks require ITR /INCOME PROOF to issue credit card which is again not more than 8 crore people filing ITR /GST etc.. All these are imp factors for a cc and are concentrated in these 50 cities
Secondly almost every bank has atleast 4 -5 lakh income criteria to issue most common cards ( although that's only in theory) that means they are targeting the people whose take home is atleast 1000 /day Or 3.65 lakh/year and for those people spends would be atleast 25 % of their income or atleast 250/day or aprox 90k/ year.... For these kind of people are mostly not much into the manufactured spends / discretionary spends -as they're not having surplus economic resources or fall back if something goes wrong including getting ban from lending institutions due to hacks - tricks etc -& are mostly not have the mental ability to do manufactured spends & get away with it as their day to day spends eat out a lot of their time & energy
Of course this isn't the case of us dimers & we know majority of students here got CC without any income & also do all kinds of ms - to hacks but thier ability is restricted both by thier limited credit limit & thier ability to cope with outcome
So this is my general feeling ,The main two triggers according to my assessment is one that Axis & other banks during some time gave enough rewards to people who marketed the credit cards on behalf of banks
second was Rent payment & other payments moving to cc from fintech also the fintech played a imp role in stream lining card processes
The other basic things are an young working age population moving to cities majority of them engineers in software & allied got thier cc from employee bank relationship which is like in millions /yr
That's my understanding and this is going to be sustainable growth going ahead if RBI doesn't take more stringent actions than before & economy moving South
Maybe some 10 -15% people with probably less than 5 % spends doing manufactured spends or hacks would be reduced due to various steps
Can you explain more?
Samajh Rahe ho , how to boost figures when required.
Atleast here bank employees are using their own money to show results. There are PMSBY and PMJJBY where they are cutting Premiums without customers consents, which is outright illegal.