Credit Card Changes from 1st June 2025: HDFC, Amex & Yes Bank Revise Rewards, Lounge Access & Cashback Rules

From 1 June 2025, several new changes will be introduced to the credit cards of various banks. These changes directly affect the savings, spending and money management of the cardholders. Read on to know:

• Summary of the changes in major credit cards from June 2025
• Previous benefits and the current changes from June 2025
• Navigating new credit card changes from 1 June 2025

New Credit Card Rules From June 2025

Several new credit card rules may come into effect from 1 June 2025. These could include:

• Reduction in penalty of 2% on auto-debit failures
• Extra charges on fuel and utility payments
• Revised fees on international transactions
• Updates in reward point systems
• Revised calculation or redemption of reward points, including caps on earning points in certain categories

Credit Card Changes Effective June 2025

The table below provides the changes in different credit cards effective from June 2025:

Credit Cards and Its Significant Changes

From June 2025, significant changes will be implemented in the credit cards of HDFC Bank, American Express, and Yes Bank. These changes are often referred to as card devaluations, which reduce the previously enjoyed benefits, including complimentary reward points on fuel, airport lounge access, and cashback flexibility.

HDFC Bank Credit Card - Tata Neu Card

HDFC Bank has updated the lounge access benefits for its Tata Neu credit card holders, i.e., Tata Neu Infinity and Tata Neu Plus credit cards, effective 10 June 2025. These changes encourage cardholders to spend more to avail of lounge benefits.

The previous benefits of these cards were as follows:

• Tata Neu Infinity: 8 complimentary domestic lounge accesses per year (2 per quarter) without any spending threshold requirement.
• Tata Neu Plus: 4 complimentary domestic lounge accesses per year (1 per quarter) without any spending threshold requirement.

The new changes are as follows:

• Spending Requirement: Cardholders must spend a minimum of Rs. 50,000 in the calendar quarter to be eligible for lounge access vouchers.
• Voucher Issuance: Customers fulfilling the spending threshold requirement will receive the lounge access vouchers through SMS and email.
• Access Limits: 
  • Tata Neu Infinity: Up to 2 complimentary domestic lounge vouchers per quarter (maximum of 8 per year).
  • Tata Neu Plus: 1 complimentary domestic lounge voucher per quarter (maximum of 4 per year).

American Express Gold Charge Card Devaluation

American Express has stopped awarding Membership Rewards points for fuel transactions on the Gold Charge Card, effective 12 June 2025. This change impacts the overall reward potential for cardholders who frequently use their Amex Gold Charge Card for fuel purchases.

The previous benefits of these cards were as follows:

• Reward Points on Fuel: Earn 1 Membership Reward point for every Rs. 50 spent on fuel, including CNG, petrol and diesel.
• Milestone Eligibility: Fuel transactions are counted toward the monthly transaction count required for milestone bonuses.

The new changes are as follows:

• Reward Points on Fuel: No Membership Reward points are earned for petrol, CNG and diesel purchases.
• Milestone Eligibility: Fuel transactions are still counted toward the monthly transaction count for milestone bonuses, but they will not accrue base reward points.

Yes Bank KIWI Credit Card

Yes Bank’s KIWI Credit Card has introduced changes affecting redemption processes and cashback accrual, effective 1 June 2025. These changes will affect cardholders who frequently make smaller transactions since the new changes favour higher spending amounts.

The previous benefits of these cards were as follows:

• Cashback on Transactions: 2% for members and 1.5% for non-members on all transactions, with flexible redemption options.
• Redemption Threshold: No strict lower limit for redeeming accumulated reward points, i.e. KIWIs.

The new changes are as follows:

• Transaction Multiples: Cashback will be awarded only on transaction amounts in multiples of Rs. 100.
• Redemption Threshold: A minimum of 500 KIWI points (equivalent to Rs. 125) is required for redemption. Redemptions are permitted only in multiples of Rs. 500.

How to Navigate to the New Credit Card Changes?

Cardholders can navigate the new credit card changes through the bank’s or credit card issuer’s mobile app or online banking website. Here are some tips to adapt to the new credit card changes:

• Review the card terms and check for any notices received from the bank or credit card issuer.
• Monitor your card activity by checking credit card statements.
• Save documents related to the changes for future reference.
• Compare card networks and the benefits they offer.

From June 2025, credit card devaluations will be effective in HDFC Bank Tata Neu Cards, American Express Amex Gold Charge Card, and Yes Bank KIWI Credit Card. These changes will affect the lounge access privileges, fuel transaction rewards, and cashback redemption. Thus, cardholders will have to reassess their spending and budget due to these changes.