New Delhi :
On July 21, several Axis Bank credit cardholders received an email notifying them of a hold on the redemption of their reward points, causing a stir among customers.
The bank stated that non-personal usage of the credit card had been observed, with some customers using the card for expenses not permitted under the Exi Bank Card Member Agreement.
Such usage was primarily aimed at earning excessive reward points.
Bank cracks down on Inappropriate Usage
Axis Bank’s decision to halt reward points redemption for certain users is aimed at maintaining the sustainability of its rewards program.
The bank detected instances where credit cards were being utilized for business expenses, a violation of the card’s terms and conditions.
Users who adhere to the guidelines and use their credit cards exclusively for personal expenses will continue to enjoy the benefit of reward points.
Axis Bank monitors Suspicious Transactions
Credit card experts reveal that Axis Bank keeps a watchful eye on suspicious credit card transactions.
Earlier this year, the bank sent notifications to high net worth individuals suspected of commercial card usage.
Instances of credit card cancellations, such as the Axis Ace Flipkart Axis Bank Credit Card, have occurred in the past when found to be used for business purposes.
Customer Compliance Crucial to Avoiding Suspension
Axis Bank has previously communicated with users, requesting proof of personal use for transactions made during specific periods.
Failure to provide such evidence resulted in blocked cards.
The bank’s proactive approach aims to ensure that the reward benefits are rightfully distributed to compliant customers, while curbing the misuse of credit cards for business expenses.
