Axis Bank — Excessive interest charged in Axis Bank Flipkart Credit card Bills

Address: Chairman, Axis Bank, Axis House, C-2, Wadia International Centre, Pandurang, Budh Kar Marg, Worli, Mumbai400025

1- My complaint to Axis Bank credit card department on 14.06.2026

1. In Apr-26 Bill amt was 3149 and I have paid fully through various modes, but unluckily 649 was not processed by Mobikwick app due to technical reason.
2. In May-26 bill, amt of interest charged 213.60 with GST 38.45 on such a small amount. I have paid full bill amount of 6262.05 on 24.05.26.
3. I am also SBI Officer having various credit cards and not in a single case such type of mistake occurred. From issuing of this card, never I have defaulted.
4. Against this, I have contacted on Axis Bank toll free number [protected] on 23.05.26, 24.05.26, 01.06.26, 13.06.26, 14.06.26 respectively. Every time except on 24.05.26, any staff attended the call, I have given them full particulars, staff told me to wait for to contact with relevant officer. After some time, staff said me to disconnect the call and assured me to revert back a call from the relevant officer, but sorry to say, no one contacted me yet.
5. On 24.05.26, one officer told me that on the basis of my good record, he was forwarded a mail to respective department for the approval of reversing the interest amount and GST. But after that, everyone was playing with me only.
So, I am requesting to reverse the mentioned amount as early as possible. Otherwise I am forced to surrender this card for poor customer service and delaying the issue for a long time.,

2- Reply by them on 15.06.2026

Dear

Thank you for writing to Axis Bank.

This is in reference to your email dated[protected]. I understand your query regarding the payment and charges for your credit card ending with 6661. Please be assured that I am here to assist you to the best of my ability.

Upon review, I would like to inform you that the statement for April 2026 was generated on[protected], reflecting a total outstanding amount of Rs. 3, 149.00, with a due date of[protected]. A payments of Rs. 1, 000.00. Rs. 1, 000.00 and Rs. 500.00 was successfully credited on[protected], which helped avoid the levy of late payment charges. However, since the payment received was less than the total outstanding amount as on the due date, debit interest charges of Rs. 213.60 along with applicable GST of Rs. 38.45 were levied on[protected].

Please note that payment of the minimum amount due is not considered as full payment of the total outstanding balance on the credit card account. While paying the minimum amount due helps avoid late payment fees, it does not prevent the levy of interest charges on the remaining outstanding amount.

Please be informed that once the statement is generated, a 20-day payment window is provided to make the payment. After bill generation, SMS and email notifications are sent, and the due amount can also be viewed through Internet Banking or the Axis Mobile App.

Kindly note that if the Total Amount Due /Minimum Amount Due is unpaid or Minimum Amount Due is paid by the payment due date, interest will be charged on the total amount due and on all new transactions (from the transaction date) till such time as the previous outstanding amounts are paid in full. The debit interest amount is calculated on the basis of the following criteria:
1) From transaction date to statement date (on transaction amount).
2) From statement date till payment date (on outstanding balance).
3) From payment date till next statement date (on balance amount).
4) From transaction date till the next statement date (fresh transaction).

In light of the above clarification, I regret to inform you that we do not have a provision to reverse the financial charges, as they are valid charges for non-payment within the due date. Hence, I regret our inability to accommodate your requirement. Should there have been any possibility to assist your request within the bank’s procedures we would have done it so.

If there is any scope to accommodate your request favorably, I would be glad to assist you. In order to investigate your concern further, I kindly request you to share the following details:
• Name of the Bank officer you interacted with
• Mobile number of the officer (if available)
• Date and time of interaction
• Date and time of the call
• Call recording / screenshot / call logs, if available
I regret the circumstances prompting the closure of your credit card. However, I request you to reconsider your decision. I appreciate your understanding in this regard. For any further assistance feel free to write us.
Thank you for banking with Axis Bank and we truly appreciate your continued patronage.
Your reference number for this interaction is[protected]. We assure you the best of our services at all times.

Warm Regards,
Priyadharshini R - (Customer Support)
Team Axis Bank
Dil Se Open

*Amount of interest charges Rs. 213.60+ GST Rs. 38.45 in M/o May-2026 statement and Rs. 6.92+ GST Rs. 1.25 in M/o June2026 Statement on Non payment of only Rs. 649 mean about 408 percent per year. Is it justified or nature of justice for the customer. They have charged for not only unpaid amount but on paid amount also.

The following are the RBI Guidelines for Charging Penal Interest/Overdue Charges on Credit Cards.

RBI Master Direction on Credit Card Operations (Updated):

RBI permits issuers (banks and NBFCs) to charge penal interest or late payment fees for delayed payments on credit cards.
The penal interest rate or late payment fee must be reasonable and clearly disclosed upfront.
The penal interest or charges should be applied only to the overdue amount (i.e., the minimum amount due that was not paid by the due date).
Penal charges must not be compounded.
Credit card issuers are required to disclose the penal interest rate or late fees in the credit card agreement and billing statements.
The late payment fee should be capped and not be punitive (RBI and industry standards typically limit late fees between ₹100 to ₹1000, depending on the overdue amount).
Disclosure & Transparency:

The issuer must disclose the late payment fee structure clearly in the Terms & Conditions.
Monthly statements must show the minimum amount due, the last date of payment, and the applicable penal interest or fees if payment is delayed.
Fair Practices Code:

Credit card issuers must follow a fair practices code ensuring that charges are transparent and borrowers are notified in advance.
Specifically, I wish to highlight the following issues:

Excessive Late Payment Charges and Finance Fees: Banks, including SBI Cards and payment services ltd., impose hefty late payment fees that often far exceed reasonable limits. Additionally, apart from these late payment charges, finance fees are also levied simultaneously, significantly increasing the financial burden on customers.
Lack o[censored]niform Policy: Each bank appears to have its own policies and fee structures for missed or overdue payments, creating confusion and lack of transparency for customers. This inconsistent approach points to an absence of clear and enforceable RBI regulations governing such charges by NBFCs and banks.
Consumer Exploitation: The cumulative effect of these charges is not just a business practice but amounts to unfair exploitation and financial looting of consumers, many of whom are already in vulnerable financial situations.

Given the critical role of the Reserve Bank of India as the regulator, it is imperative that clear, uniform, and fair guidelines be enforced strictly across all banks and NBFCs to protect consumers from such arbitrary charges. Customers deserve transparency, fairness, and relief from these predatory practices.
I urge the concerned regulatory authorities to take immediate corrective measures to address these issues and ensure that all charges levied comply fully with RBI rules, with uniform policies and reasonable limits on penalties for overdue payments.

Please take strict action against such type o[censored]nfair practices.