SBM MAGNET Credit Card

Most Important Terms and Conditions

The Most Important Terms and Conditions (MITC) are to be read and understood in conjunction with the SBM MAGNET Credit Card Member Terms and Conditions (Card Member T&Cs) as communicated on www.sbmbank.co.in & www.magnetapp.in.


SBM MAGNET card will be an ‘International’ credit card (“Card” or “Credit Card”) valid for usage across the globe. It is issued by SBM Bank (India) Ltd (“SBM Bank”). It is available on Mastercard/Rupay/Visa, or any other network as chosen by the Bank.


  1. SBM MAGNET secured card.


  2. Fees and Charges

    Please note that the entire Schedule of Fees and Charges (as mentioned further ahead), benefits and features may change at any point of time at the discretion of




    SBM Bank. A notice and/or intimation, in this regard, shall be provided to the card holder before implementation of such change.


  3. Withdrawal Limits:

    The Credit Limit and Cash Withdrawal Limit are communicated at the time of delivery of the Card and are also indicated in the monthly statements. Available credit limit is calculated by deducting the utilized limit from the Total Credit Limit. In case the Card Member has availed of any loan within the credit limit on the Card, the outstanding loan amount will also be deducted from the Total Credit Limit to arrive at the Available Credit limit.


  4. Billing:


    1. Billing Statements:

      • Periodicity and mode of sending: All Card Member will be billed on a monthly basis for all charges incurred by the use of the Card and for all charges applicable to the Card account. In case the card was not used during the billing cycle, the billing statement will mention there were no spends in that month.

      • The billing statement will be dispatched on a monthly basis to you by e mail. In case of any help needed, you may call Bank’s helpline number at 1800-103-3817 or write/visit Bank at: SBM Bank (India) Ltd. 101, Raheja Centre First Floor, Free Press Journal Marg, Nariman Point,

        Mumbai - 400021, Maharashtra


    2. Minimum Amount Payable:

      1. Without prejudice to the liability of the Card Member to immediately pay all charges incurred, the Card Member may exercise the option to pay only the Minimum Amount Due (MAD) indicated in the statement by the due date. The Minimum Amount Due shall be 5% of the outstanding amount. In case of any repayment through installments, the installment amount due during the statement period will be added to the Minimum Amount Due. If the total outstanding is more than the credit or cash limit, then the amount by which the credit or cash limit has been exceeded will also be included in the Minimum Amount Due. Minimum Amount Due shall also include unpaid Minimum Amount Due of the previous statements, if any. Interest will be charged if the Total Amount Due is not paid by the payment due date even if the Minimum Amount Due has been paid.

      2. If you spend Rs 5,000 and pay back exactly the Minimum Amount Due (subject to a minimum payment of Rs 100) every month, it will take you up to 6 years and 6 months to pay back the total amount. We therefore suggest that whenever your cash flows allow, pay back an amount substantially more than your Minimum Amount Due.


      3. No merchant refund/cashback/credit due to transactions converted to EMI

      / cancelled transactions / reversals / promotional cashback will be considered as a payment towards the outstanding of the Card. EMI transactions and cash transactions will not be eligible for Reward Points. Once a transaction has been converted into EMI, it will not be eligible for reward points even if it is reversed/ written off at a later date. In case, Card member makes an excess payment compared to the outstanding of the Card, there will be credit balance in the Card account. This will be adjusted against the subsequent transactions on the Card. However, no interest

      can be claimed on this excess credit amount.


    3. Method of payment:

      Payments towards the Card Account may be made in any of the following ways and Customers can login into SBM MAGNET Credit Card app and make payments toward Credit Card outstanding using.

      1. Net banking of any bank account- Click to Pay SBM MAGNET Credit Card dues from any of your other bank Savings Accounts using Click to Pay.


      2. UPI


    4. Billing Disputes Resolution:

    In the event the Card Member disagrees with the charges indicated in the statement, it should be communicated in writing to the correspondence address of SBM Bank within 60 (sixty) days of receipt of the statement, failing which it would be construed that all charges indicated in the statement are in order.

    1. Contact Particulars Customer Care Centers: Contact SBM Bank on following Toll-Free helpline number – 1800 1033 817 or write to -customercare@sbmbank.co.in

    2. Grievances Redressal/Complaints/Escalations: In the event that you are not satisfied with our services, you may register your grievance by 1. Visiting https://www.sbmbank.co.in/aboutus/grievance-redressal mechanism.php

      1. Or calling Bank’s toll-free number - 1800 1033 817

      2. visiting at www.magnetapp.in and writing us via contact us portal.

      3. Or they can write to us - customercare@sbmbank.co.in

    3. Toll-free Number for Grievance Redressal: In the event you are not satisfied with our services, you may register your grievance by dialing our number 1800 1033 817 between 9:30 a.m. to 6:30 p.m. from Monday to Saturday.


  5. Default and Circumstances:

    1. If the Card Member fails to pay the Minimum Amount Due by the date indicated



      in the billing statement, it shall be treated as default. In case of default, the Bank can forward the default report to the Credit Information Bureaus or to such other agencies as approved by law. The time period between the payment due date and the billing date indicated on the billing statement is considered as the notice period for reporting a Card Member as a defaulter. Terms and Conditions governing Credit Card facilities shall be applicable to the Supplementary Card Holders as well.


    2. Procedure for withdrawal of default report and the period within which the default report would be withdrawn after settlement of dues:

    3. SBM Bank submits the Card Member’s data to CIBIL - Credit Information Bureau (India) Limited every month in the format prescribed by CIBIL. This data includes the repayment status of all Cardholders, both defaulters and current, for the previous month. CIBIL uploads the submitted data onto their server in another thirty days.

    4. Recovery of dues in case of death/permanent in capacitance of the Card Member: It shall be in accordance with the applicable laws after giving sufficient

    notice for payment of dues and all information regarding the outstanding dues, to the successors/nominees /legal heirs of the Card Member.


  6. Termination/Revocation/Surrender of Card membership:

    1. The Card Member may at any time choose to terminate the Card Account with or without giving any prior notice. For avoiding misuse, it is advised to cut the Credit Card into four pieces ensuring that the hologram and magnetic strip are destroyed permanently. The Card Member may terminate the Card membership at any time by writing to SBM Bank India Limited at customercare@sbmbank.co.in or reaching out to Bank’s toll free number 1800 1033 817. The termination shall only be effective once SBM Bank receives the payment of all amounts due and outstanding in respect of the said Card Account.

    2. In the event of a Credit Card program closure or at the time of renewal of Credit Card, SBM Bank at its sole discretion reserves the right to provide a Card type that is different from the existing Card type held by the card member. The credit limits and cash limits on any Credit Card at any point in time are as per the sole discretion of SBM Bank Limited.

    3. The Card application shall continue to be valid for any replacement card provided at the time of closure/renewal.

    4. Please note that if a credit card has not been used for a continuous period of 1 (one) year, the Bank will intimate the cardholder about non-usage of the card and request the cardholder to start using the card within 30 (thirty) days from the date of such intimation. If either no reply is received from the cardholder or the cardholder does not start using the card within a period of 30 (thirty) days, the card account shall be closed by the Bank, subject to payment of all dues by the cardholder.

  7. Loss/Theft/Misuse of Card:

    In case of loss/theft/ misuse of card, the Bank shall be guided by the 'Customer

    Protection Policy' updated on the website of the Bank which has been formulated based on the RBI circular on Customer Protection – Limiting Liability of Customers in Unauthorized Electronic Banking Transactions' as updated from time to time. (RBI Circular - ref. DBR.No. Leg. BC.78/ 09.07.005/2017-18 dated July 6, 2017) Please Note you can refer the Customer Protection Policy Note by visiting https:// www.sbmbank.co.in/aboutus/sbmassest/pdf/policies/Customer_Compensat

    ion_Sub_Policy.pdf.

    If a customer suspects any unauthorized transaction, the customer should inform the bank through the following channels: for blocking of card to avoid further unauthorized transaction or misuse. In case of loss / theft / misuse of the card, customer can immediately hotlist / block the card by raising a request through below channels.


    1. The Cardmember is to notify the 24-hour call Centre - 1800 1033 817 immediately if the Card is misplaced, lost, stolen, mutilated, not received then due or if he / she suspects that the credit card is being used without Cardmember's permission. Once a card is reported lost, it shall not, under any circumstance, be used if found by the Cardmember subsequently. In case of loss / theft / misuse of the card, customers can immediately block the card.

    2. The bank is not liable or responsible for any transactions incurred in the card

      account prior to the time of reporting of the loss of the card, and the card holder will be wholly liable for the same. After the receipt of proper notification of the loss by the Bank, the card holder’s subsequent liability is zero. In addition to notifying SBM Bank about the loss or theft of the card, the Cardmember must report any theft of cards to the Police and lodge an FIR and provide the acknowledgment copy of the police complaint to the Bank.

    3. The Cardmember will be liable for all losses in case of misuse of the card by someone who obtained the PIN or the card with the consent of the corporate.


      The Cardholder is under obligation to take all appropriate steps to keep the card safe and not to record the PIN, One Time Password (OTP) or any other token/code issued from time to time, in any form that would be retrievable or otherwise accessible to any third party if access is gained to such a record, either honestly or dishonestly.

    4. If the Cardmember has acted fraudulently, the Cardmember would be liable for all losses. If the Cardmember acts without reasonable care, the Cardmember may be liable for all losses incurred.

    5. SBM Bank may, without referring to the Cardmember, give the police or relevant authorities any information that SBM Bank considers relevant about the loss, theft or misuse of a Card or PIN.

    6. In line with RBI mandate, on the basis of the nature and purpose of transactions carried out on your credit card, customers are advised not to make any payment to the credit card through FCRA accounts. In case any payments are observed through these accounts, customers may receive a notice from the Ministry of Home Affairs seeking explanation for such payments.



    SBM Bank reserves the right to block the Credit Card on suspected risk of compromise in order to protect the interest of the Card Member and to avoid misuse in any manner on the Card Account. The Card Member shall not be able to use the blocked Card for any transaction. In the event, the Card Member, after being informed by SBM Bank of the probable fraud risk, still requests to unblock the Card, SBM Bank shall not stand liable or responsible in any manner for any fraudulent transactions reported to it thereafter on account of fraudulent usage of the Card or otherwise.


  8. Grievance Cell and Compensation Policy First level touch points:


    Queries / Feedback / Complaints. The customer can reach out to the following channels:


  9. Disclosure:

The Bank shall part with all available information about the Card Member, repayment history etc. to Credit Information Bureaus or to such other agencies approved by law. SBM Bank/Group Companies reserve the right to retain the application forms and documents provided therewith, including photographs, and will not return the same.

Disclaimer:

*SBM Bank may at its sole discretion, utilize the services of external service provider/s or agent/s and on such terms as required or necessary, in relation to its product.


Schedule of Charges


  1. Joining Fees, Annual Fees and Supplementary Card Fees

    Joining Fee

    Free

    Annual Fee/Renewal Fee

    Free


  2. Finance Charges

    Overdue Interest on Extended Credit

    Interest on Cash Advances


    Annual

    Monthly

    Annual

    Monthly

    30.00%

    2.50%

    40.00%

    3.30%



    The interest rate may vary dynamically based on the customer’s repayment behavior and performance.


  3. Other Fees and Charges

    Cash Advance Fees

    2.5% or Rs. ₹ 300 (whichever is higher)

    Late Payment Charges

    ₹ 299

    Over Limit Charges

    NA

    Card Replacement Cost

    ₹ 249

    Card Cancellation Charges(if customer cancels the card in the 1st year of card activation)

    ₹ 499

    Foreign Currency Transaction Charge

    2.49% of the transaction amount

    Interest Free Period (Grace Period)

    45 Days

    GST Applicable on Fees and Charges

    18% or as may be directed by Government


  4. Charges in foreign currency:


    1. If a transaction is made in a currency other than Indian Rupees, that transaction will be converted into Indian Rupees. The conversion will take place on the date the transaction is settled with SBM Bank, which may not be the same date on which the transaction was made. If the transaction is not in US Dollars, the conversion will be made through US Dollars, by converting the charged amount into US Dollars and then by converting the US Dollar amount into Indian Rupees.

    2. Unless a specific rate is required by applicable law, the conversion rate from US Dollar to Indian Rupees will be at the rates provided by the network, as the case may be, on the settlement date, increased by a Currency Conversion Factor assessment (currently 3.50%) on such transactions.




  5. Finance Charges


    1. Interest will be charged if the Total Amount Due is not 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. Also, interest will be levied on all cash advances from the date of the transaction until the date of payment.

    2. The rate of interest may be changed at the sole discretion of SBM Bank. c. The following illustration will indicate the method of calculating interest charges: In the table given below, it has been assumed that the Total Amount Due of the previous month statement has been paid by the payment due date and there is no outstanding amount. The statement date is the 20th of every month. Given these assumptions, interest will be calculated as below:

      Transaction Description

      Amount

      Purchase on 20th April 2022

      ₹ 2000

      Total Amount Due on Statement Dated 1st May 2022

      ₹ 2000

      Minimum Amount Due on Statement Dated 1st May 2022

      ₹ 100

      Payment Due Date 16th May 2022


      Purchase on 15th May

      ₹ 1500

      Payment Made on 19th May 2020

      ₹ 800

      Interest Calculations @30% PA


      Interest on balance ₹ 500 for 42 days (from 20 Apr to 31

      May)

      ₹ 17.26

      Interest on ₹ 800 for 13 days (from 19 May to 31 May)

      ₹ 8.55

      Total Interest (Statement - 1 June 2022)

      ₹ 25.81

      GST @ 18% of interest

      ₹ 4.65

      Total principal outstanding amount

      ₹ 1,300.00

      Total Amount Due

      ₹ 1330.45


      d.GST will be applicable on interest charges.



  6. Late Payment Charges (LPC):


    1. Late payment charges will be applicable if the Minimum Amount Due is not paid by the payment due date.

    2. Late Payment fee in on outstanding Amount as per the statement



      Late Payment Charge

      ₹299


  7. Interest- Free (Grace) Period:


    1. The grace period is 45 days.

    2. For a statement for the period 1st April to 30th April, the payment due date is 15th of May. Assuming you have paid your previous month's dues in full, the interest free period would be:

    3. For the purchase dated 1st April, interest free grace period is from 1st April to 15th May = 45 days

    4. For the purchase dated 26th April, interest free grace period is from 26th April to 15th May = 19 days

    5. Grace period Until bill Payment: Payment due date + 3 days.


Thus, the grace period can vary depending upon the date of purchase. However, if the Total Amount Due is not paid by the payment due date, then there will be no interest free period. For cash advances, interest is charged from the date of the transaction until the date of payment.


CIC Reporting: