Major financial changes in November: Advance train ticket booking, credit cards, RBI’s new guidelines and more; check full list

As this year is nearing its end, the month of November has started with many significant financial changes that can have a major impact on your finances. From changes in advance reservation period (ARP) for train bookings to new guidelines by the Reserve Bank of India (RBI), many changes are coming into effect that you should be aware of. Here is a detailed list:

Advance train ticket booking

The Indian Railways has decreased the advance reservation period (ARP) for train tickets to 60 days from the previous 120 days effective from November 1. The move is aimed at discouraging speculative bookings and addressing the problem of cancellations.

TRAI’s new rules for spam calls

Starting November 1, the Telecom Regulatory Authority of India (TRAI) implemented stricter rules to curb spam calls and messages. Major telecom providers like Jio, Vi, Airtel and BSNL must now ensure message traceability, holding them accountable for monitoring and tracking spam and fake messages. This includes identifying the sources of promotional and transactional messages to block those that fail to meet traceability standards, ensuring that spam and fraudulent messages are intercepted effectively before they reach customers.

LPG cylinder prices

Oil marketing companies have raised the prices of commercial LPG gas cylinders, effective from November 1. The cost of a 19-kg commercial LPG cylinder has increased by ₹62. This brings the retail price in Delhi to ₹1,802 from the previous ₹1740.

This is the fourth consecutive monthly hike for the 19-kg cylinders. The prices have increased from ₹1646 in August, recording a jump of over 9%. Additionally, the price of 5 kg FTL (Free Trade LPG) cylinders has gone up by ₹15. The rates for 14.2 kg cylinders remain unchanged.

The prices have gone up in other metro cities as well, with current retail prices at ₹1,754.50 in Mumbai, ₹1,964.50 in Chennai and ₹1,911.50 in Kolkata.

RBI’s updated guidelines for money transfers

The Reserve Bank of India (RBI) has altered its Domestic Money Transfer (DMT) framework which came into effect from November 1. Announced back in July this year, these changes aim to improve security in domestic money transfers and ensure compliance with the new guidelines.

In a circular dated July 24, 2024, the RBI said, “There has been a significant increase in the availability of banking outlets, developments in payment systems for funds transfers, and ease in fulfilling KYC requirements, etc., since then; and now users have multiple digital options for funds transfer.”

• Banks are mandated to keep detailed records of beneficiary names and addresses for cash payout services to enhance traceability.

• Banks and business correspondents must register remitters using a verified phone number and an ‘Officially Valid Document’ (OVD).

• To have more transaction security, remitters are required to validate their transactions through an Additional Factor of Authentication (AFA).

• Banks must comply with the cash deposit rules under the Income Tax Act, 1961, by ensuring that remitter details are included in transaction messages.

• Card-to-card transfers will be unaffected by the new direct money transfer (DMT) framework and will follow the existing regulations.

Credit card updates

ICICI bank has updated its credit card rewards and fees effective from November 15. The customers of the bank were notified of the changes through SMS last month. Here are the changes:

• Reward points for utility and insurance expenses are capped at ₹80,000 for select cards and ₹40,000 for others.

• Points earned on grocery and departmental store purchases are limited to ₹40,000 and ₹20,000 per month, depending on the card.

• No reward points will be granted for expenses related to government transactions.

• Fuel surcharge waivers are available up to ₹50,000 and ₹1,00,000 monthly, based on the type of card.

• Access to spa benefits through DreamFolks cards has been discontinued.

• The spend threshold for reversing the annual fee has been decreased to ₹10 lakh per year, down from the previous requirement of ₹15 lakh. Additionally, the calculation for annual fee reversal and milestone benefits will not include rent, government transactions or education payments made with credit cards.

• For third-party educational payments and utility transactions exceeding ₹50,000, a fee of 1% of the transaction amount will be applied. Payments made directly to the educational institution using the credit card will remain uncharged.

• For complimentary lounge access, one must now have a minimum expenditure of ₹75,000 in the previous quarter.

• Starting November 15, 2024, the foreign exchange markup on ICICI Bank credit cards will be set at 2%. This means that international transactions made through the credit card will have a mark-up fee of 2%.

• The finance charges for the revolving credit facility on retail transactions and cash advances will now be set at 3.75% per month (45% per annum).

• Supplementary cardholders can benefit from enhanced benefits by paying an annual fee of ₹199, which will be charged in the statement of their card anniversary month.

• For fuel transactions exceeding ₹10,000, a fee of 1% of the transaction amount will be applied. Similarly, utility payment transactions over ₹50,000 will now have a 1% fee.

• The late payment charges have also been revised, from no fee for amounts up to ₹100 and increasing progressively. The highest charge is set at ₹1,300 for amounts over ₹50,000.

SBI card, part of the State Bank of India (SBI), raised the finance charges on all unsecured SBI Credit Cards to 3.75% per month, effective from November 1, 2024. Finance charges are levied on all transactions, including unpaid EMIs and cash advances, if the cardholder does not pay the balance in full. For cash advances, charges apply starting from the transaction date until they are repaid.

The change in finance charges does not apply to the Shaurya Defense card. Currently, the finance charge is up to 3.50% per month (42% annually).

Moreover, a new fee of 1% will be charged on utility payments that are over ₹50,000 within a billing cycle starting from December 1, 2024.

Indian Bank special FD deadline

The deadline for Indian Bank's special fixed deposit (FD) schemes is November 30. These schemes offer competitive interest rates for both the general public and senior citizens.

For the ‘Ind Super 300 Days’ scheme, rates are 7.05% for the general public, 7.55% for senior citizens and 7.80% for super senior citizens. Meanwhile, the 400 Days scheme offers 7.25% for the general public and rates up to 8.00% for super senior citizens applicable on deposits between ₹10,000 and ₹3 crore.