Hello All,
I have been holding a credit card for past 6 years and at the time of applying for it, I was told that I will not have to pay any annual fees for the card usage. Last year, they also upgraded my gold card to platinum credit card and at that point of time, it was confirmed too, that I will not have to pay any annual charges.
Recently I received a communication from my credit card bank about change in Annual fees charges. As per the mail communication, they did review of credit card policy and it seems that now none of the card which they offered are free of annual fees and hence I will also have to pay Rs 2000/- as annual fees from this year onward.
When I spoke to the customer care team, they agreed that before the policy review, zero annual fee was applicable to my card but now, they cant give it so. Now I have following options which I can go for
1) Keep using the same card and start paying the annual fees. Please note that I will have to pay Rs. 2000/- as annual fee from this year onwards. What if they change the annual fee from next year onwards?
2) They are offering (store branded) platinum credit card with less annual fees and I have an option to choose those cards if I do not wish to use the same card( which has now high annual fees ). Problem is how much CIBIL score will take beating cause of new card? When I look at my CIBIL report, it has information about both gold and platinum card. The status of Gold credit card (Which was upgraded to platinum card ) is not filled and only the current balance is zero. Which indicates me that if I go for another card, CIBIL report will contain a new card which might impact my credit score.
3) Cancel the existing platinum card immediately and hence disagree to annual fee charges. Again if I choose this option, how CIBIL report will be impacted? I read it online that cancellation of Credit card impacts the CIBIL score negatively. is this correct? If so, then I am probably stuck with this card and continue paying the annual fees ?
Just to add here, my CIBIL score is 832 and I do not want to take it a beating cause of any credit card issue (which is not even my fault 🙁 )
Thanks,
Kunal