Banks are taking a hard stance towards "savvy" credit card users: Declaring a financial battle against them.
Rewritten Article:
April 23, 15:50 - Anastasia Konovalova
New Credit Card Guidelines:
In the year 2025, Russian banks started to implement new strategies towards credit cardholders who only leverage the grace period and don't generate substantial profits for credit institutions. The publication RBK reported this transformation, revealing that banks are lessening credit limits and reducing card operations for smart users avoiding interest accumulation. This move is a response to the consistently high key rate and a drop in loan demand.
Financially Savvy Customers Face Scrutiny
Stanislav Tyves, the Deputy Chairman of UralSib Bank, acknowledges that these individuals often include financially secure citizens who opt to keep their funds in deposits while using credit cards within the grace period, hence denying the banks income from either interest or commissions. Consequently, credit organizations found it necessary to reassess the terms of service for such clients.
Adieu to No-Profit Clients: Zero Credit Card Limits
According to Tyves, failed to generate income for banks could lead to the reduction of their credit card limits to zero. This regulation is intended to hinder abnormal uses of credit products and doesn't impact honest borrowers using the cards as intended and paying interest. In the past, during periods of low rates and active lending, banks might disregard such tactics. But the current economic scenario necessitates stricter measures.
Reasons Behind Banks' Policy Shift
Financial experts confirm that the tightening of policies is crucial for maintaining the profitability of credit products facing a high key rate. Banks are no longer tolerant of a situation where some users enjoy their services without generating income. Presently, credit organizations are diligently analyzing the behavior of cardholders and making individual decisions on limits and service terms.
Not Just a UralSib Issue: Widespread Trend
Stanislav Tyves reveals that UralSib initiated policy changes towards "grace period" clients last fall. Nonetheless, other crucial banking sector players are implementing similar measures. Such trends suggest that this approach is becoming commonplace and impacting cardholders across the country.
Many clients are required to reassess their financial behavior in light of these new rules. Utilizing credit solely within the grace period will become more challenging, with banks potentially lowering the limit or even blocking cards without warning. Experts suggest staying vigilant, closely monitoring bank notifications, and preparing for alterations in service conditions to avoid unexpected changes.
The End of Free Rides for Credit Cards
The Russian banking sector is entering a new phase where the era of using credit cards without interest or restrictions is gradually ending. To combat this shift, credit institutions are tightening control and limiting options for non-profitable customers. Cardholders must adapt to the new reality to avoid losing their familiar financial tools.
Enrichment Insights:
- Economic Struggles: Russian credit card volumes may stagnate due to economic hurdles, including international sanctions. This could propel Russian banks to optimize their credit offerings and focus on profitable customer segments[2].
- Card Usage and Sanctions: The sanctions have limited international credit card use in Russia, promoting the popularity of domestic cards. However, their limited global acceptance may prompt banks to adapt their strategies to secure profitability from their existing customer base[1][2].
- Payment Trends: The Russian government is investigating new payment methods, such as universal QR codes, reflecting broader shifts in the financial sector's growth or profitability strategies[5].
- In 2025, Russian banks started to implement new strategies, reducing credit limits and card operations for financially secure citizens who use credit cards within the grace period, reflecting a response to the consistently high key rate and a drop in loan demand.
- UralSib Bank Deputy Chairman, Stanislav Tyves, acknowledged that these individuals often deny banks income from interest or commissions, leading to the potential reduction of their credit card limits to zero for non-profitable clients.
- Financial experts confirmed that the tightening of policies is crucial for maintaining the profitability of credit products facing a high key rate, as banks are no longer tolerant of customers who enjoy services without generating income.
- The Russian banking sector is entering a new phase where the era of using credit cards without interest or restrictions is gradually ending, forcing cardholders, especially those only leveraging the grace period, to adapt to the new reality to avoid losing their familiar financial tools.
