IN a big relief for credit card issuers who are facing a rising tide of bad loans since the past few quarters (delinquencies are at nearing double-digit mark now; in June 2024 quarter it soared by 110 bps to 7.6%), the Supreme Court, over the weekend, has given them a free hand to set interest rates for late payments, defaults and even on the outstanding dues.
Not that their hands were tied till now--in a strict legal sense they were, but not in practice as even when the matter was subjudice since February 2009, card issuers were regularly increasing their interest rates which now vary from a low of 45% (3.8% per month) to a high of 55% annually or 4.5% per month on certain cards.
The December 20 ruling by a two-judge Supreme Court bench of Bela Trivedi and Satish Chandra Sharma, goes back to a 2008 order of the National Consumer Disputes Redressal Commission (NCDRC) that capped credit card interest rates at 30% per annum.
Denne historien er fra December 23, 2024-utgaven av The Morning Standard.
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Denne historien er fra December 23, 2024-utgaven av The Morning Standard.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
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We expect 2025 to be a strong year for us in India: Toyota
AT a time when most automakers are grappling with sluggish demand, Toyota Kirloskar Motor (TKM) is achieving impressive double-digit sales growth each month. This success is driven by its strong SUV portfolio and the strategic partnership between its parent company, Toyota Motor Corporation, and Suzuki Motor Corporation. The Japanese automaker is set to surpass the 3 lakh annual sales milestone in the financial year 2025 and expects this robust growth to continue into the next fiscal year. Unlike other carmakers focusing heavily on electrification, TKM has adopted a unique strategy by offering a broader range of green powertrain options, emphasizing its ultimate goal of reducing carbon emissions. In an interaction with TNIE's Arshad Khan, Vikram Gulati - Country Head of TKM and Sabari Manohar - Vice President of Sales at TKM discuss Toyota's growth in India, their approach towards different powertrains and investments by the company. Edited excerpts:
Words of Wisdom for Yashasvi
During a net session ahead of the Boxing Day Test in Melbourne, Kohli, Rahul and coach Gambhir give pep talks to Mumbai batter, who has struggled to spend time in the middle
Three-star Blasters down Mohammedan
KERALA Blasters FC players delighted the home crowd to record a dominant 3-0 win over Mohammedan SC in the Indian Super League at the Jawaharlal Nehru Stadium here on Sunday.
Liverpool extend lead, United lose
LIVERPOOL FC recorded a thrilling 6-3 victory over Tottenham Hotspur to extend their lead in the Premier League on Sunday.
The making of fast bowler Boland: Cult hero of MCG
ON a hot Saturday afternoon at the AH Butler Oval, Frankston Peninsula Cricket Club was playing against Camberwell Magpies Cricket Club in the local game on the outskirts of Melbourne.
Mandhana climbs another mountain as India beat West Indies
THERE is a famous bridge that connects the city of Sangli with the rest of the world on the river Krishna called Irwin Bridge.
Nat'l badminton: Unseeded Adarshini enters semifinals
TAMIL NADU's Sathish Kumar K, who's the No 1 seed, and Adarshini Shri NB entered the semifinals of the Senior National Badminton Championships in Bengaluru.
KNOW LINEAR AND LATERAL THINKING
AS a result of geopolitical tensions, scheduled general elections in India during the mid-year and in the USA towards the end of the year as well as valuations that had sky-rocketed, volatility during 2024 was anticipated by many of us.
IS ALGORITHMIC TRADING FOR YOU?
TECHNOLOGY should expand the scope of human skills. There are things that you can do yourself using your skills. You can use technology to support your skills and create something even more potent than before.
Credit card defaults could hurt you badly now
With SC rejecting 30% cap on credit card interest rates, card issuers will now have more flexibility to set rates
