KifaaytiBabu
KF Ace
Does anybody has first hand experience of Scapia credit band in collaboration with federal bank
scapia credit card review
- Thread starter KifaaytiBabu
- Start date
arjungoyal12
KF Mentor
Bekifaayati uploaded a video on Scapia Credit Card. I hope you have seen it. But it's a relative new card. So very difficult to get first hand review from a consumer. Still check the card reviews online
Brief Review of Scapia Credit Card
Scapia Card is a Lifetime Free Credit Card, that means no Joining Fee and No Annual Fee. Scapia offers 10 Scapia Coins milte hain for every 100 rs. Spent, on Online and Offline usage. And 1 Scapia Coin has monetary value of 0.2Rs. So the effective reward rate is 2%.
If you use this card for Travel Bookings, then you get 20 Scapia Coins for every 100 rs. Spent. Reward Rate of 4%. Might I add that this reward rate of 4% is extremely good for a Lifetime Free Credit Card.
But you get all these rewards only on Domestic Bookings, not for International ones. And you will need to redeem these reward points on Scapia App. You can use these App for travel bookings (just like MMT, Bookings, etc)
You also get UNLIMITED Domestic Lounge Accesswith this card, provided you spend min Rs. 5000 every month.
My only concern is that all these Reward Rates and benefits are being offered as part of introductory offers. Eventually all this will be scaled down. But apart from that it's a decent card in its category.
Scapia Card is a Lifetime Free Credit Card, that means no Joining Fee and No Annual Fee. Scapia offers 10 Scapia Coins milte hain for every 100 rs. Spent, on Online and Offline usage. And 1 Scapia Coin has monetary value of 0.2Rs. So the effective reward rate is 2%.
If you use this card for Travel Bookings, then you get 20 Scapia Coins for every 100 rs. Spent. Reward Rate of 4%. Might I add that this reward rate of 4% is extremely good for a Lifetime Free Credit Card.
But you get all these rewards only on Domestic Bookings, not for International ones. And you will need to redeem these reward points on Scapia App. You can use these App for travel bookings (just like MMT, Bookings, etc)
You also get UNLIMITED Domestic Lounge Accesswith this card, provided you spend min Rs. 5000 every month.
My only concern is that all these Reward Rates and benefits are being offered as part of introductory offers. Eventually all this will be scaled down. But apart from that it's a decent card in its category.
arjungoyal12
KF Mentor
You might get an idea from this video easily. Thank me later!
anuragmukherjee28
Moderator
I am creating a detailed scapia credit card review, hope it helps
charges
scapia cards has a lot of other charges that everyone should know
late payment charges
hope this detailed analysis helps
- it is a co branded credit card with federal bank
- The Scapia Credit Card is a lifetime free card.
- The Scapia Credit Card offers a 2% cashback on all your spends and 4% cashback on all your travel spends. (will get it as scapia coins)
- The Scapia Credit Card offers unlimited lounge access at domestic and international airports but you need to pay 5000 rupees in a quarter
- The Scapia Credit Card does not charge any forex markup ( 0 forex markup charges ) on international transactions
- Easy to apply for: The Scapia Credit Card has relatively easy eligibility criteria. You need to have a minimum credit score of 700 and an min annual income of Rs. 3 lakhs.
- You can only redeem your Scapia coins for travel-related expenses. This can be a downside for people who don't travel frequently. ( but scapia provides good travel deals if you compare with other market players)
- The Scapia Credit Card does not offer any add-on cards
- you don't get scapia coins for international spends,rent payment,forex,crypto ,taxes and education payments (limited ways to get scapia coins)
- doubtful customer service as its a new company.
- minimum credit score of 700
- min annual income of Rs. 3 lakhs
- if you are not previously using a credit card which is issued by federal bank (of the cons)
- minimum age - 23 years old
- no more than 5 cibil enquiries in the past 6 months
charges
scapia cards has a lot of other charges that everyone should know
| Charge/Fee | Description | Amount |
| Annual Fee | None | 0 |
| Joining Fee | None | 0 |
| Card Replacement Fee | Fee for replacing a lost or damaged card | ₹200 |
| Late Payment Charges | Charge for making a payment after the due date | Varies depending on outstanding balance (see table below) |
| Interest Rate on Purchases | Interest charged on unpaid purchases (if not paid within grace period) | 41.88% p.a. (3.49% per month) |
| Interest Rate on Cash Withdrawals | Interest charged on cash withdrawals (no grace period) | 41.88% p.a. (3.49% per month) |
| Interest Rate on EMI Transactions | Interest charged on converted EMI transactions | 16% p.a. (applicable for 3, 6, 9, and 12 months tenure) |
| Minimum Amount Due | Minimum amount required to be paid by the due date | 5% of purchases and 100% of overlimit spend, EMIs due, charges & fees |
| Cash Advance Limit | Maximum amount that can be withdrawn as cash advance | Up to 10% of credit limit |
| Overlimit Charges | Charge for exceeding credit limit | 2.5% of the overlimit amount, subject to a minimum of ₹500 |
| Dishonour of Auto Debit Charges | Charge for failed auto-debit payment | 2% of payment amount, subject to a minimum of ₹450 |
| Loan Processing Fee and Pre-closure Charges | Fee for processing a loan or for early closure | 2.5% of loan amount or ₹200, whichever is higher |
late payment charges
| Outstanding Balance | Late Payment Charge |
| Less than ₹100 | 0 |
| ₹100 – ₹500 | ₹100 |
| ₹501 to ₹5,000 | ₹500 |
| ₹5,001 to ₹10,000 | ₹600 |
| ₹10,001 to ₹25,000 | ₹750 |
| ₹25,001 to ₹50,000 | ₹950 |
| More than ₹50,000 | ₹1,000 |
hope this detailed analysis helps
anuragmukherjee28
Moderator
Yah already deadDamnnn , the card is dead
Almost everyone is affected
Most concerning part is it just happened out of the blue.
anuragmukherjee28
Moderator
I guess their funding stopped
anuragmukherjee28
Moderator
SCAPIA CREDIT CARD UPDATE ( FROM various sources )
- Travel startup Scapia faced social media backlash after unexpectedly reducing credit limits for many customers.
- Sources revealed that Federal Bank, Scapia's partner bank, directed the action due to low transaction activity on some cards.
- While Scapia remained silent, Federal Bank acknowledged the changes, attributing them to periodic reviews based on their credit card usage guidelines. They emphasized that email and SMS notifications were sent to affected customers, and that limit revisions are standard industry practice, meaning increases are just as possible as decreases.
Scapia Credit Card
Hi Guys, have been observing a downfall in credit limit for a lot of users. Have been analysing this for some time and this is why it may have happened.
But before understanding why your Credit Limit was reduced we will need to take a step back and understand some Recent Updates from the RBI
RBI has increased the Risk Weight for banks, which is the capital they must set aside when giving out unsecured loans (credit cards included). They’ve raised the risk weight from 125% to 150% for Credit Cards. This means banks need to keep more capital aside for every loan they provide, making it costlier for them to lend.
This change will impact Banks and Customers in 2 ways :
Now let’s understand why Your Limit on Scapia Credit Cards were decreased
With Banks having to provide higher capital allocation for Unsecured Lending (Credit Cards in this case), the unused capital (unused limit in this case) is just an unnecessary strain on the Federal Bank’s Balance Sheet. Or in simple words, Bank has taken exposure worth 4-5 Lakhs for a Single Customer (Credit Card Limit), but the customer is just using credit limit worth 20,000 - 30,000. So, unnecessary risk for the Bank leading to some notional loss.
This may be the reason why your Credit Card Limit was slashed. There is a high probability that your Limits will be slashed for other Credit Cards also with other Banks.
Hi Guys, have been observing a downfall in credit limit for a lot of users. Have been analysing this for some time and this is why it may have happened.
But before understanding why your Credit Limit was reduced we will need to take a step back and understand some Recent Updates from the RBI
RBI has increased the Risk Weight for banks, which is the capital they must set aside when giving out unsecured loans (credit cards included). They’ve raised the risk weight from 125% to 150% for Credit Cards. This means banks need to keep more capital aside for every loan they provide, making it costlier for them to lend.
This change will impact Banks and Customers in 2 ways :
- Access to Personal Loans and Credit Cards: Getting personal loans and credit cards will become less easy as banks become more selective due to higher capital requirements.
- Credit Card Acceptance and Limits reduction: Credit card approval rates are expected to decrease significantly. And the limits sanctioned on Credit Cards are expected to come down significantly.
Now let’s understand why Your Limit on Scapia Credit Cards were decreased
With Banks having to provide higher capital allocation for Unsecured Lending (Credit Cards in this case), the unused capital (unused limit in this case) is just an unnecessary strain on the Federal Bank’s Balance Sheet. Or in simple words, Bank has taken exposure worth 4-5 Lakhs for a Single Customer (Credit Card Limit), but the customer is just using credit limit worth 20,000 - 30,000. So, unnecessary risk for the Bank leading to some notional loss.
This may be the reason why your Credit Card Limit was slashed. There is a high probability that your Limits will be slashed for other Credit Cards also with other Banks.
Bharatiya Nagrik
KF Mentor
I do get your point and it is right for the bank to think of its business. But as a general customer this doesn't make sense if we go by credit utilisation ratio. When we get a 10 lac limit we are in a position to use only upto 3 lac if we have to maintain the 30 percent ratio to keep the credit score unaffected in a negative way. I understand a person could use more than that and repay partial amount before the statement date but generally a customer would like to have that cushioning for their credit limit. And most scapia users would have just taken it as a back up travel purpose card for it's lounge access and zero mark up fee. It would have been better if Federal Bank would have given prior notice to the customers.
Fair point, but after the recent updates from RBI - banks are completely on backfoot and trying to figure out ways to cut down their losses.
While this action from Federal Bank was slighlty uncalled for, my guess is that other banks will rely on some other measures like - increasing annual fees, levy new type of charges (charges on utilised credit limits). Those actions will seem somewhat reasonable in comparison to what Federal Bank has done
Bharatiya Nagrik
KF Mentor
From the average customers perspective I wish no other bank takes such stringent steps. Hope the RBI relaxes the risk weight for banks so that they can have some respite instead for doing vasooli from the customers themselves in terms of extra charges or reduction in benefits. Fingers crossed.
I doubt RBI will give any kind of relaxations because they'd been giving soft warnings to all the Banks for 2-3 years now. Banks ignored these warning, which is why RBI had to bring in these new regulations.
My guess is not all the Banks will enforce such strict measures. Let's see how things pan out.
A banking institution should have some responsibilities. It's a very important institution. And federal bank has been severely failed to be a responsible bank in connection with scapia.
There may be risk weight, there may be non usage in the cards . They should have made the changes with care. May be they could have given proper intimation before hand and some time to it's customers.
There may be risk weight, there may be non usage in the cards . They should have made the changes with care. May be they could have given proper intimation before hand and some time to it's customers.
CreditCardNoob
KF Rookie
They stopped taking application from December 2023 mid IIRC. While reducing limit is one thing, wonder why aren't they allowing new applications. Are they indeed closing down?
Bharatiya Nagrik
KF Mentor
I checked Scapia site today and saw that they don't give Scapia card to users who already have a federal Bank card like for example I have onecard credit card through Federal Bank. Doesn't make sense. Seems like some major issue going on in this collaboration.
CreditCardNoob
KF Rookie
That condition was always there. Existing federal bank customers won’t get the scapia card. Yea, weird but atleast it’s mentioned clearly.
What gets my goat is why aren’t they allowing new onboarding since more than a month. A startup needs customers first and here they are denying customer onboarding itself. Does it mean they are gearing up for a closure?
Bharatiya Nagrik
KF Mentor
Wasn't aware of it earlier. Doesn't seem fair though. New onboarding should have been continued if they want to be in business. Let's hope they don't plan to close shop soon.
