Several Founders, Co-Founders, CXO Bankers, CXO Fintech professional & people who participated in the ePanel discussions:
- Many other CEO/CXO Bankers & Fintech professionals on FIAKS Forum requested to remain anonymous
- Mr. Prasad Desai, Senior Vice President, India Transact Services Ltd
- Mr. Narayan Rao, Chief Services Officer, Suryoday Small Finance Bank
- Mr. Anupam Mishra, former Head – Digital Banking, Cards, & Payments, Jana Small Finance Bank
- Mr. Pratap Ghosh, Head Liabilities Product Group, Bandhan Bank Ltd
- Mr. Neeraj Chandra, Head of Operations & Technology, Abu Dhabi Commercial Bank
- Mr. Rajiv Rai, former Chief Digital Officer, Edelweiss
- Mr. Raj K Prasad, Head – GCC & CEO, DIFC Branch at Axis Bank
- Mr. Jaideep Pawar, Associate Director- Sales, Euronet Worldwide
- Mr. Hemal Shah, Technical Product Manager, Mastercard
- Mr. Varadarajan CK, Vice President, Compliance, Equitas Small Finance Bank
- Mr. Vikas R Panditrao, Co-Founder, Forum of Industry and Academic Knowledge Sharing (FIAKS)
FIAKS community member shared the following text message regarding cashback on fuel transactions, “Dear SBI Credit Cardholder, as advised by Public Sector Oil Marketing Companies, the 0.75% Cashback on fuel transactions will be discontinued effect from 1 Oct’19. T&C’’
First, let’s see when and how this cashback scheme started for fuel transactions?
- To recall the GOI had to pressurize Oil Companies to bear the processing charges as Petrol Pump Association had called for Strike and threatened to do away with POS acceptance as it was an additional cost for the pump owners.
- And that’s when Oil companies started this cashback, which is now going to be stopped for credit cards. Cashback for debit cards will continue.
To understand the issue the FIAKS posted an illustration as under:
- So, if the fuel cost = Rs 100, the customer was charged = Rs 100.75 and then
the customer was given back = Rs 0.75 Is this Correct? - From 1st Oct’19 onwards, Fuel companies will charge = Rs 100.75 and no cashback of Rs 0.75 will be given to the customers.
The two issues in such scenarios are :
- The customer is charged Rs 0.75 extra which is certainly unfair. Isn’t it?
- No cashback means no incentive to use digital channels. Isn’t it?
So now, does this mean if you pay for fuel with a credit card, you will be charged extra? Register and Read the entire discussions