Does SBI charge a redemption fee when I use my credit card reward points for flights, vouchers, or cashback? If so, how much is it, and is there a way to avoid it?
Yes, SBI does charge a redemption fee when you redeem your reward points, which is something a lot of people don’t realize until they actually try using them. The fee is ₹99 + GST (around ₹117 total) per redemption request. This applies whether you’re redeeming for flights, vouchers, merchandise, or even statement credit.
I found this out the hard way when I tried to redeem my points for an Amazon voucher, only to see a ₹117 charge on my statement. It’s not a huge amount, but if you’re redeeming small amounts frequently, the fees can add up. To avoid unnecessary charges, I now wait until I have a large number of points and redeem them in one go instead of multiple smaller redemptions. Also, some premium SBI cards like SBI Elite and SBI Prime offer better redemption rates, so if you have a high-spending pattern, it’s worth considering an upgrade.
So, while SBI reward points are useful, the redemption fee is an annoying little catch that you should factor in before planning your redemptions!
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SBI usually does not charge a fee just for redeeming your reward points, whether it’s for flights, vouchers, or cashback. The points themselves are like currency you’ve earned, so using them shouldn’t cost extra. That said, some specific redemption partners or platforms might have their own terms, but SBI itself won’t add a redemption fee.
To avoid surprises, just check the terms for the redemption option you pick in your SBI rewards portal or app. If anything looks like a fee, it’s usually spelled out there. So basically, redeem away without worrying about extra charges from SBI.
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Yes. If you redeem your reward points for physical products or if you want statement credit (cashback) for your reward points, you will be charged a fee of INR 99 plus taxes. If you are redeeming your points against digital vouchers, there is no fee applicable.
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