BOB Credit Card Charges 2026: Every Fee, Interest Rate & Late Payment Penalty Explained

Key Takeaways

• BOBCARD revised several features and charges effective 1 April 2026. If you are an existing cardholder reading older information, verify current terms at bobcard.co.in before assuming rates are unchanged.
• The interest rate on most BOBCARD cards is 3.49% per month (41.88% per annum). Premium cards (Eterna, Varunah Premium) attract a slightly lower rate of 3.25%/month (39% p.a.).
• Interest-free period is 20–50 days — but this disappears entirely if you carry even ₹1 of outstanding from the previous month.
• Late payment fee is slab-based — ranging from ₹0 (if outstanding is below ₹100) to ₹1,300 (if outstanding exceeds ₹50,000). This is in addition to, not instead of, interest charges.
• Cash advance fee is 2.5% of the amount withdrawn or ₹500, whichever is higher — and interest starts from day one of withdrawal with no grace period.
• A 1% rent payment processing fee applies to all transactions at MCC 6513 (rent merchants) — a charge many cardholders discover only after their first rent payment.
• Overlimit charges: 2.5% of the overlimit amount, minimum ₹600 — if you spend beyond your credit limit.
• GST at 18% applies on all fees, interest charges, and penalties.

Annual and Joining Fees: Card by Card

Annual and joining fees vary across BOBCARD's product range. The joining fee applies in Year 1; the renewal/annual fee applies from Year 2 onward. Most cards offer an annual fee waiver on meeting a spend threshold.

Source: bobcard.co.in. Fees subject to change. Verify current fees for your specific card variant at bobcard.co.in/most-important-terms-and-conditions.

When is the fee charged? The joining fee appears in your first statement. The renewal fee appears in the statement generated in the first month after your card's anniversary year completes. Fee waivers require meeting the spend threshold in the preceding anniversary year — BOBCARD credits the waiver automatically if the spend condition is met and your account is not delinquent.

Interest Rate: What You Pay When You Do Not Pay in Full

The BOBCARD interest rate is the most significant charge to understand — because at 41.88% per annum, carrying a balance makes any reward or cashback the card earns financially irrelevant.

Rates as per BOBCARD MITC and verified sources. Subject to change — always check your Key Fact Sheet or MITC for your specific card.

When Does Interest Apply?

Interest on your BOBCARD is charged in three situations:

1. When you do not pay the full statement balance by the due date. Even paying ₹1 less than the total amount due triggers interest on the entire outstanding balance — not just the unpaid portion. This is how revolving credit card interest works.

2. When you make a cash advance (ATM withdrawal). Interest on cash advances starts from the day of withdrawal with zero grace period — even if you pay your full outstanding on time.

3. On new transactions when you carry an outstanding balance. If you did not clear the previous month's balance in full, new purchases in the current cycle start accruing interest from their transaction date — the interest-free grace period does not apply.

How Interest Is Calculated

BOBCARD calculates interest using a Daily Periodic Rate (DPR). The formula: Annual Rate ÷ 365 = DPR. At 41.88% p.a., the DPR is approximately 0.1147% per day.

Example: If you have ₹20,000 outstanding from a previous month and do not pay the full amount by the due date:

• Daily interest: ₹20,000 × 0.1147% = ₹22.94/day
• Over 30 days (one billing cycle): ₹22.94 × 30 = ₹688.20 in interest
• Over the same 30 days, the HPCL Energie card would have earned approximately ₹200 in fuel reward value on ₹5,000 in fuel spend

The interest cost (~₹688) exceeds the rewards (~₹200) within a single billing cycle. The arithmetic of reward cards works only when the balance is cleared fully and on time.

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Interest-Free Grace Period: 20 to 50 Days

BOBCARD offers an interest-free grace period of 20 to 50 days on purchase transactions — one of the longer grace period ranges in Indian credit cards.

How the range works: The exact number of days depends on when within your billing cycle you made the transaction.

Example: If your billing date is the 1st of the month:

• Purchases made on 1 April: Billed in the 1 May statement. Due date: 20 May. Grace period from transaction: 50 days.
• Purchases made on 30 April: Also billed in the 1 May statement. Due date: 20 May. Grace period: 21 days.
• Purchases made on 14 April: Due 20 May. Grace period: 37 days.

The critical condition: The interest-free grace period applies only if:

1. You paid the previous month's statement balance in full by the due date, and
2. You have no ATM cash advance outstanding on the account

If either condition is not met, the grace period disappears and interest applies from the transaction date.

Late Payment Fees: The Slab Structure

BOBCARD's late payment fee applies when the Minimum Amount Due (MAD) is not received in your card account by the payment due date. The fee is slab-based by outstanding amount:

Source: BOBCARD MITC and verified aggregator sources. Subject to change — verify at bobcard.co.in/most-important-terms-and-conditions.

Important: The late payment fee is charged in addition to interest, not instead of it. A missed payment on a ₹15,000 outstanding triggers both a ₹950 late fee and interest at 3.49%/month on the full outstanding. The combined cost is ₹950 + ₹524 (one month interest on ₹15,000) = ₹1,474 in a single billing cycle.

Minimum Amount Due calculation: BOBCARD's MAD is typically 5% of the outstanding amount or a minimum floor of ₹200, whichever is higher (with some exceptions depending on card type and outstanding composition). Paying only the MAD keeps the account in good standing but triggers interest on the remaining balance.

Cash Advance Charges

Using your BOBCARD at an ATM to withdraw cash triggers two separate charges:

Cash advance transaction fee: 2.5% of the amount withdrawn or ₹500, whichever is higher.

Cash advance interest: Interest at the applicable monthly rate (3.49% for most cards) starts from the date of withdrawal — there is no grace period. Even if you pay the cash advance amount in full by the next due date, the daily interest from the withdrawal date to the payment date is charged.

Example: Withdraw ₹10,000 on 5 May. Pay it back in full on 20 May (15 days later).

• Transaction fee: ₹500 (higher of ₹250 or ₹500 minimum)
• Interest for 15 days: ₹10,000 × 0.1147% × 15 = ₹172
• Total cost: ₹672 for a 15-day ₹10,000 cash advance

Cash advance limit: BOBCARD sets the ATM withdrawal limit at approximately 20–40% of your total credit limit, at the bank's discretion. Check your card statement or call customer care to confirm your specific cash limit.

Foreign Currency (Forex) Charges

Using your BOBCARD internationally — for purchases abroad, on international websites priced in foreign currency, or at international ATMs — triggers a forex markup charge.

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The forex markup is charged on the converted INR amount at the time of transaction. GST at 18% applies to the markup fee itself.

Why this matters: If you use the HPCL Energie card for an international purchase of ₹10,000 equivalent, you pay ₹350 in forex markup on top of the transaction. At the same time, you earn 2 RP/₹150 (base rate, no acceleration on international spends) = ₹13.33 in reward value. The forex cost exceeds the reward by ₹337 on a single transaction. For international use, the BOBCARD Etihad Guest Premium's 0% forex markup is a genuinely differentiated benefit.

Overlimit Charges

If a transaction takes your outstanding balance above your sanctioned credit limit, BOBCARD charges an overlimit fee:

Overlimit fee: 2.5% of the overlimit amount, minimum ₹600.

Example: Your credit limit is ₹1,00,000 and your outstanding reaches ₹1,05,000 (₹5,000 over limit). Overlimit fee = 2.5% × ₹5,000 = ₹125, but subject to ₹600 minimum — so you pay ₹600.

Overlimit transactions are not automatically declined — BOBCARD may allow them and then charge the fee. Monitor your available credit limit actively to avoid this charge.

Rent Payment Fee

A charge that catches many cardholders off guard: BOBCARD levies a 1% processing fee on all rent payment transactions made through MCC 6513 (the Merchant Category Code for rental accommodation).

Example: Rent of ₹20,000 paid via a rent payment platform using your BOBCARD. Fee = 1% × ₹20,000 = ₹200, plus 18% GST = ₹236 total.

Additionally, most BOBCARD cards do not earn reward points on rent transactions — so you pay a 1% fee and earn nothing. Check your card's MITC for the excluded MCC list before using your BOBCARD for rent.

Other Charges to Know

Statement re-issue fee: A charge applies for requesting duplicate physical statements — use the BOBCARD app or portal to access statements digitally at no cost.

Reward redemption fee: Check your specific card's MITC. Some redemption options through the BOBCARD portal are free; others (particularly physical vouchers or catalogue items) may attract a processing fee.

Cheque/payment return charge: If a cheque payment to your BOBCARD account is returned unpaid, a dishonour charge applies — check MITC for the current amount.

All charges attract 18% GST on top of the base fee amount.

How to Avoid Every Unnecessary Charge

The charges above range from unavoidable (annual fee if you do not meet the spend threshold) to entirely preventable (late payment, overlimit, cash advance interest). Here is the complete avoidance playbook:

Pay the full statement balance before the due date, every month. This single habit eliminates interest charges, late payment fees, and ensures the interest-free grace period applies to the following month's transactions.

Set up an auto-pay mandate via your bank's net banking for the full statement balance, not just the minimum due. This removes the risk of a missed payment even when you forget.

Track your available credit limit. BOBCARD's app and portal show your real-time credit utilisation. Keep utilisation below 80% of your limit to avoid overlimit charges and to protect your CIBIL score.

Do not use your credit card at ATMs. The 2.5% fee plus immediate interest makes cash advances one of the most expensive borrowing options available. Use your debit card or UPI for cash needs.

Check the MCC before recurring transactions. Rent payments (MCC 6513) attract a 1% fee. Confirm whether your utility provider, insurance, or other recurring charges fall under excluded MCCs before setting up standing instructions.

Keep your registered mobile number and email updated. BOBCARD announces fee revisions with 30 days' notice via the website — if your contact details are current, you will receive alerts before revisions take effect.