What is Credit Card Settlement?
Credit card settlement is when you negotiate with your bank to pay a portion of your outstanding amount, usually when you're unable to pay the full debt. It may impact your credit score but offers relief in tough financial times.
When Do You Consider Settlement?
Consider settlement if: – You can't pay your full SBI Titan Credit Card dues – You've lost your job or income Your outstanding has grown beyond repayment capacity
Role of SBI in Credit Card Settlement
SBI offers settlement options after evaluating your financial status. You may have to explain why you're unable to pay the full amount. The process usually starts after missed payments.
SBI Titan Credit Card Overview
Before settlement, understand what the SBI Titan Credit Card offers: – ₹2,999 joining fee – Reward points on lifestyle spends – Easy EMI conversion Fuel surcharge waiver
Impact of Settlement on Credit Score
Settling your card dues reduces your credit score, often by 75–100 points or more. It will be reported as "settled" and stays on your credit report for 7 years. Avoid unless absolutely necessary.
Steps in the Settlement Process
– Missed payments flag you to the bank – SBI contacts you for alternate payment options – You propose a settlement amount – SBI approves or counters – You pay the agreed amount Get a No Dues Certificate
Things to Know Before You Settle
– You lose eligibility for future loans/cards for a while – You won't earn further rewards on the SBI Titan Card Late fees and interest might still apply until the amount is settled
Alternatives to Settlement
Try these before settlement: – Convert to EMI – Pay minimum due to avoid default – Use reward points to reduce bill Contact SBI for deferment plans
How to Initiate a Settlement Request
You can: – Call SBI Card customer care at 1860 180 1290 – Visit your nearest SBI branch -Email your financial hardship details to SBI Ensure you get all terms in writing before making payment.
Final Tip – Use Credit Wisely
Avoid settlement by managing your SBI Titan Credit Card smartly: – Spend within your limit – Pay dues on time – Redeem rewards – Monitor statements monthly Good habits now can save your credit score later!