CURRENT AFFAIRS
CURRENT AFFAIRS
Description
RBL Bank, a private sector lender, has launched a new credit card in collaboration with Indian Oil Corporation called the 'Xtra Credit Card,' as part of a strategy to moderately develop its credit card portfolio and increase client engagement. The action comes as the RBI investigates the rapid development of the riskier unsecured credit market.
Strategic Focus
RBL Bank expects a moderate increase in its credit card portfolio, with a 15% gain if the industry grows by 20-25%. Instead than aggressively gaining market share, the focus is on earning appropriate capital returns, enhancing internal unit economics, and deepening cross-sell opportunities.
Regulatory Concerns
The RBI has voiced concern about the rapid growth of the unsecured lending segment, which has resulted in higher risk weights for such assets. Despite these hurdles, RBL Bank is determined to continue its presence in the credit card business without seeking a higher market share.
Personal Loan Approach
RBL Bank prefers to give personal loans, another type of unsecured lending, to existing customers or those who approach the bank rather than actively pursuing new consumers.
Multiple-Pronged Strategy
The bank's approach includes establishing a field team for card promotion, pursuing co-branded relationships with state-owned enterprises like as IRCTC and IOCL, cooperating with consumer brands such as Patanjali, and forging alliances with fintechs and non-bank lenders.
Card Features
The 'Xtra Credit Card' provides 7.5% cash back at Indian Oil Corporation stations and 1% on all other transactions. It is offered in five variations, each priced at Rs 1,500.
Market Dynamics
Fuel-related spending now accounts for more than 10% of RBL Bank's total credit card transactions, up from 7–8% previously. This increase reflects larger industry trends, such as rising fuel prices and a shift from two- to four-wheelers.
Welcome to Notopedia.com, your free learning platform that caters to the diverse needs of students and aspirants across a spectrum of entrance exams and educational endeavors. Whether you're preparing for highly anticipated exams like CAT 2023, NEET 2023, JEE Main, or bank job vacancies, our platform offers a wealth of resources to guide you towards success. Stay up-to-date with the latest exam dates, announcements, and results for various government recruitment exams, including SSC CGL, CHSL, NDA, and UPSC. Explore comprehensive study materials, sample papers, and exam patterns to hone your skills and boost your confidence. From important dates like CBSE Class 10 and 12 date sheets to exam-specific information like JEE Main 2023 application form date, we cover it all. Notopedia.com is your go-to source for everything from admissions and admit cards to scholarships and college information. Whether you're aiming for a career in defense, government, banking, or higher education, our free learning platform equips you with the knowledge and resources you need to excel. Join us in your educational journey and unlock a world of opportunities, guidance, and comprehensive support.
For more Updates and Information - Visit Notopedia's Bulletin Board
For Latest Sarkari Jobs - Visit Notopedia's Sarkari Jobs Section
For access to more than 20,000 Colleges - Visit Notopedia's College Section
For School Studies and Exams Preparation across 14 Boards - Visit Notopedia's School Section
For Comprehensive Preparation of Sarkari Job Exams - Visit Notopedia's Sarkari Exams Section
