Axis Bank Issuing Cancellation Notices for Using Personal Credit Cards for Business Expenses

[TechnoFino]

Dear TFC members,

I would like to inform you that Axis Bank has begun sending commercial use notifications to their HNI cardholders as well. As you may already know, Axis Bank has a history of cancelling their customers' cashback cards such as Axis Ace and Axis Flipkart Card if they are used for business purposes.

Recently, Axis Bank has sent suspected commercial use notifications to their HNI cardholders such as Axis Magnus, Axis Reserve, etc. Unfortunately, I have also received a notification from Axis Bank and they are requesting spending justification within the next seven working days.

In case a customer is unable to justify their spending as personal, the bank will close all their credit cards.
During that time frame (Dec 2022 and Jan 2023), all of my spending was personal. I am currently in the process of submitting all the necessary documents to Axis Bank for spending justification.
The primary reason for this post is to advise our members that even if you are using a high-end credit card from a bank, they may still flag your transactions if they are related to business expenses.
If you intend to charge anything other than personal expenses to your personal credit card, please exercise caution.

Edit:- many people are asking for subject line of the email, Here it is- "Commercial Usage on your Axis Bank Credit Card Accounts"

Update - Axis Bank has already sent notifications to more than 200 accounts on March 4, 2023. Now they have sent such a cancellation notice to more than 500 credit card accounts yesterday. and they are also filtering more accounts. (S.N.)

 

[Indian]

In front of banking regulator and income tax department we can’t go like that.
With a 50 lakh portfolio no bank will take the pain of them being noticed for weak fraud checks

if its fraud check they close the card without notice! , as your stand every bank adhered the regulations? Please read written off loans every year in RBI website, demonetization era we all witnessed , how the currency exchange happened ? you watched recent thala movie ? private bank or institution running for PROFIT PROFIT PROFIT! They can take pain if customer credit worthy.

 

[dileep]

Update -
Axis Bank has already sent notifications to more than 200 accounts on March 4, 2023. Now they have sent such a cancellation notice to more than 500 credit card accounts yesterday. and they are also filtering more accounts.

Where r those 500 PPL pls come forward I only see ur post here regarding that

 

[dileep]

From twitter:

He looks fake tweeted after one year

 

[Wealth is my birth right!]

if its fraud check they close the card without notice! , as your stand every bank adhered the regulations? Please read written off loans every year in RBI website, demonetization era we all witnessed , how the currency exchange happened ? you watched recent thala movie ? private bank or institution running for PROFIT PROFIT PROFIT! They can take pain if customer credit worthy.

Got ur point
Yes thala movie and insurance scam is true

 

[Wealth is my birth right!]

Where r those 500 PPL pls come forward I only see ur post here regarding that

We r lucky
Not part of 499 😃

 

[Harry1]

What was your average monthly spends and what percentage of credit utilisation was there?

I used to think if u keep utilisation under 10-20%, then no bank will doubt business transactions irrespective of whatever you do.

 

[BhaiyaJi]

Sorry, I am not getting is 500 notices a small or big number compared to the HNI cards issued by Axis bank?

 

[Zacobite]

In front of banking regulator and income tax department we can’t go like that.
With a 50 lakh portfolio no bank will take the pain of them being noticed for weak fraud checks

This was overdue. Banks are under pressure.. Too much publicity nowadays is bad publicity.. Axis Magnus, HNI are getting too much limelight, hacks and all, they were bound to react to curb misuse.. while TF may be genuine there may be many who aren't in their usage..CCs have become a fad now.. will soon die down once people have to actually pay back...its a lure to make us spend more... dark times ahead with a looming recession

 

[thanix]

First, it was how to get Magnus, next it was how to become eligible for spend milestone, next is how to redeem with max rate. Next fad will be how to respond to Axis notice 😜

 

[Harry1]

His @TechnoFino card not going to close axis, as he may having more savings than cards with axis,( 5 cards with axis must be having some investments) he will handle this issue is his left hand, Example my friend received same notice from icici in 2018 , he replied i won't share any documents as you are not entitle to verify , you must ask the vendor or merchant for genuine transaction , if you close the card ,i close my savings account along with other investments, then nothing happen so far.

Fantastic 🤣

 

[ChurningNoob]

god save those who are using bharatNXT for rotating money.

🫡🫡🫡

 

[Deleted member 5552]

First, it was how to get Magnus, next it was how to become eligible for spend milestone, next is how to redeem with max rate. Next fad will be how to respond to Axis notice 😜

Now how to save this card from cancellation 😆

 

[vaibhav111]

We need a new thread with

Were the transactions related to running ads on Google, Fb, Amazon or something similar?

In my case, using a personal credit card for e-commerce ads resulted in a financial query from the credit card company. If the total amount spent in a year is close to 50 lakhs, it's necessary to separate and divide the amount into all credit cards. However, if the amount is between 12-25 lakhs, there shouldn't be any issues. Please note, this advice is for sole proprietors only, not agencies or partnerships. and i always use multiple card and add all my personal expense too and nowadays each would transaction would be 4956 x 10/20/30.

 

[Sharjeelshaikh]

What do you mean by high value, please? Request you to give an approximate range.

Thank you @TechnoFino

Like gifting a paid vacation to friend for anniversary

 

[Wealth is my birth right!]

First, it was how to get Magnus, next it was how to become eligible for spend milestone, next is how to redeem with max rate. Next fad will be how to respond to Axis notice 😜

May be we all maintain a standard template reply whoever get notice we respond to axis😋

 

[vaibhav111]

May be we all maintain a standard template reply whoever get notice we respond to axis😋

yeah in the future it will come handy just open note/google keep or any app you use for daily task or note-taking app and keep a template for various bank and just copy and edit some detail and send. voila, no need to sweat.

 

[phildunphy]

As if Axis needed one more reason to delay RP remittance, already they haven't debited points post March 1st, now they will quote this as reason and delay even more

 

[oshan]

Actually too many CC geeks are underestimating the risk if income tax notices and penalties in todays tech age where we cant avoid showing 100 rs of interest. That will come and bite people a lot. Always keep credit card spend max 60-65% of your annual ITR.

You need to do it properly, file extra income as business income as a commission agent or file in other income
maintain books of accounts, you will be sorted

 

[Nemesis]

First, it was how to get Magnus, next it was how to become eligible for spend milestone, next is how to redeem with max rate. Next fad will be how to respond to Axis notice 😜

Next... How to use Magnus C2C for switching to next best card before it's closed 😅

 

[Krishna1905]

Next... How to use Magnus C2C for switching to next best card before it's closed 😅

love this