Tier-2 Cities Fuel 25% Credit Card Spend Spike: HDFC’s Rewards Race Ahead

Tier-2 tills ring louder: Spends hit ₹16,911/card Q3 (+25% YoY, TransUnion), with HDFC’s Swiggy/Infinia cards luring 2M via 5% UPI rewards. Non-metros claim 35% of 109M cards; #Tier2Cards X debates (80K) hail “aspirational shift.”

Delinquencies 1.8% (RBI); inflation 3.3% strains. Vs. China’s 50% penetration, India’s 8% grows 15% May spends.

Spend Spectrum: Data and Drivers

E-com +30%; Indore rivals Bengaluru’s ₹50L annual. AI scoring cuts defaults 12%.

Reward Realities

Priya’s ₹5K grocery saves; 36% APR traps flagged (CIBIL 40% unaware).

Bank Battles: SBI vs. ICICI

SBI 17M cards, 12% revenue; HDFC 18M leads. Slice’s 0% EMI nips.

Card Savvy

45-day grace; 9.99% transfers.

• Spend Soar: +25% to ₹16,911; tier-2 35% share.
• Risk Radar: 1.8% delinquencies; AI -12%.
• HDFC Hook: 5% rewards, 2M adds.

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