“RBL Bank Ltd. and Bajaj Finance Ltd. have been in discussion over the last month, and it was felt that synergies through this co-brand partnership have undergone significant change over time. It was therefore decided to stop issuance of new co-branded credit cards under this partnership,” the filing said.
Existing cardholders will not be affected, as their co-branded credit cards will continue to function under the same terms and conditions. Upon renewal, these cards will be reissued as RBL Bank-branded cards.
RBL Bank highlighted its substantial growth in credit card issuance capabilities in the last 18 months, both through direct channels and new co-branding ventures.
The bank’s reliance on Bajaj Finance for co-branded card issuance has reduced, with new card issuance dropping from 126,000 in September 2023 to around 37,000 in September 2024.
The partnership, which saw the issuance of approximately 3.4 million co-branded credit cards, has contributed significantly to RBL Bank’s credit card portfolio. The bank will continue to service the existing cards, ensuring customer satisfaction and seamless support.
On Friday, RBL Bank’s shares closed 1.6% lower at ₹154.98, while Bajaj Finance’s shares saw a 1.02% increase, closing at ₹6,575.90.
