RBL Bank Shifts Strategy: Focus on Moderate Credit Card Growth and Cross-Selling

Private sector lender RBL Bank plans to moderately grow its credit card portfolio while focusing on customer engagements and cross-selling. The bank, led by Bikram Yadav, recently launched the 'Xtra Credit Card' in partnership with Indian Oil Corporation, emphasizing reasonable returns over aggressive growth.

Private sector lender RBL Bank has announced its intention to moderately expand its credit card portfolio while concentrating on internal economics and customer engagement. This strategic shift aims to balance growth with deeper cross-selling opportunities, according to a senior bank official.

Speaking after the launch of the 'Xtra Credit Card' in collaboration with Indian Oil Corporation, Bikram Yadav, the bank's business head for credit cards, emphasized that RBL Bank is prioritizing reasonable returns on capital deployed over aggressive market share growth. Yadav highlighted that the RBI's recent measures to mitigate risk in the unsecured segment have influenced the bank's cautious approach.

The bank's new strategy also involves co-branded offerings with state-owned entities and brand partnerships aimed at enhancing customer value. Notably, the 'Xtra Credit Card' provides significant cashback benefits on fuel purchases, aiming to make it the preferred choice among customers.

(With inputs from agencies.)