ICICI Bank has announced an important update for its credit card customers. The bank has changed the way the Minimum Amount Due (MAD) is calculated.
This change will come into effect in two phases:
March 1, 2026
March 20, 2026
In addition, the bank has also revised the rules for airport lounge access.
This update mainly affects customers who pay only the Minimum Amount Due instead of the full bill every month. The new MAD calculation will now include several extra charges, making it more detailed than before.
Major Change in Minimum Amount Due (MAD)
ICICI Bank has said that the new MAD calculation will be implemented in two phases for different credit card categories.
Cards with New MAD from March 20, 2026
Business Black Advantage
Business Blue Advantage
Business Platinum
Platinum Credit Card
Corporate Gold
Travel Credit Card
Self Employed Credit Cards
Cards with New MAD from March 1, 2026
Emeralde Private Metal
Times Black ICICI Bank Credit Card
Emeralde Mastercard Credit Card
What is Minimum Amount Due?
The Minimum Amount Due (MAD) is the minimum payment you must make every month to:
Avoid your account going into “default”
Avoid late payment fees
However:
Paying only MAD does not clear your full bill.
Interest continues to be charged on the remaining unpaid amount.
Under the new rules, the MAD amount may be higher than before.
How Will the New MAD Be Calculated?
ICICI Bank has introduced a structured formula. Earlier, MAD was usually a small percentage of the total bill. Now, multiple components will be added, such as:
GST
EMI (Principal + Interest)
Fees & Charges
Overlimit Amount
Previous MAD (if unpaid)
5% of Retail Spend + Cash Advance
Finance Charges
Scenario A: When 5% of Expenses is Higher Than Finance Charges
If 5% of your total expenses is more than the finance charge, the MAD will be calculated as:
GST + EMI + Fees + Overlimit + Previous MAD + 5% of Spend
Example: If your credit limit is ₹35,000 and 5% of spending exceeds finance charges, this formula will apply.
Scenario B: When Finance Charges Are Higher Than 5% of Expenses
If finance charges are more than 5% of your expenses, the full finance charge will also be added.
In this case, MAD will be:
5% of Spend + Full Finance Charge + EMI + Fees + Overlimit + Previous MAD
Example: If your credit limit is ₹1,15,000 and finance charges exceed 5%, this formula will apply.
What Does This Mean for Customers?
Earlier:
MAD was usually a small portion of the total bill.
Now:
EMI amount can be included.
Fees and charges will be included.
Finance charges will be included.
Overlimit amount will be added.
This means the Minimum Amount Due will no longer appear very small. It will reflect a more realistic outstanding balance.
Airport Lounge Access Rules Also Changed
ICICI Bank has also announced new spending-based rules for complimentary airport lounge access.
Effective Date: July 1, 2026
To get complimentary lounge access, customers must spend ₹75,000 in the previous quarter.
Example
| Lounge Quarter | Spending Period | Minimum Spend Required |
|---|---|---|
| July–September 2026 | March 26 – June 25, 2026 | ₹75,000 |
So, if you want lounge access between July and September 2026, you must spend ₹75,000 between March 26 and June 25, 2026.
Why Did the Bank Make This Change?
According to ICICI Bank, the new MAD structure aims to:
Reflect the actual outstanding balance more clearly
Reduce credit risk
Make balances more transparent
Discourage customers from paying only the minimum amount
Which Customers Will Be Most Affected?
Customers who pay only the Minimum Amount Due
They may now see a higher MAD.
Customers with ongoing EMIs on their credit cards
EMI amounts can be included in MAD.
Customers who exceed their credit limit
Overlimit amounts will now be added to MAD.
Revolving credit users
Higher finance charges will increase MAD.
The Most Important Things to Remember
Minimum Amount Due does not mean full payment.
Interest will continue even after paying MAD.
The new system includes more charges in MAD.
The real risk and actual outstanding amount will now be more visible.
