Credit Card Reward Points Expiry: Rules and How to Save Them

Most credit card reward points in India do expire, commonly two or three years after you earn them, and almost all are lost if the card is closed or the account falls seriously overdue. Points usually expire batch by batch, so some of your balance can lapse every month without you noticing. The fix is simple: check the expiry schedule in your card app, redeem before points lapse or before closing a card, and avoid letting the account go overdue.

For how rewards compare with cashback, which does not need redeeming, see cashback vs reward vs travel credit cards.

How reward point expiry works

There is no single RBI rule on reward point validity. Each issuer sets expiry in its reward programme terms. As of October 2026, the common patterns are:

Validity can differ between cards from the same issuer, and premium cards sometimes get longer validity. Your card's reward terms, not a general list, are the final word.

When you can lose points before expiry

Points can disappear for reasons other than age:

• Card closure: most issuers forfeit unredeemed points when a card is closed, whether you close it or the bank does.
• Overdue account: many programmes suspend redemption while dues are unpaid and forfeit points if the account is overdue beyond a set period or is written off.
• Inactivity closure: RBI's credit card directions let an issuer begin closing a card that has not been used for over one year, after informing you. If you do not reply within 30 days, the card is closed, and points usually go with it.
• Misuse or non-personal spends: issuers reserve the right to reverse points earned on transactions they consider commercial or against programme rules.
• Programme changes: an issuer can change the programme, for example limiting redemption options or adding caps, after notice.

What happens on a card upgrade or product change

When an issuer converts your card to another variant from the same bank, points are usually carried over to the new card. This is a common case where points survive, but it is not guaranteed. Before you accept an upgrade or downgrade, ask the issuer in writing whether your points, and their original expiry dates, will move across.

RBI rules also say a card cannot be upgraded without your explicit consent, so you can delay a change until you have redeemed.

Worked example: points at risk

Illustrative. Imran's card earns points that are valid for 24 months on a rolling basis. His app shows this schedule in October 2026:

His issuer values points at ₹0.25 each as statement credit and ₹0.40 each as vouchers, with a ₹99 redemption fee plus 18% GST (₹116.82) per request. The card is hypothetical.

• If he does nothing: 8,000 points lapse over three months. At voucher value, that is 8,000 × ₹0.40 = ₹3,200 lost.
• If he redeems three times, once a month: each batch converts separately, and he pays the fee three times. Total value = ₹3,200 − (3 × ₹116.82) = ₹3,200 − ₹350.46 = ₹2,849.54.
• If he redeems all 8,000 points now in one request: value = ₹3,200 − ₹116.82 = ₹3,083.18.

One redemption today saves him ₹233.64 in fees compared with three separate ones and preserves ₹3,083.18 that would otherwise vanish. To compare redemption options properly, see our guide to reward point value calculation.

How to check expiry

1. Card app or net banking: most issuers have a rewards section with the balance, points earned and points expiring soon.
2. Monthly statement: many statements show opening points, earned, redeemed, and points expiring in the coming months.
3. Reward programme terms: the issuer's website has the full terms, including validity and forfeiture rules.
4. Customer care: ask for a batch-wise expiry breakdown if the app shows only a total.

Set a calendar reminder every quarter to check the "expiring soon" figure.

How to avoid losing points

• Redeem regularly. Do not hoard points for a dream redemption that may never come, especially as issuers have cut reward values during 2026.
• Combine into one redemption where a flat fee applies, but redeem before the earliest batch expires.
• Use low-effort options when time is short. Statement credit or vouchers at a lower value beat zero.
• Redeem before closing a card. Clear dues, redeem everything, wait for the redemption to complete, then request closure. Read should you close your oldest credit card before deciding.
• Keep the account current. Pay at least the full statement balance on time; an overdue account can freeze or forfeit points.
• Use dormant cards once in a while to avoid an inactivity closure, if you want to keep the card.
• Think twice before converting to miles. Transferred miles follow the airline or hotel programme's own expiry rules, which may be shorter.

Closing a card without losing points

1. Check the balance and any points pending from recent transactions or offers.
2. Redeem all points and confirm the credit or voucher has arrived.
3. Clear all dues, including any fee charged after the last statement.
4. Request closure through the app, customer care, email or branch. Under RBI's credit card directions, the issuer must complete closure within seven working days of your request if there are no dues, or pay you ₹500 a day for the delay.
5. Collect any credit balance; RBI rules require it to be transferred to your bank account.

If the issuer ignores the request, see credit card closure not processed for complaint steps.

If points expired unfairly

Issuers are not required by RBI to reinstate points that expired under the terms. But if points lapsed because of an error, such as a failed redemption, points not credited on time, or a programme change without notice, you can complain:

1. Write to the card's grievance or nodal officer with dates, points and screenshots.
2. If there is no satisfactory reply within 30 days, complain to the RBI Integrated Ombudsman at cms.rbi.org.in.

Key takeaways

• Most Indian reward points expire, commonly two or three years after they are earned, often batch by batch.
• Points are usually forfeited when a card is closed, including closure for inactivity or an overdue account.
• Check the "points expiring" figure in your app or statement every quarter.
• Redeem before closing a card, and combine redemptions when a flat fee applies.
• No points programme is worth carrying a balance; card interest wipes out rewards quickly. See our credit card interest calculator.