Core Viewpoint - Recent adjustments to high-end credit card benefits by multiple banks indicate a shift towards a more sustainable and long-term operational model in the credit card industry, reflecting the pressures faced by banks in a competitive market [1][4]. Group 1: Bank Adjustments - Several banks, including China Merchants Bank, Everbright Bank, and HSBC China, have announced updates to their high-end credit card products, such as increasing usage thresholds and adjusting applicable ranges [1]. - China Merchants Bank's adjustments include changing the annual fee waiver conditions for its high-end credit cards, moving from "10,000 points for annual fee waiver" to "10,000 points + 180,000 yuan in rigid spending for annual fee waiver" [2]. - Over 10 banks have made similar adjustments to their high-end credit card benefits this year, with notable changes including the removal of airport lounge services and reductions in overseas spending cashback [3]. Group 2: Market Dynamics - The credit card market is entering a phase of stock competition, characterized by declining growth rates in card issuance and rising customer acquisition costs [3]. - Experts suggest that banks are raising thresholds to filter customers, directing resources towards high-spending and high-contribution users, which may enhance overall profitability in the credit card sector [3]. - Since 2025, over 30 credit card centers have been closed, indicating a trend towards consolidation and efficiency within the industry [3]. Group 3: Expert Opinions - Analysts view the current adjustments not merely as a reduction in benefits but as proactive measures by banks to pursue sustainable business models and promote overall industry health [4].

Group 1 - The credit card business is currently focused on cost reduction and efficiency improvement, with a shift towards a stock competition era where product benefits are diminishing [1][4] - A state-owned bank announced that starting from September 14, 2025, litigation-related fees due to overdue credit card accounts will be included in the statement of the involved credit cards, which includes various fees such as litigation fees, arbitration fees, and others [2][3] - The People's Bank of China reported a decline in the total number of credit cards issued, with 727 million cards as of the end of 2024, a year-on-year decrease of 5.14% [3][4] Group 2 - Over 40 bank credit card centers have been approved to cease operations this year, indicating a significant shift in the credit card market from growth to stock competition [4] - The competitive landscape for credit cards is intensifying, with traditional banks facing pressure from emerging fintech companies that offer similar consumer finance products, leading to a reduced reliance on credit cards by consumers [4] - The role of credit cards is evolving, as mobile apps are increasingly used to connect with retail customers, diminishing the traditional utility of credit cards in customer data accumulation and cross-selling [4]

Core Insights - The domestic credit card market is undergoing significant changes, including reduced benefits, discontinuation of certain products, and closure of credit card centers, indicating a transformation in the industry [1][3][4] Group 1: Adjustments in Credit Card Benefits - Several banks, including China Merchants Bank and Everbright Bank, have announced adjustments to high-end credit card benefits, focusing on increasing usage thresholds, modifying point accumulation rules, and reducing high-cost benefits [2][4] - Specific changes include higher thresholds for redeeming points for miles, shortened validity of points, and a shift from premium benefits like airport lounges to more practical benefits such as shopping discounts [2][3] Group 2: Discontinuation of Credit Card Products - Many banks, including Agricultural Bank of China and Postal Savings Bank, have stopped issuing certain credit card products, particularly co-branded cards in sectors like aviation and e-commerce, citing business strategy adjustments and the need to enhance service quality [3][4] Group 3: Shift from Expansion to Optimization - The credit card industry is moving from a phase of rapid expansion to one focused on optimizing existing customer relationships, with banks needing to streamline inefficient products and concentrate on core customer segments [4][5] - This transition is driven by intensified competition in the credit consumption market, pressure on credit assets, and the need to adapt to consumer preferences for high-frequency, essential spending scenarios [4][6] Group 4: Future Development Directions - The focus for future growth will be on maximizing the value of existing customers, creating tiered benefit systems for different customer segments, and enhancing coverage of high-frequency spending scenarios [5][6] - The integration of credit cards with wealth management and private banking services aims to elevate credit cards from mere customer acquisition tools to central components of value creation [6]

Core Insights - The domestic credit card market is undergoing significant changes, including reduced benefits, discontinuation of certain products, and closure of credit card centers, indicating a transformation in the industry [1][3][4] Group 1: Adjustments in Credit Card Benefits - Several banks, including China Merchants Bank and Everbright Bank, have announced adjustments to high-end credit card benefits, focusing on increasing usage thresholds, modifying point accumulation rules, and reducing high-cost benefits [2][4] - Specific changes include increased requirements for redeeming points for miles and adjustments to annual fee waivers, such as requiring a minimum spending threshold alongside points [2][3] Group 2: Discontinuation of Credit Card Products - Many banks, including Agricultural Bank of China and Postal Savings Bank, have stopped issuing certain credit card products, particularly co-branded cards in sectors like aviation and e-commerce, citing business strategy adjustments and service quality improvements [3][4] Group 3: Shift in Industry Focus - The credit card industry is transitioning from an expansion phase to a focus on optimizing existing customer value, emphasizing the need for banks to streamline inefficient products and concentrate on core customer segments [4][5] - Factors driving this shift include intensified competition in the credit consumption market, pressure on credit assets, and the need to adapt to consumer preferences for high-frequency, essential spending scenarios [4][5][6] Group 4: Future Development Directions - Future strategies will involve deepening customer engagement through tailored benefits for different customer segments, enhancing self-operated service coverage, and integrating credit cards with wealth management and private banking services [5][6] - The industry is moving towards a model that prioritizes quality over quantity, focusing on value contribution and improving comprehensive financial service quality for high-end customers [6]

Core Viewpoint - The credit card industry is undergoing significant changes as banks, including China Merchants Bank (CMB), adjust their high-end credit card offerings in response to regulatory pressures and market competition, aiming for sustainable business models rather than short-term promotions [2][3][5]. Group 1: Changes in Credit Card Offerings - CMB announced that starting September 1, 2025, it will replace its dual-branded high-end magnetic stripe credit cards with chip versions, introducing new spending thresholds for benefits [2]. - The classic platinum credit card now requires an annual spending of 180,000 yuan to redeem 3,600 yuan in annual fees, while supplementary cards have a new threshold of 100,000 yuan [2]. - Other banks, such as Everbright Bank and SPDB, have also announced adjustments to their high-end credit card benefits, including changes to lounge access and reward redemption [3]. Group 2: Industry Trends and Responses - The credit card sector is experiencing a broader trend of increasing usage thresholds, adjusting point systems, and reducing high-end benefits across multiple banks [3][5]. - CMB's credit card circulation decreased by 259,100 cards to 9,685,900 by the end of 2024, with a decline in transaction volume by 8.23% year-on-year [5]. - The adjustments in high-end benefits are seen as a response to the "involution" phenomenon in various industries, aiming to shift focus from aggressive expansion to high-quality development [5][6]. Group 3: Cost Management and Value Creation - High-end credit card benefits are significant resource consumers for banks, with operational costs exceeding 1,000 yuan per card for certain privileges [7]. - The industry is facing pressure from third-party entities exploiting high-end benefits, leading to increased costs for credit card centers [7]. - The shift towards rationalizing benefits is intended to encourage banks to focus on sustainable practices and value creation in the credit card sector [8].

Core Viewpoint - The recent adjustments in high-end credit card benefits by multiple banks are proactive measures aimed at achieving sustainable business models and overall industry health, rather than merely a reduction in benefits [1][2]. Group 1: Adjustments in High-End Credit Card Benefits - Major banks, including China Merchants Bank, have announced updates to high-end credit card products, such as increasing usage thresholds and adjusting applicable ranges [1]. - The adjustments reflect a shift from a focus on short-term promotional products to long-term offerings that align with customer needs, maintaining a stable and optimized benefits structure [2][3]. - The changes include the introduction of new benefits for certain card types while increasing the spending requirements for others, indicating a strategic alignment with customer expectations and market demands [2][3]. Group 2: Market Trends and Economic Context - The high-end credit card segment has historically been a crucial part of commercial banks' financial services, with a focus on catering to high-net-worth individuals [4]. - The current economic environment has led to rising operational costs and increased challenges in credit risk management, prompting banks to reassess their benefits structures [5]. - The trend towards upgrading high-end credit cards from magnetic stripe to chip technology is part of a broader global shift, ensuring compatibility with international payment systems [6][7]. Group 3: Future Outlook - The differentiation among high-end credit card products is becoming clearer, with banks offering various products tailored to specific consumer needs, enhancing the overall customer experience [7]. - As banks complete their updates to high-end credit card benefits, market uncertainty is expected to decrease, leading to a more stable benefits ecosystem for cardholders [7].

Core Viewpoint - The recent adjustments in high-end credit card benefits by multiple banks are proactive measures aimed at achieving sustainable business models and overall industry health amidst rising costs and increased risk management pressures [3][6][11]. Group 1: Industry Trends - Several banks, including China Merchants Bank and Everbright Bank, have announced updates to high-end credit card products, such as increasing usage thresholds and adjusting applicable ranges [3]. - The current round of adjustments is seen as a shift from a focus on aggressive benefits to a more sustainable approach, reflecting a broader industry trend towards differentiation and long-term viability [6][11]. Group 2: Specific Changes by Banks - China Merchants Bank has upgraded its Visa dual-standard high-end magnetic stripe cards to chip versions, adjusting annual fee waiver rules and introducing new benefits for its premium cardholders [5][6]. - The classic white chip card now requires a spending threshold of 180,000 yuan for the main card and 100,000 yuan for supplementary cards to qualify for fee waivers, indicating a shift towards more stringent requirements [5][6]. Group 3: Market Dynamics - The high-end credit card segment has historically been crucial for banks, targeting high-net-worth individuals whose spending patterns can significantly impact the economy [7]. - The rising operational costs and credit risk management challenges are prompting banks to reassess their high-end credit card strategies, moving away from unsustainable benefit models [7][8]. Group 4: Future Outlook - As major banks complete their updates to high-end card benefits, market uncertainty is expected to decrease, leading to a more stable and predictable benefits system for cardholders [11]. - The adjustments in high-end credit card offerings reflect a transition from rapid expansion to a focus on high-quality development within the banking industry, promoting a healthier ecosystem in the long run [11].