New Delhi, Oct. 10 -- A sudden medical bill, surgery, or an unexpected expense can push an individual's credit card spending beyond its approved limit. In such cases, an overlimit facility may help you complete these transactions, but the extra spending can still come at a meaningful cost.

That is why, before opting in, credit cardholders should understand how the facility works, what fees may apply, and how using such a service can affect an individual's credit profile.

It is vital to keep in mind that, as of October 2026, major Indian financial institutions generally charge a credit card overlimit fee of about 2.5% on the amount exceeding the assigned credit limit, subject to a minimum charge of approximately Rs.500- Rs.600, along wit...