In September 2025, India credit card usage increased to a high point of 2.17 trillion, the highest point in terms of consumption, and is a good indicator of recovery in the consumption sector due to the festive season and the recent GST reduction. This, based on the latest data in the industry, is a 14% growth on a month-on-month basis compared with August 2025, when total spending amounted to 1.91 trillion.
Its last highs were noted to be 2.015 trillion in March 2025 and 2.02 trillion in October 2024, indicating that consumer expenditure has now again hit new heights before the Diwali shopping season.
Holiday Dynamo and GST Reduce Expenditure
The increase in credit card spending shows that discretionary spending has gone up drastically due to holiday sales, cashbacks, and online sales.
According to industry experts, rationalized GST rates among the major consumer segments have made the purchase of the high-value category of items more affordable, and this has further fueled the spending momentum.
The growth in card transactions during the months between September and December is normally high due to the special offers, zero-cost EMIs, and bonuses in reward points offered by the banks, retailers, and online platforms to entice shoppers with special offers during this festive season.
HDFC and SBI Cards Service Lead the Surge.
HDFC Bank, which is among the top issuers of cards, continued to be at the top with a 12.45 percent month-to-month increase in spending and stood at 60,582.4 crore in September 2025, compared to 53,873 crore in August.
SBI Cards announced a more severe increase of 22.86, bringing the number of total spends to 40,622.8 crore.
Likewise, ICICI Bank experienced a growth of 21.5 to 8920.9 crore, and Axis Bank grew by 19.7 to 26,043.1 crore.
These numbers reinforce the ongoing robustness of private banks and NBFC-sponsored issuers to the credit card world, fueled by the vigorous marketing efforts and online interaction.
The credit card base is still growing
The number of outstanding credit cards also continued to increase steadily, with a total of 113.4 million outstanding credit cards in September 2025 compared to 112.3 million outstanding credit cards in August 2025.
The HDFC Bank maintained its market lead of 25.28 million cards, and the others are
- SBI Cards: 21.5 million
- ICICI Bank: 18.37 million
- Axis Bank: 15.4 million
In year-on-year terms, the overall base of credit cards increased to 6.86 percent, compared to September 2024, when it was 106.11 million cards. This gradual growth can be seen as a sign of growing credit penetration, the utilization of digital payments, and the confidence of the Indian population in the post-pandemic economy.
Experts’ View
It is estimated by industry analysts that the momentum of credit card spending will stay active until the Diwali and end-of-year shopping season, with nonstop offers on travel, electronics, and luxury items.
This will have the effect of driving the digital consumption at even higher levels in the next few months due to the combination of low GST rates and a robust festive mood.
Conclusion
The fact that 2.17 trillion was spent on credit cards in the month of September 2025 highlights the fact that India has a strong consumer demanding force and is rapidly transitioning into digital payment. The trend is expected to go up further through the remaining part of the financial year with offers of festivals, reduced taxes, and use of credit cards in smaller cities.
