BDDK Introduces New Credit Card Limit Regulations: Cap Set at 4 Times Income

Income-Indexed Limit Period The Banking Regulation and Supervision Agency (BDDK) is implementing a new regulation aimed at disciplining credit card usage and supporting financial stability.
In the current system, banks offer high-limit cards based on declarations or income estimation models; however, this will be replaced by a system based on proven, documented income.
Under the new framework, a user's total credit card limit across all banks is targeted to be a maximum of four times their verifiable income.
Gradual Limit Reduction and Transition Process The regulation will specifically target cards with high limits but low usage.
For customers with total limits exceeding 400,000 TL who do not utilize their full capacity, a gradual limit reduction will be implemented.
Banks are planning to apply limit reductions ranging from 50% to 80% for users who do not fill their limits by February 15.
Financial institutions have been granted a three-month preparation period to align their systemic infrastructure with this new model.
Exceptions for Education and Health Expenditures To ensure that the new restrictions do not negatively impact social and vital needs, education and health expenditures will be excluded from the scope.
However, the technical implementation details of these exceptions have not yet been finalized.
Over the next three months, technical meetings between the BDDK, bank representatives, and the Credit Bureau (KKB) are expected to solidify the operational principles of the regulation.
Sectoral Impacts and Concerns The regulation has been met with concern, particularly in the tourism sector where payments are largely made via credit cards.
Industry representatives warned that credit cards are essential for reservations, accommodation, and transportation, and that limit restrictions could slow down cash flow and domestic tourism.
In addition to tourism, sectors with high volumes of installment purchases, such as furniture and white goods, are expected to join the process with similar requests for exemptions.