Credit card expenditure across India witnessed a significant slowdown in November 2025, following the conclusion of the major festive period. Data released this week indicates a month-on-month correction as consumer spending normalized after the Diwali and Dussehra rush.
November 2025 Spending Data Shows Expected Correction
Total credit card spends across the country fell to approximately Rs 1.9 lakh crore in November. This marks a notable decline of 11.9% from the Rs 2.1 lakh crore recorded in October 2025. The dip aligns with expectations, as October had seen a substantial surge fueled by festival-linked purchases and major e-commerce sales events.
Transaction volumes also moderated, slipping by 3% month-on-month to around 50.3 crore transactions, compared to about 51.8 crore in the previous month. This points to a cooling of activity after the festive peak, rather than a severe contraction in consumer activity.
Bank-Wise Performance and Market Share Shifts
All major banking institutions reported a sequential decline in credit card spending. However, the extent of the drop varied significantly.
- HDFC Bank experienced a relatively softer decline of 10% month-on-month.
- Axis Bank, ICICI Bank, and State Bank of India (SBI) saw sharper reductions of 15.9%, 15.8%, and 15.2%, respectively.
- In a contrasting trend, Federal Bank reported an 8% month-on-month increase in spending, according to Akshay Tiwari, an analyst with Asit Mehta.
These shifts impacted market shares. HDFC Bank's resilience translated into a market share gain of 50 basis points. Conversely, SBI, Axis Bank, and ICICI Bank lost market share by 70bps, 52bps, and 36bps, respectively. Among mid-cap banks, Federal Bank gained 16bps, while IndusInd Bank gained 21bps.
Offline vs. Online Spending Trends
The slowdown was not uniform across spending channels. Offline, or point-of-sale (PoS) spends, bore the larger brunt, dropping 14.4% to around Rs 75,640 crore. This reflects the front-loading of high-value purchases like jewellery, electronics, and automobiles into October.
Online spending proved more resilient, declining by a comparatively lower 10.1% to about Rs 1.1 lakh crore. This channel was supported by recurring payments and routine daily expenses, which are less sensitive to seasonal fluctuations.
Long-Term Growth and Shifting Consumer Habits
Despite the monthly dip, the broader trend for credit card usage remains robust on a year-on-year basis. Spends in November 2025 were 11.1% higher than in November 2024. More strikingly, transaction volumes jumped 29% from about 39 crore (390 million) in November 2024, indicating strong structural growth in card adoption.
An interesting trend emerged in the divergence between value and volume growth. The faster growth in volumes compared to value suggests a shift towards smaller, more frequent transactions. Average ticket sizes fell across channels, reinforcing that credit cards are being used increasingly for everyday payments, aided by their integration with UPI platforms, rather than solely for large discretionary purchases.
Industry participants view the November slowdown as a normalization after an unusually strong festive month, not a weakening of underlying demand. With the wedding season and year-end travel picking up in December, spending momentum is expected to improve after this brief pause.
In terms of transaction volumes, Federal Bank again stood out with a 39% month-on-month increase, resulting in a 46 basis point market share gain. Axis Bank saw the sharpest volume decline at 7%.
