New Regulation on Credit Card Limits Signaled in the Medium Term Program
The Medium Term Program (MTP), announced by Vice President Cevdet Yılmaz and covering the period 2025-2027, set the roadmap for the economy for the next three years. The program was published in the Official Gazette and entered into force. In addition to macroeconomic targets such as inflation, growth and current account deficit, regulations on credit card limits stand out. It is aimed to make credit card limits more in line with the real incomes of cardholders.
Economic Targets of the MTP
The Medium Term Program (MTP) sets out Turkey’s economic policies for the next three years. While the program is based on critical targets such as growth, inflation and the current account deficit, it also includes important regulations on financial access and credit card usage. Among these regulations, new steps regarding credit card limits stand out. The MTP, which aims to maintain and improve balances in different areas of the economy, also introduces innovations to closely monitor the financial responsibilities of individuals.
New Regulations on Credit Card Limits
One of the noteworthy elements of the program is the arrangements to be made to make credit card limits more in line with the actual income of the cardholder. By integrating the SSI and Risk Center data sets, credit card limits will be based on a more realistic and reliable basis. This step will contribute to keeping credit card limits under control and credit debts at manageable levels.
Under the current system, a person’s credit card limit is set at 2 times their net income in the first year and 4 times in the following years. However, it is stated that banks have resorted to practices that exceed these limits in recent years. With this regulation introduced within the scope of the MTP, it is aimed to control credit card limits more strictly.
Current Practices and Problems
The current credit card limit practice in Turkey imposes limitations based on the income level of cardholders. Accordingly, the total limit of a person’s credit cards in all banks is limited to 2 times his/her net income in the first year and 4 times in the following years. It is emphasized that these limitations are especially important in terms of keeping credit card debts at a sustainable level.
However, it is stated that recently, banks have not fully complied with these limitations when determining credit card limits and have defined higher limits. Treasury and Finance Minister Mehmet Şimşek stated in March that banks should comply with the rules when setting credit card limits. Şimşek’s statement signaled the need for stricter regulation to prevent the increase in credit card debts.
SSI and Risk Center Integration
One of the most important innovations to be introduced with the MTP will be the integration of SSI and Risk Center data sets in determining credit card limits. Thanks to this integration, the income status of individuals will be monitored in a more transparent and reliable manner and credit card limits will be determined more accurately.
Aligning credit card limits with the actual income level of cardholders will ensure that credit debts are kept under control, protecting the financial stability of individuals and reducing the risks of banks. In this way, it is aimed to prevent cardholders from over-indebting and accumulating credit debts that they cannot pay.
A New Era in Financial Management
New regulations on credit card limits will require individuals to monitor their financial responsibilities more carefully. With the integration of the SSI and the Risk Center, individuals’ incomes will be monitored more transparently, enabling more accurate management of credit card debts. With these regulations, a more disciplined and controllable period will begin in financial management.
This new system will both encourage individuals to spend in line with their incomes and allow financial institutions to manage their risks more effectively. These regulations of the MTP are considered as a proactive step to prevent the growth of credit card debts.
Conclusion and Expectations
New regulations to be introduced to credit card limits within the scope of the Medium Term Program (MTP) will bring significant changes to credit card usage in Turkey. The integration of the SSI and Risk Center data sets will enable the determination of credit card limits that are in line with the actual income of cardholders. This will ensure the sustainability of credit card debts and balance the financial burden of both individuals and banks.
