Mumbai, Aug 20: Hard on the heels of wooing AT&T, Coca-Cola, Mckinsey and Motorola, Citibank has turned its attention to the Reliance group to peddle its credit cards. Citibank, with a card base of over 1 million, has approached Reliance with an offer, which, if accepted, will see all the group employees flashing Diners Club Corporate cards and Citi cards.

The Citi cards comprise Citibank Visa corporate card and Personal Gold cards. With concessions and other goodies thrown in for good measure, Citibanks' card base will balloon by at least 4,000 if Reliance gives its nod.

The Citibank term is that it will offer the Diner's Club Corporate card to the Reliance management cadre at Rs 2,500 for the first year. There will be no renewal fees for the next four years. The bank will not set any spending limit, and Club reward points will be offered to all the Reliance group card holders. For the Citibank Visa Corporate card, the bank will offer it at Rs 2,000 for the first year. The bank will not charge any renewal fees for the next four years. The Citibank Visa corporate card, unlike the Diners Club one, has fixed limits, but offers two-month credit period. There will be no reward or money-spinner points though.

Citibank has also recommended to Reliance that the Diners Club corporate card be given to its senior officials. It feels that the Visa Corporate card should ideally be extended to its executives who travel. "Visa has more acceptance in most locations," the bank feels. The Citibank Personal Gold card is being positioned as a second card. This is being sought to be extended to all the Reliance group directors and senior vice-presidents. Citibank has told Reliance that it would not give an `add-on' card as part of the offer.

But the bank will not charge for it as a special case. In the case of Citibank's Personal Gold card, the first-year and renewal fees will be Rs 2,000. Citibank has made it clear to Reliance that it will be responsible for collecting dues from the individual card holder. The bank has also told that Reliance should help it in collecting dues.

Citibank will offer Reliance a consolidated statement, while individual card holders will be mailed their spend statements directly, sources said. The card holder has to settle the dues directly with the bank. A Reliance's spokesperson, when contacted by The Financial Express, refused to comment on the matter. However, Citibank head corporate affairs Anita Gupta confirmed the offer but refused to divulge its terms. "The terms of any tieup between a corporate and the bank are confidential. Any disclosure of such terms would be a breach of confidence between the corporate and the bank".

Sources said that other credit card players -- Hongkong Bank, Standard Chartered Bank and American Express -- are also making bulk offers to corporates. Stanchart is said to have made such an offer to the Kirloskars, and a few other Pune- and Bangalore-based concerns. But most of these players chose to remain tightlipped for reasons of client confidentiality.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.