Change in HDFC Credit Card Rules from 1st August, 2024

HDFC bank has introduced certain changes in their credit card policies. These certain are applicable from today onwards i.e., 1st August 2024, and will affect various types of transactions and fees for HDFC credit card users. Let’s find out what major changes have been brought by HDFC for their credit card holders.

Changes which have been introduced for HDFC Credit Card Users

The following changes have been introduced by HDFC bank for credit card holders:

Rental Transaction Fee: HDFC bank has introduced a 1% fee on rental transactions made through third-party payment apps such as Paytm and Mobikwik. This fee is capped at Rs 3,000 for every transaction. This will add an extra cost for customers who pay rent using these popular payment apps. 

Fee on High Utility Bills: The bank has come up with a fresh fee structure for utility transactions over Rs. 50,000. For utility transactions over Rs. 50,000, a 1% fee will be charged. Just like in the case of rental transactions, the utility transaction’s fee is also capped at Rs. 3,000. So, only the higher value utility payments are targeted by this new change.

Fee on Big Fuel Bills: For fuel bills amounting over Rs. 15,000, a 1% fee will be charged with the maximum fee cap of Rs. 3,000 for every fuel transaction. However, smaller fuel purchases are not subject to this fee.

Helpful Post : What is the line of credit loan?

Educational Payment: Even educational payments will attract a 1% fee if they’re made through third party payment apps like PayTM and CRED. The fee is capped at 3% per transaction. However, if the credit card customers choose to pay directly to the educational institution’s website or POS machine, they do not have to pay this fee. Educational payments made to international institutions are exempted from this new charge.

International Transactions: A 3.5% fee will be charged by HDFC bank in case of international transactions, on all the cross-currency transactions. Customers who regularly make payments or purchases abroad will be affected by this new change.

Fee for Redeeming Rewards: A small expense has been added to the reward redemption process now. HDFC bank has increased the cost to redeem reward points for statement credit or cashback to Rs. 50.  

Finance Charge: A finance charge of 3.75% per month will be charged by the bank from customers who use revolving credit facilities. The charge amount will be calculated from the transaction date until the outstanding balance is completely paid. 

EMI Processing Fee Change: Those who avail Easy-EMI facility will now have to pay a processing fee of up to Rs. 299 for converting purchases into EMIs. 

Change in Late Payment Fee Structure

Depending on the credit card user’s outstanding amount, late fee payment between Rs. 100 to Rs. 300 will be charged by HDFC Bank. This is anticipated to encourage timely payments and decrease overdue balances of the customers.

Updated Reward Structure for Credit Card Users

The reward structure for Tata Neu Infinity and Tata Neu Plus has been updated for HDFC credit card holders. Now, Tata Neu Infinity HDFC Bank Credit Card users will earn 1.5% NeuCoins on every eligible UPI transaction made through Tata Neu UPI ID. Transactions with other eligible UPI IDs will earn 0.50% NeuCoins. 

HDFC Credit Card users who use Tata Neu Plus will earn 1% on eligible UPI transactions using Tata Neu UPI ID. However, if credit card holders use other UPI IDs, they will earn 0.25% NeuCoins for eligible transactions.

Final Words

All the new changes for HDFC credit card holders, mentioned in this blog post, have now come into effect from today. HDFC credit card holders will now have increased expenses due to the change in fee structure for various transactions. However, HDFC bank has also updated the reward structure for the credit card holders. It is recommended to use your credit card carefully and wisely to avoid overspending. Ensure timely payment of overdue balance to avoid getting fined.

Also Read : Types of Credit Cards in India

Author: Dushyant Sharma

Hey there, I'm Dushyant Sharma. With the extensive knowledge I've gained in past 8 years, I have been creating content on various subjects such as banking, insurance, telecom, and all the important registration and licensing processes for various companies. I'm here to help everyone with my expertise in these areas through my articles.