HDFC Bank changes credit card rules from August 1: Check details

These updates will impact various types of transactions and fees for credit card holders

HDFC Bank is changing its credit card policies, effective August 1. These revisions will introduce new transaction fees and modify existing charges, impacting a wide range of credit card holders.

 

Key changes to credit card transactions

Fee on rental transactions

 

One of the most notable changes is the introduction of a 1 per cent fee on rental payments made through third-party applications such as PayTM, CRED, and MobiKwik. This fee will be capped at Rs 3,000 per transaction.

 

Utility transactions

 

The bank has implemented a new fee structure for utility transactions. Payments below Rs 50,000 will remain unaffected. However, transactions exceeding this amount will incur a 1 per cent fee, with a maximum charge of Rs 3,000 per transaction. Insurance-related transactions are exempt from these new charges.

 

 

Fuel transactions

 

Fuel transactions will now attract a 1 per cent fee for amounts above Rs 15,000, with a maximum fee cap of Rs 3,000 per transaction. Transactions below this threshold will not incur additional charges.

 

Educational payments

 

Educational transactions made via third-party apps like CRED and PayTM will attract a 1 per cent fee, capped at Rs 3,000 per transaction. However, international educational payments and transactions made directly through educational institution websites or their POS machines will not incur this fee.

 

International transaction fees

 

International transactions will also see an increase in costs, with a 3.5 per cent markup fee on all cross-currency transactions.

 

Late payment fees

 

The late payment fee structure has been updated, with fees now ranging from Rs 100 to Rs 300, depending on the outstanding amount.

 

Rewards redemption fee

 

Redemption of rewards points for statement credit or cashback will now cost Rs 50.

 

Finance charge for outstanding balance

 

The finance charge for customers utilising revolving credit facilities is set at 3.75 per cent per month. This charge applies from the transaction date until the outstanding balance is fully settled.

 

Easy-EMI processing fee

 

Customers opting for the Easy-EMI facility will face a processing fee of up to Rs 299 for availing this option at any online or offline store, making it slightly more expensive to convert purchases into EMIs.

 

Rewards structure for Tata Neu credit cards

 

Tata Neu Infinity HDFC Bank Credit Card users will earn 1.5 per cent NeuCoins on eligible UPI transactions made with the Tata Neu UPI ID, while transactions with other eligible UPI IDs will earn 0.50 per cent NeuCoins.

 

Tata Neu Plus HDFC Bank Credit Card holders will earn 1 per cent NeuCoins on eligible UPI transactions with the Tata Neu UPI ID and 0.25 per cent NeuCoins for transactions using other eligible UPI IDs.