Bank Credit Card rules: When the new credit card rules come into effect, transactions less than Rs 50,000 will not be affected, while transactions above this amount will attract a 1% fee, with a maximum limit of Rs 3,000 per transaction.
Bank Credit Card rules: HDFC Bank will be bringing in a slew of changes starting August 1, 2024, that will directly impact its credit card holders. From next month, all rental transactions processed through third-party payment apps such as PayTM, CRED, MobiKwik, and Cheq will incur a 1% fee on the transaction amount, capped at ₹3,000 per transaction.
Utility transactions will see a bifurcated fee structure. While transactions below ₹50,000 remain unaffected, those exceeding this amount will be subject to a 1% fee, also capped at ₹3,000 per transaction.
Notably, insurance-related transactions are exempt from these new charges, offering some respite for customers managing insurance payments.
Fuel transactions will now attract a 1% fee for amounts above ₹15,000, with a maximum fee cap of ₹3,000 per transaction. This change applies only to larger fuel purchases, with smaller transactions remaining fee-free.
Educational payments made via third-party apps such as CRED and PayTM will also see a 1% fee, with a similar ₹3,000 cap per transaction. However, payments made directly through educational institutions’ websites or POS machines will not incur this fee, and international educational payments are excluded from this new charge.
For international transactions, HDFC Bank will impose a 3.5% markup fee on all cross-currency transactions, significantly affecting customers who frequently make purchases or payments abroad.
Additionally, the late payment fee structure has been revised, now ranging from ₹100 to ₹300 based on the outstanding amounts. This change is designed to encourage timely payments and reduce overdue balances.
Redemption of rewards points for statement credit or cashback will now cost ₹50, adding a minor expense to the benefits redemption process.
For those utilizing revolving credit facilities, a finance charge of 3.75% per month will be applied, calculated from the transaction date until the outstanding balance is fully paid. This change underscores the importance of prompt payment to avoid accruing significant interest charges.
Customers opting for the Easy-EMI facility will face a processing fee of up to ₹299 for availing this option at any online or offline store, making it slightly more expensive to convert purchases into EMIs.
HDFC Bank has also updated the reward structure for Tata Neu Infinity and Tata Neu Plus credit card holders. Users of the Tata Neu Infinity HDFC Bank Credit Card will earn 1.5% NeuCoins on eligible UPI transactions made using the Tata Neu UPI ID, while transactions with other eligible UPI IDs will earn 0.50% NeuCoins. Similarly, Tata Neu Plus HDFC Bank Credit Card holders will earn 1% NeuCoins on eligible UPI transactions with the Tata Neu UPI ID and 0.25% NeuCoins for transactions using other eligible UPI IDs.
