HDFC Bank Will Charge 1% Extra For Credit Card Rent, Educational Fees Payments Via Cred, Paytm, Cheq

Starting from August 1st, 2024, HDFC Bank will be implementing the revised credit card terms effectively.

The company is implementing these revised credit card terms in order to align them closely with industry standards as observed by other banks.

HDFC Bank Revised Credit Card Terms

New Fee Structure 

1. Under these revised credit card terms, HDFC Bank will be introducing a new fee structure for credit card rent payments which are made through third-party apps including CRED, Paytm, Cheq, MobiKwik, Freecharge, and others. 
2. Besides this, the private lender will also levy a 1% charge on the transaction amount, having a maximum fee capped at  Rs 3,000 per transaction.
3. The HDFC Bank has introduced a new fee structure effective August 1, 2024. In this structure, the educational expenses paid through third-party payment apps using HDFC credit cards will incur a 1% charge, capped at Rs 3,000 while aligning HDFC Bank’s policy with that of other banks.
4. Please note here that this fee is applied when using HDFC credit cards through third-party apps. So It’s essential to factor in this fee when scheduling educational payments with HDFC credit cards via third-party apps.
5. It is noteworthy here that the exceptions do exist within the new fee structure for educational payments using HDFC Bank credit cards. If transactions are made directly through college/school websites or their POS machines using your HDFC credit card incur no charges, making it a favorable option to bypass the 1% fee.
6. In addition to this, the payments for international education are exempt from this fee.

Fee For Significant Utility Bill Payments

Under this revision, HDFC Bank is implementing a fee for significant utility bill payments using their credit cards.

Basically, this will be applied to all utility bills (electricity, water, gas, etc.) paid with HDFC credit cards. 

Here, no fee is charged for transactions up to  ₹50,000. 

When the utility bills exceed  Rs 50,000, a fee of 1% of the transaction amount will be applied, capped at   Rs 3,000 per transaction.

In case of fuel transactions, if your fuel transaction is below Rs 15,000, the bank does not charge an additional fee.

But, if the transactions exceed  Rs 15,000, they will incur a 1% fee on the entire amount, capped at  ₹3,000 per transaction.

Redemption Charges For Rewards

The private lender has also come up with implementing redemption charges for rewards. 

Under this development, all credit card holders who redeem their reward points for a statement credit will be subject to a  Rs 50 fee.

Please note here that this change is particularly impactful for many HDFC Bank entry-level credit card users.

Besides this, the annual and renewal fees for HDFC Bank’s 6E Rewards credit cards are going up. 

With this implementation, the annual/renewal fees for the 6E Rewards XL-IndiGo HDFC Bank Credit Card were previously charged by the bank at a rate of  ₹1,500 plus GST, will be  ₹3,000 plus GST.

Similarly, the 6E Rewards-IndiGo HDFC Bank Credit Card was charged at a rate of  ₹500 plus GST will now be ₹1,500 plus GST starting August 1.

Easy-EMI Fee

For the customers who are choosing the Easy-EMI option at any online or offline store, they will have to incur an equated monthly installment (EMI) processing fee of up to  ₹299 imposed by HDFC Bank. 

Here, HDFC SmartEMI is a service which is provided by the bank for enabling users to convert their credit card payments into EMIs.

In case of late payments, HDFC Bank has updated its late payment fee structure starting August 1, 2024. 

 Banks late fee amount now varies based on your outstanding balance, ranging from ₹100 to  ₹1300.