HDFC Bank caps UPI ATM withdrawals under monthly free transaction rules from April 1; know how will it affect you
HDFC Bank will count UPI-based cash withdrawals at its ATMs within the existing monthly free transaction limits starting April 1, 2026. Once customers exceed the prescribed cap, a charge of ₹23 per transaction plus applicable taxes will apply.
- Mar 3, 2026,
- Updated Mar 3, 2026 9:06 AM IST
Starting April 1, 2026, HDFC Bank will include UPI-based cash withdrawals at its ATMs within the monthly free transaction limits currently applicable to debit card withdrawals. Once customers exceed the prescribed free limit, a charge of ₹23 per transaction plus applicable taxes will apply. The move aligns UPI cash withdrawals with existing ATM card rules and may influence how customers manage monthly withdrawals.
Free transaction limits
The revised policy applies to all savings and salary account holders. Customers are entitled to five free ATM transactions per month at HDFC Bank ATMs. For other bank ATMs, the limit remains three free transactions in metro cities and five in non-metro locations. Beyond these thresholds, the Rs 23 fee plus taxes will be levied per transaction—irrespective of whether the withdrawal is made via debit card or UPI at an HDFC Bank ATM.
Frequent cash users
Customers who regularly withdraw cash will need to monitor both card-based and UPI-based ATM usage to avoid additional charges. The policy reflects a broader industry trend of standardising withdrawal rules across channels, effectively narrowing the distinction between UPI-enabled and card-driven ATM transactions.
Select current accounts
Certain current account holders will continue to enjoy unlimited free withdrawals at HDFC Bank ATMs. These include Biz Lite+, Biz Pro+, Biz Ultra+, Biz Elite+, Flexi, Plus, Activ, Ascent, Max Advantage, Max, Professional, Ecomm, Apex, Ultima, Merchant Advantage, Supreme, Startup (Smartup Alpha), SmartupMax, Smartup Growth, and Giga Current Accounts.
The revised UPI ATM withdrawal charges primarily affect savings and salary account holders.
International ATM and merchant charges
International ATM withdrawals attract separate fees. For cash withdrawals abroad, customers in the non-managed segment are charged ₹125 plus taxes per transaction, along with a 3.5% cross-currency markup. Managed segment customers pay ₹110 plus taxes, in addition to the same markup. Balance enquiries at overseas ATMs incur charges ranging from ₹15 to ₹25 plus taxes, depending on the account type.
Domestically, no charges apply for debit card usage at most merchant outlets or online platforms. However, certain transactions—such as bookings via IRCTC—carry a surcharge of 1.8% of the transaction amount. Fuel purchases at government petrol outlets using HDFC Bank swipe machines remain exempt from surcharge.
Withdrawal rules
Banking analysts view the move as part of a wider effort by Indian banks to harmonise digital and physical banking channels. By applying identical limits and charges to UPI and debit card ATM withdrawals, banks aim to streamline policies and offset operational costs associated with cash handling.
Customers are advised to track monthly ATM transactions through statements or digital banking platforms to avoid unexpected fees under the revised framework.
Starting April 1, 2026, HDFC Bank will include UPI-based cash withdrawals at its ATMs within the monthly free transaction limits currently applicable to debit card withdrawals. Once customers exceed the prescribed free limit, a charge of ₹23 per transaction plus applicable taxes will apply. The move aligns UPI cash withdrawals with existing ATM card rules and may influence how customers manage monthly withdrawals.
Free transaction limits
The revised policy applies to all savings and salary account holders. Customers are entitled to five free ATM transactions per month at HDFC Bank ATMs. For other bank ATMs, the limit remains three free transactions in metro cities and five in non-metro locations. Beyond these thresholds, the Rs 23 fee plus taxes will be levied per transaction—irrespective of whether the withdrawal is made via debit card or UPI at an HDFC Bank ATM.
Frequent cash users
Customers who regularly withdraw cash will need to monitor both card-based and UPI-based ATM usage to avoid additional charges. The policy reflects a broader industry trend of standardising withdrawal rules across channels, effectively narrowing the distinction between UPI-enabled and card-driven ATM transactions.
Select current accounts
Certain current account holders will continue to enjoy unlimited free withdrawals at HDFC Bank ATMs. These include Biz Lite+, Biz Pro+, Biz Ultra+, Biz Elite+, Flexi, Plus, Activ, Ascent, Max Advantage, Max, Professional, Ecomm, Apex, Ultima, Merchant Advantage, Supreme, Startup (Smartup Alpha), SmartupMax, Smartup Growth, and Giga Current Accounts.
The revised UPI ATM withdrawal charges primarily affect savings and salary account holders.
International ATM and merchant charges
International ATM withdrawals attract separate fees. For cash withdrawals abroad, customers in the non-managed segment are charged ₹125 plus taxes per transaction, along with a 3.5% cross-currency markup. Managed segment customers pay ₹110 plus taxes, in addition to the same markup. Balance enquiries at overseas ATMs incur charges ranging from ₹15 to ₹25 plus taxes, depending on the account type.
Domestically, no charges apply for debit card usage at most merchant outlets or online platforms. However, certain transactions—such as bookings via IRCTC—carry a surcharge of 1.8% of the transaction amount. Fuel purchases at government petrol outlets using HDFC Bank swipe machines remain exempt from surcharge.
Withdrawal rules
Banking analysts view the move as part of a wider effort by Indian banks to harmonise digital and physical banking channels. By applying identical limits and charges to UPI and debit card ATM withdrawals, banks aim to streamline policies and offset operational costs associated with cash handling.
Customers are advised to track monthly ATM transactions through statements or digital banking platforms to avoid unexpected fees under the revised framework.