HDFC Bank has announced changes to its ATM usage framework, stating that cash withdrawals made through the Unified Payments Interface (UPI) at its ATMs will be counted within existing monthly free transaction limits.
The revised rules will come into effect from 1 April 2026 and align UPI withdrawals with standard debit card cash transactions for fee calculations.
From April 2026, customers using UPI to withdraw cash at HDFC Bank ATMs will see these transactions included in their monthly free ATM usage quota. Previously, such withdrawals were treated separately, but the bank will now apply uniform rules across withdrawal methods.
Once the free transaction limit is crossed, applicable charges will be levied in line with existing ATM fee structures.
Customers exceeding their permitted number of free ATM transactions will be charged ₹23 per transaction plus applicable taxes for additional withdrawals. The same fee structure will apply irrespective of whether withdrawals are made using debit cards or UPI-based authentication.
Under the current framework:
Charges apply once these limits are exceeded.
HDFC Bank continues to apply separate fees for overseas ATM usage. Charges differ depending on account category and typically include fixed withdrawal fees, balance enquiry charges and a cross-currency markup.
For many accounts, balance enquiries attract a nominal fee, while cash withdrawals incur higher charges along with a foreign exchange markup. Certain premium debit cards offer reduced currency conversion charges.
Some current account categories are eligible for unlimited free transactions at HDFC Bank ATMs. These accounts are generally designed for business and professional users and include selected merchant, startup and premium current account variants offered by the bank.
For withdrawals at non-HDFC Bank ATMs, customers continue to receive a limited number of free transactions each month depending on location classification. Additional withdrawals beyond these limits attract charges similar to those applied at HDFC Bank ATMs.
Debit card usage at domestic merchant outlets and online platforms remains free of charge in most cases, although certain sectors such as railway ticket bookings may apply transaction or service fees based on industry practices.
Read More: Gross GST Collections Increase to ₹1.83 Lakh Crore in February, Showing Steady Revenue Growth.
The inclusion of UPI-based cash withdrawals within monthly ATM transaction limits reflects a move towards standardising withdrawal channels under a single fee structure. While the change does not alter the existing free usage thresholds, customers may need to monitor ATM activity more closely once the revised rules take effect from April 2026.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Mar 2, 2026, 3:13 PM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
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