"HDFC Bank makes adjustments to fees: A charge of 150 rupees incurred after four complimentary cash transactions each month, along with a fresh transaction limit - see the specifics"
HDFC Bank Introduces New Cash Transaction Charges for Savings Account Holders
As of August 1, 2025, HDFC Bank has implemented new charges for cash transactions for savings account holders. The changes include a reduction in the number of free cash transactions per month and a decrease in the free monthly transaction value limit [1][3][5].
Savings account holders will now only receive 4 free cash transactions per month, down from the previous limit of 8. Additionally, the free monthly transaction value limit has been reduced from Rs 2 lakh to Rs 1 lakh. Any transactions beyond these limits will incur a charge of Rs 150 per cash transaction or Rs 5 per Rs 1,000 (whichever is higher) [5].
These changes apply to both self and third-party cash deposits or withdrawals, potentially affecting a significant number of customers [1][3][5]. The daily third-party cash transaction limit remains at Rs 25,000.
The new rules also impact small and middle-class customers directly, as they may frequently engage in cash transactions for household and business expenses. The higher fees can reduce their disposable income and increase the cost of banking [1][2][3].
Other changes include a reduction in the number of free chequebook pages from 25 to 10 per year, with a charge of Rs 4 for every additional page (slight discount for senior citizens) [4]. IPIN regeneration is now free, whereas earlier it was charged Rs 40 [6].
It is essential to note that ICICI Bank has also revised the minimum balance requirement for new savings accounts, lowering it from Rs 50,000 to Rs 15,000 following backlash [7].
Overall, these changes reduce the free cash transaction limits by half and introduce significant per-transaction fees after four transactions or beyond Rs 1 lakh per month, which may impose a financial burden on regular cash users in the small and middle-class segments.
References:
[1] HDFC Bank Changes Cash Transaction Rules for Savings Account Holders
[2] HDFC Bank's New Cash Transaction Charges: What You Need to Know
[3] HDFC Bank Introduces New Cash Transaction Charges: Here's What You Need to Know
[4] HDFC Bank Reduces Free Chequebook Pages for Savings Account Holders
[5] HDFC Bank's New Cash Transaction Charges: Here's How Much You'll Pay
[6] HDFC Bank Makes IPIN Regeneration Free for Savings Account Holders
[7] ICICI Bank Cuts Minimum Balance Requirement for Savings Accounts
These changes in HDFC Bank's policies significantly affect the personal-finance situation of many customers, as the number of free cash transactions per month has been reduced from 8 to 4. The free monthly transaction value limit has also decreased from Rs 2 lakh to Rs 1 lakh, potentially increasing the expenses related to finance and business.
Moreover, any transactions beyond these limits will incur a charge, either Rs 150 per cash transaction or Rs 5 per Rs 1,000, which might impose a financial burden on small and middle-class customers who often engage in cash transactions for household and business expenses.
In addition to cash transactions, HDFC Bank has also reduced the number of free chequebook pages from 25 to 10 per year. Small savings account holders might have to pay extra for every additional chequebook page.
However, it is worth noting that ICICI Bank has recently revised the minimum balance requirement for new savings accounts, lowering it from Rs 50,000 to Rs 15,000. This development could shift some customers from HDFC Bank to ICICI Bank.
The emerging trend in the market is a shift towards digital finance, such as DeFi (Decentralized Finance), which might provide an alternative for those wanting to avoid bank transaction charges.
