In the era of digital payments, withdrawing cash from ATMs using UPI has become easy and convenient. However, this facility is going to change soon.
HDFC Bank has announced a major update in the rules for withdrawing cash from ATMs through UPI, which may directly affect customers’ expenses.
Since UPI was introduced, people can withdraw cash from ATMs without using a debit card. But if you plan to use UPI for ATM withdrawals, this update is important for you.
The bank has informed customers by email that the new rules will start from April 1, 2026.
Under the new system, UPI cash withdrawals at ATMs will now be counted in your monthly free ATM transaction limit. This means the facility will no longer remain completely free as before.
Charges for UPI Cash Withdrawal from ATM
If you exceed your monthly free ATM limit, every additional UPI cash withdrawal will cost ₹23 plus applicable taxes.
The bank says this step is meant to make transaction charges more transparent and consistent. Customers should therefore keep track of their monthly free ATM usage to avoid extra fees.
Free ATM Withdrawal Limits at HDFC Bank
Savings and Salaried Accounts
5 free cash withdrawals at HDFC Bank ATMs
3 free withdrawals in top cities at other ATMs
5 free withdrawals in non-top cities at other ATMs
Savings Max Account
Unlimited free withdrawals at HDFC Bank ATMs
15 free withdrawals at other ATMs
Current Account (selected variants)
Free at HDFC Bank ATMs
3 free withdrawals in top cities at other ATMs
5 free withdrawals in non-top cities at other ATMs
For savings and salary account holders, only withdrawals at the bank’s own ATMs become chargeable after crossing the free limit.
After the limit is reached, each extra withdrawal costs ₹23 plus taxes. This charge has been applicable since May 1, 2025.
Free Transaction Limits at Other Bank ATMs
When customers use ATMs of other banks, free transactions are limited:
Total maximum: 5 free transactions per month (financial + non-financial)
Top 6 cities: 3 free transactions
Other cities: 5 free transactions
Top 6 cities: Mumbai, New Delhi, Chennai, Kolkata, Bengaluru, and Hyderabad.
Charges After Free Limit at Other ATMs
Cash withdrawal: ₹23 + applicable taxes per transaction
Non-financial transaction (like balance check): ₹8.5 + taxes
Accounts Exempt from ATM Charges
Customers with Imperial, Preferred, and Classic account variants do not have to pay ATM transaction charges.
Important Timing Rule for Monthly Limit
The bank clarified that from April 1, 2026, UPI withdrawals at ATMs/CRMs will also count in the monthly free limit. If the limit is exceeded, the charge will be ₹23 plus taxes.
Also, ATM transactions done after 7:30 PM in India are counted for the next day. If a transaction is made after 7:30 PM on the last day of the month, it will be counted in the next month’s free limit.
