Several banks, including HDFC Bank, Punjab National Bank, and Bandhan Bank, have revised their ATM usage rules ahead of the new financial year starting April 1, 2026. The changes mainly impact how free
ATM transactions are counted and the daily cash withdrawal limits for debit cards.
HDFC Bank: UPI ATM withdrawals now counted as regular transactions
HDFC Bank has introduced a key change in how ATM usage is calculated. From April 1, UPI-based cardless cash withdrawals at ATMs will be treated on par with regular ATM withdrawals while calculating the monthly free transaction limit.
This means once the free limit is exhausted, customers will be charged Rs 23 per transaction, plus applicable taxes.
Currently, savings and salary account holders are allowed five free cash withdrawals at HDFC Bank ATMs, three free transactions at other bank ATMs in metro cities, and five free transactions at other bank ATMs in non-metro cities.
UPI-based withdrawals are enabled through Interoperable Cardless Cash Withdrawal (ICCW), where users scan a QR code at the ATM and approve the transaction via their UPI app.
PNB cuts daily withdrawal limits on select debit cards
Punjab National Bank has reduced daily withdrawal limits for several debit card variants, with the revised limits taking effect from April 1.
- Platinum, Gold, and Business debit cards: limit reduced from Rs 1 lakh to Rs 50,000
- Select and Signature debit cards: limit reduced from Rs 1.5 lakh to Rs 75,000
This marks a cut of up to 50% in withdrawal limits for certain categories.
Bandhan Bank revises free ATM transaction limits
Bandhan Bank has also updated its ATM transaction policy. At Bandhan Bank ATMs, customers can avail free financial transactions per month and unlimited non-financial transactions.
At other bank ATMs, they can avail three free transactions per month in metro cities and five free transactions in non-metro cities.
Metro cities include Mumbai, New Delhi, Chennai, Kolkata, Bengaluru, and Hyderabad. Once the free transaction limit is exceeded, charges will apply as per the bank’s schedule.
