Changes in ATM Withdrawal Rules for HDFC, PNB, and Bandhan Bank Customers

New ATM Withdrawal Regulations

For customers of HDFC Bank, PNB, and Bandhan Bank, recent updates regarding ATM withdrawal limits and transaction fees are significant. These changes may impact your regular banking activities, especially if you frequently withdraw cash from ATMs or use UPI for cashless transactions.

The most notable adjustment comes from HDFC Bank, which has now classified UPI-based cardless cash withdrawals (ICCW) as standard ATM transactions. Previously, UPI withdrawals were counted separately from the free transaction limit, but starting April 1, this will be included in the free transaction count. Customers with HDFC savings and salary accounts will receive five free transactions at HDFC ATMs each month, three at other bank ATMs in metro cities, and five in non-metro areas. After exhausting the free limit, each additional transaction will incur a fee of ₹23 plus taxes. UPI users should exercise caution before withdrawing cash.

PNB has also reduced its daily withdrawal limits. Effective April 1, 2026, the daily cash withdrawal limit for platinum, gold, and business debit cards has been decreased from ₹1 lakh to ₹50,000. Additionally, the limit for select and signature debit cards has been cut from ₹1.5 lakh to ₹75,000, representing a 50% reduction. The bank states that this measure aims to mitigate fraud risks and enhance security.

Bandhan Bank has revised its free ATM transaction limits as well. Customers can now perform five free financial transactions (cash withdrawals) and unlimited non-financial transactions (like balance inquiries) at their own ATMs each month. For other bank ATMs, the limit is three free transactions in metro cities and five in non-metro areas. Both financial and non-financial transactions will count towards the free limit, and charges will apply if the limit is exceeded.

Customers are advised to check the new rules on their bank's app or website. It is recommended to avoid unnecessary transactions to prevent additional charges, especially for those using UPI at ATMs.