Mumbai, June 4:
HDFC Bank, one of India’s largest private sector banks, has announced significant changes to the terms and conditions of its credit card offerings. These modifications include revisions in airport lounge access policies and updates to transaction-related charges. The changes will affect multiple popular cards from the bank’s portfolio and will be implemented from July 1, 2025.
The updated policy reflects a growing trend among Indian banks to restructure credit card benefits in response to changing customer behavior and increased operational costs.
Key Changes in Lounge Access
HDFC Bank has revised its complimentary lounge access benefits for various credit cardholders. Under the new guidelines, customers will now need to meet a minimum spending threshold per calendar quarter to qualify for free domestic airport lounge access. Failing to meet this threshold will make them ineligible for complimentary access during the next quarter.
For example, credit cards like Millennia, Regalia, and MoneyBack+ will now require cardholders to spend a specific amount (typically around ₹15,000–₹25,000 per quarter) to continue enjoying lounge access privileges. Previously, access was either unlimited or available with fewer restrictions.
Additionally, HDFC Bank has clarified that only select cards will continue to offer international lounge access through Priority Pass or other partnerships, with some premium cards being unaffected by these changes.
Updated Charges on Specific Transactions
In addition to lounge access updates, the bank will now levy charges on transactions that were earlier considered low-cost or exempt. These include:
- Wallet Loads: A 1% charge will be imposed on wallet loading using credit cards.
- Rental Payments: Transactions categorized as rent payments will now attract a processing fee, varying by card type.
- Government and Educational Payments: These may also face revised transaction fees depending on the card.
Such charges are part of a broader industry shift to limit the misuse of credit facilities for interest-free credit periods and cashback exploitation on non-retail transactions.
Impact on Cardholders
These changes are expected to impact customers who frequently use credit cards for rent payments, wallet top-ups, and lounge access without meeting minimum usage thresholds. The bank has advised all cardholders to review their card-specific updates through official emails or by visiting the bank’s website.
Experts suggest that customers should plan their spending accordingly to avoid additional fees or loss of privileges. For frequent flyers and high-spending users, premium credit cards that retain broader benefits may still offer value, despite the tightening of terms.
Conclusion
HDFC Bank's revisions reflect the dynamic nature of the credit card industry, which is increasingly aligning benefits with card usage and cost sustainability. Cardholders are encouraged to remain informed and adapt their spending habits based on the updated policy to make the most of their credit card experience.
