In a move that can be perceived as yet another push towards a cashless and digital economy, HDFC Bank has notified its customers that it will charge a minimum Rs 150 fee per cash transaction done at the bank after the fourth transaction in a month. This is effective as of today.

This means, every month a HDFC customer will only be able to exercise four cash withdrawal or deposit (cumulatively) transactions for free; after that, any transaction at its bank would be chargeable. The Rs 150 is exclusive of a cess and a tax which will be charged separately.

The new charges would apply to savings as well as salary accounts effective from today, leading private sector player HDFC Bank said in a circular.

For customers withdrawing money from the home branch, there is an upper limit of Rs 2 lakh per month per account. Above that, a transaction charge of Rs 5 per thousand or a part thereof, subject to a minimum of Rs 150 (plus taxes & cess) will be applicable, HDFC Bank said.

If customers are withdrawing money from a non-home HDFC Bank branch, from the fifth monthly transaction there is an upper limit for non-chargeable transactions is set at Rs 25,000 per day. Anything above that would attract a charge of Rs 5 per thousand or part thereof, subject to a minimum of Rs 150 (plus taxes & cess).

For third party, however, there's a limit of Rs 25,000 per day which will attract the Rs 150 transaction fee with additional taxes and cess. Third parties will not be allowed to withdraw over Rs 25,000.

The rules for minors' accounts or senior citizens' accounts are lax. Where the Rs 25,000 per day limit will be applicable, their accounts will not be charged after the fourth transaction.

The bank said that cash handling charges that were applicable after demonetization have now been withdrawn.

In case of several banks, including ICICI Bank and Axis Bank, these charges came into effect early in January and are same as they were before the demonetization move announced on November 8, while there is an increase in such fees in case of some others, including HDFC Bank, today onwards, a report by PTI said.