If you are a HDFC credit card holder and use it to load funds from it to the bank’s PayZapp wallet, be prepared to pay charges from August 1. If a user adds money to her/his PayZapp wallet through credit card, then she/he will have to pay 1.5% of the amount transferred as fee plus additional GST (Goods and Services Tax) charges. This will work out to 1.77%. Currently, no charges are levied for such transactions.
The bank has, however, reduced the charges for transferring PayZapp wallet funds to bank accounts. Currently, a charge of 2.5% plus GST will have to be paid for moving funds from PayZapp wallet to the bank account. The bank has reduced it to 1% plus GST on such transactions from August 1.
The total charges from credit card to PayZapp wallet and then the bank account will work out to 2.95% of the value of the transaction from August 1. However, there will be no charges for transferring funds to the wallet from debit cards and UPI (Unified Payments Interface).
Many people put money in their PayZapp wallet using their credit cards. Since credit cards have a payment window of 30-45 days, it enables them to avail interest free funds for this timeframe. Wallets and third-party apps to which funds are transferred also offer a host of discounts and offers.
Customers now transfer the credit card money into the wallets and third-party apps as it does not attract any charges. They also do it to avail the benefits offered by these apps and wallets. But the practice is fraught with risks and was recently flagged by RBI (Reserve Bank of India). Following this, banks have started to take measures to make the practice unattractive by levying charges on such transactions.
“Personally, I would never advise to transfer a credit card balance to a bank account. Some card issuers may consider it as a misuse and can block the card,” SpendWisely, an online platform that helps people to use their money smartly, posted on X (formerly Twitter). “There are some other risks also, like artificial overuse of credit cards which may exceed the earning of the individual etc.,” it said.
Guys, HDFC has changed the charges to load amount in PayZapp and transferring PayZapp balance to Bank account.
👉If you transfer part of your Credit Card limit to PayZapp, charges including GST will be 1.77%
👉If you transfer, PayZapp balance to Bank Transfer, charges including… pic.twitter.com/xGAawIacpy
HDFC Bank recently announced a slew of changes recently for credit card holders who make payments through third party apps such as CRED, PayTM, Mobikwik and Freecharge. The bank has levied a 1% charge on the value of rent payments using third party apps with the maximum fee capped at ₹3000 per transaction from August 1.
Educational expenses paid by credit card holders through third party apps will also attract a 1% levy. The maximum fee has been capped at ₹3000 per transaction for this as well. The recent revisions in fee and updated terms is aimed at curbing the appeal of using third party apps, especially for rent payments and meeting educational expenses. The new charges would make any benefits being offered by these third-party apps less attractive.
Allirajan M is a journalist with over two decades of experience. He has worked with several leading media organisations in the country and has been writing on mutual funds for nearly 16 years.
FAQs
The PayZapp transactions limits are ₹10,000 per month for non-KYC Accounts and ₹200,00 per month for KYC-compliant customers. Is PayZapp safe to use?
What is the charges for adding money from credit card to PayZapp? ›
If a user adds money to her/his PayZapp wallet through credit card, then she/he will have to pay 1.5% of the amount transferred as fee plus additional GST (Goods and Services Tax) charges. This will work out to 1.77%.
Is PayZapp owned by HDFC? ›
PayZapp is an online payments app from HDFC Bank. It allows you to make a wide range of payments. The app is easily available on the Google Play Store or the Apple Store for Android and iOS devices, respectively. Both HDFC Bank and non-HDFC Bank customers can register for PayZapp using their mobile number.
Can I pay my HDFC credit card bill through PayZapp? ›
Credit Card Bill Payment
In the PayZapp app, go to Bills & Recharges. Under 'Financial Services', select 'Credit Card'.
What is the credit card limit per month? ›
The credit limit on Credit Card refers to the maximum amount of money available to the cardholder, to make purchases or payments in during a given monthly credit cycle. Every Credit Card comes with a fixed monthly limit set by the issuer, up to which the cardholder can initiate spends and payments on their Credit Card.
What is the maximum daily limit for money add transaction? ›
Generic Understanding of UPI Transaction Limits
Regular UPI transactions have a maximum daily limit of ₹ 1 Lakh. UPI withdrawals from ATMs using UPI apps are limited to ₹ 10,000 per day. Bank UPI apps allow a total of 20 UPI transactions each day. Third-party UPI apps permit a maximum of 10 transactions per day.
What are the disadvantages of PayZapp? ›
The biggest disadvantage is that a transaction fee of 3.5 percent of the transfer amount is charged. I know, you will find it a little unpleasant. But you are now aware of the fees associated with PayZapp bank transfers.
Can I load PayZapp wallet with a credit card? ›
You can link your credit or debit card (even if it's a non-HDFC Bank card) by manually entering the card details in the app. Also, you can scan your embossed card or enter card details on PayZapp. Register for UPI for seamless transfer of funds (see the steps below).
Do we have to pay extra charges for credit card? ›
Issuers charge an annual fee for the privilege of using the payment card. The amount depends on various factors like features, benefits, card limit, etc. While many cards don't charge this amount, those with annual fees offer maximum features and benefits.
Is PayZapp real or fake? ›
PayZapp is The Most Useless, Third Class App ! I have used the old Payzapp app for almost 3 years, then uninstalled it due to several issues which were never resolved. Recently I installed the new version in Nov-2023, and observed that now all the customercare numbers are disable, so we can not ask for any help.
With PayZapp, you can earn cashback and rewards on almost every Credit Card transaction. As such, using your credit card for your big and small purchases can truly help you save a lot of money. For instance, you could use your Credit Card to pay your utility bills and earn cashback.
Who is the real owner of HDFC? ›
The HDFC Legacy
HDFC Ltd was founded in 1977, when the Late Shri. HT Parekh, Founder and Chairman of HDFC Ltd, dreamt of millions of middle-class citizens of India owning a home and not having to wait till their retirement. Pioneering India's housing finance industry, the late Shri.
What is the limit of PayZapp? ›
1. Your PayZapp wallet gets upgraded to a full KYC status. 2. Your wallet limit is ₹ 2 lakhs.
How do I change my PayZapp limit? ›
Launch the PayZapp application on your mobile. Head to 'Accounts & Cards' section on the app's home screen. Tap on 'Card' to get the list of your linked cards and choose the HDFC Bank Debit/Credit Card for which you want to set transaction limit. You may also add your Prepaid Cards and set limits on them.
What is the limit of HDFC PayZapp UPI? ›
The HDFC UPI transaction limit is upto Rs. 1 lakh per day or 20 transactions for Individual to individual and individual to merchant in 24 Hours.
What is the monthly limit of free transactions? ›
Banks typically provide customers with the freedom to make five withdrawals per month without any additional charges. However, after reaching this limit, a fee will be imposed for each subsequent withdrawal made at an ATM.
What is the maximum limit for online payment? ›
The UPI transaction limit per day is Rs.1 lakh as per NPCI.
The maximum UPI daily transfer limit can change from bank to bank between Rs.25,000 to Rs.1 lakh. A few banks have also set UPI transfer limits per week or per month instead of a day. Don't fall behind your taxes!
