PNB Rule Change: Charges for cash withdrawals using credit cards doubled; higher costs also applicable to bill payments..

Punjab National Bank (PNB) has nearly doubled the charges for withdrawing cash from ATMs using a credit card. Effective November 1, cash withdrawals made via credit card at PNB’s domestic ATMs will incur a fee of 2.5% of the withdrawn amount, or a minimum of ₹400—whichever is higher. Previously, for RuPay and Visa cards, this fee was 2% of the amount, with a minimum charge ranging between ₹150 and ₹200. Furthermore, if you withdraw cash using a domestic or international ATM belonging to another bank, you will be charged 2.5% of the amount, subject to a minimum of ₹500.

For failure to pay credit card bills on time, a late payment fee of up to ₹1,200 will now be levied, depending on the total outstanding amount. While the bank has provided relief for small outstanding balances of ₹500 or less—for which no fee will be charged—an outstanding balance between ₹501 and ₹1,000 will immediately attract a fee of ₹500. For higher amounts, the late fee will be ₹750 for balances between ₹1,001 and ₹10,000, ₹1,000 for balances between ₹10,001 and ₹50,000, and a maximum of ₹1,200 for outstanding balances exceeding ₹50,000.

Many customers pay their credit card bills via cheque or by setting up an auto-debit facility from their bank account; however, if there is insufficient balance in the account, a heavy penalty will now be imposed. Under the new rules, if a cheque bounces or an auto-debit instruction fails, a charge of 2% of the total payment amount—or a minimum of ₹400—will be levied.

The bank has also introduced new restrictions for customers who use their credit cards to pay utility bills, such as electricity, water, or gas. If a customer’s total utility bill payments within a single billing cycle exceed ₹50,000, an additional surcharge of 1%—plus applicable taxes—will be levied on the amount exceeding ₹50,000. Under this rule, the surcharge is capped at a maximum of ₹2,000 per transaction.

Redeeming reward points earned on a credit card will now also attract a fee. Previously, customers could convert their reward points into gift vouchers or products at no extra cost; however, a flat fee of ₹99 will now be charged for each redemption request.

Digital e-statements sent by PNB to a customer’s registered email address will continue to be provided free of charge. However, if a customer requests a hard copy—specifically a duplicate physical statement for a period older than three months—a charge of ₹50 per month will apply.

The bank has also revised the terms for secured credit cards issued against Fixed Deposits (FDs). For these FD-linked cards, a penalty of ₹100 per transaction will be imposed if a cheque payment or an auto-debit transaction fails. Furthermore, the late payment charge for these cards will be 30% of the 'Minimum Amount Due,' subject to a minimum of ₹200 and a maximum of ₹500 per billing cycle.

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