HDFC Bank's Major Reward Overhaul
HDFC Bank has long been the gold standard for credit card rewards in India, but the rules of the game are shifting. In early 2026, HDFC announced a major overhaul of its reward system. For many, it feels like a "de-monetization" of their hard-earned points. If you carry a Regalia, Diners, or standard HDFC card, here is how the recent devaluation affects your wallet.
The Big Shift: Changes in Reward Accrual
Starting May 15, 2026, the "base" for earning points is moving.
• The Old Rule: You earned reward points for every ₹150 spent.
• The New Rule: You now earn points for every ₹200 spent on most cards (Regalia Gold, Diners Privilege, etc.).
• The Impact: This sounds small, but it’s a 25% reduction in your earning power. Even worse, if you make a purchase of ₹199, you now earn zero points, whereas before you would have earned a base unit.
Real-World Example: The "Point-Gap"
Let’s see how this looks for a typical monthly spend of ₹30,000 on a Regalia Gold card (which gives 4 points per base unit).
Premium Card Tighter Rules (Infinia & DCB)
While the base earning for the ultra-premium Infinia hasn't changed, HDFC has tightened the "keep away" rules:
• The ₹18 Lakh Bar: Starting April 2026, you must spend at least ₹18 Lakhs annually to retain your Infinia card. If you don't meet this or the ₹50L Relationship Value (TRV), you might be downgraded to a lower card.
• SmartBuy 2026 Nerf: Accelerated rewards on the SmartBuy platform (for vouchers like Amazon/Flipkart) have been reduced from 5X down to 3X for several categories, dropping the effective return from ~16% to ~10%.
New Redemption Caps & Fees
It’s not just about earning; it's about spending your points too.
1. Redemption Cap: You can now only use Reward Points to cover 70% of your travel or product booking (on SmartBuy). The remaining 30% must be paid via the card.
2. DCC Fee Hike: If you use your card for international brands (even in INR), the Dynamic Currency Conversion fee has been hiked to 1.75%.
3. Statement Credit Cap: Cashback redemption is now capped at 50,000 points per month.
How to Stay Ahead?
To maximize your value despite the devaluation:
• Use PayZapp: It often offers 5X accelerated rewards on categories where the base rate has dropped.
• Check the EMI Calculator: If you're planning a large purchase, check if the "No Cost EMI" still earns points (HDFC often excludes points on EMI transactions now).
• Milestone Hunting: Focus on quarterly milestones (like the ₹1.5L or ₹2.5L spend targets) which offer bonus vouchers to offset the lower base rewards.