HDFC Bank Central Travel Account Credit Card – Benefits, Fees & Eligibility

Introduction

The HDFC Bank Central Travel Account Card is a specialized commercial credit card designed by HDFC Bank to help corporates efficiently manage and streamline their business travel expenses. Positioned as a comprehensive solution for corporate travel, it offers extended payment terms of up to 50 days, provides detailed travel data reports for enhanced visibility, and integrates seamlessly with existing ERP systems. A key differentiator is its ability to deliver significant savings on business travel and software purchases, coupled with robust travel insurance coverage.

Fees

• Joining Fee: No joining fee.
• Renewal Fee: No renewal fee.
• Late Payment Fees:
  • ₹100 for amounts between ₹100 and ₹500.
  • ₹750 for amounts above ₹10,000.
• Non-Payment Charges: 1.50% per month, amounting to 18% annually.
• Payment Return Fee: 2% of the payment amount, subject to a minimum charge of ₹450.
• Cash Processing Fee: 1% of the transaction amount.
• Retrieval Fee: ₹125 per charge slip.
• Railway Ticket Purchase Fee: 1.8% of the transaction amount if payment is made through the HDFC Bank payment gateway.
• Rent Payment Fee: 1% fee on rent payments made via credit cards on platforms like CRED, Paytm, and others, with a maximum charge of ₹3,000 per transaction.
• Reissue Fee: ₹100 for a replacement card.
• Goods and Services Tax (GST):
  • The applicable GST depends on the Place of Provision (POP) and Place of Supply (POS). If POP and POS are in the same state, CGST and SGST/UTGST will apply; otherwise, IGST will apply.
  • GST for Travel Account fees, charges, or interest transactions billed on the statement date will be reflected in the next month's statement.
  • GST levied will not be reversed for any disputes related to fees, charges, or interest.

Rewards

• Banking Benefits:
  • Extended payment terms of up to 50 days.
• Travel Benefits:
  • Access to detailed travel data reports.
  • Direct debiting of airline fares to the card, with automatic reflection of cancellations.
  • Facilitates better negotiations with preferred airlines and hotels.
• Billing Benefits:
  • Ability to integrate with existing corporate ERP systems without any additional investment.
• SmartBuy BizDeals Benefits:
  • Avail up to 40% savings on business travel and software purchases via smartbuy.hdfcbank.com/business.
  • Business Travel Benefits via MMT MyBiz:
    • 4% off on Flights and Hotels booking.
    • Discounted Fares, Free Meal & Seat Selection, Low Fees for Cancellation.
  • Business Productivity Tools via Nuclei:
    • Instant discount on Business Software such as Google Workspace, Tally Prime, AWS, Microsoft Azure & more.
• Detailed Reports:
  • 24x7 online access to customized MIS reports.
  • Consolidated statement for visibility into travel expenses.
  • Airline / Hotel / Merchant wise break up reports.
  • Data information for easy reconciliation and payment.
• Added Delights:
  • Net fare charged by the Airline is debited to the card, and all cancellations come on the card.
  • Business travel insurance cover.
    • Air Accident Insurance: Up to INR 30 Lakhs
    • Lost Baggage: Up to INR 25,000 for International Flights only
    • Delay in Baggage (by 6 hours): Up to INR 10,000 for International Flights only
    • Loss of Passport/docs: Up to INR 10,000 for International Travel Only
    • Flight delay: Up to INR 15,000 for International Travel Only (deductible – 12 hours)

Card Eligibility Criteria

• Target Corporates: Corporates looking for centralization of travel expenses management.
• Minimum Annual Turnover: 10 Crores is the required minimum annual turnover.
• Alternative for Lower Turnover: Companies with less than 10 Crores turnover can still apply for CTA basis secured collaterals like Fixed Deposit.

Card Review

The HDFC Bank Central Travel Account Card is an excellent solution for corporates aiming to centralize and optimize their travel expense management. It offers a robust framework for financial control, data visibility, and operational efficiency.

• Pros:
  • Eliminates the need to process multiple invoices, employee reimbursements, and cash advances, significantly streamlining accounting procedures.
  • Provides substantial savings on business travel and essential software through exclusive partnerships.
  • Offers comprehensive travel insurance, adding a layer of security for business travelers.
  • Features extensive reporting capabilities and seamless integration with major ERP systems, enhancing financial oversight and reconciliation.
  • No joining or renewal fees, making it cost-effective for long-term use.
  • Extended payment terms of up to 50 days improve cash flow management.
• Cons:
  • While it offers "exclusive privileges," a specific reward points program with redemption details is not explicitly outlined for this card, focusing more on direct savings and expense management.
  • A range of fees apply for specific transactions like late payments, non-payments, cash processing, and rent payments, which can add to costs if not managed carefully.
  • The minimum annual turnover requirement of 10 Crores might be a barrier for smaller businesses without the option of providing secured collateral.

Overall, the HDFC Bank Central Travel Account Card is highly valuable for medium to large enterprises seeking to gain greater control, transparency, and efficiency in their corporate travel spending.

Important Product Details

• Positive Highlights:
  • No joining or renewal fees.
  • Extended payment terms of up to 50 days.
  • Provides 24x7 online access to customized MIS reports, consolidated statements, and airline/hotel/merchant-wise breakup reports.
  • Seamless integration with major corporate ERP systems (e.g., Concur, Oracle, Happay, Zoho) with no cost for pushing data to the ERP system.
  • Offers significant savings: up to 40% on business travel and software via SmartBuy BizDeals, including 4% off flights and hotels via MMT MyBiz, discounted fares, free meal & seat selection, and low cancellation fees.
  • Includes robust business travel insurance covering air accidents (up to INR 30 Lakhs), lost/delayed baggage, loss of passport/documents, and flight delays for international travel.
  • Automates expense processing, eliminating multiple invoices, employee reimbursements, and cash advances.
  • All refunds for cancelled bookings are credited back to the same CTA card.
  • OTP is not required for CTA transactions when bookings are completed by a Travel agency on GDS or HDFC payment gateway.
• Negative Highlights:
  • Late payment fees range from ₹100 to ₹750 based on the total amount due.
  • Non-payment charges are 1.50% per month (18% annually).
  • A payment return fee of 2% of the payment amount (minimum ₹450) applies.
  • Cash processing fee is 1% of the transaction amount.
  • Retrieval fee of ₹125 per charge slip.
  • Railway ticket purchase fee of 1.8% of the transaction amount if paid via HDFC Bank payment gateway.
  • A 1% fee (maximum ₹3,000) is charged on rent payments made via credit cards on various platforms.
  • A reissue fee of ₹100 applies for a replacement card.
  • While data push to ERP is free, the corporate will have to bear the cost of integration with their ERP system.
  • Disputes must be raised within 60 days from the receipt of the statement; disputes raised post due date will attract finance/late fee charges on any unpaid balances.

Other Details

• Automation:
  • Eliminates the need to process multiple invoices.
  • Removes the requirement for multiple employee reimbursements and cash advances.
  • Streamlines accounting procedures by consolidating transaction data from around the world.
• How Bookings are Completed: The CTA is lodged with the corporate's travel agency. Employees raise Travel Requisition Forms (TRF) to the travel agency, which then utilizes the CTA card for each authorized travel requisition.
• Self Booking Tool (SBT) Usage: The corporate can use the CTA card on Self Booking Tool (SBT) platforms.
• Types of Expenses: The CTA card can be used for all travel-related expenses such as Air, Hotel & VISA bookings. Hotel & VISA expenses should be discussed in detail with the Travel agency.
• Pass thru & Non Pass thru Transactions:
  • Pass thru transactions: Airlines accepting payment directly via the corporate's credit card. The merchant name on the statement appears as the Airline name.
  • Non Pass-thru transactions: Transactions where the airline ticket payment is made by the travel agent to the airline and then charged to the corporate. The TMC name appears as the merchant for such transactions, common for Low-Cost Carrier (LCC) airlines.
• OTP Requirement: OTP is not required for CTA transactions provided the bookings are completed by the Travel agency on GDS or HDFC payment gateway.
• Refund Handling: All refunds for cancelled bookings are credited back to the same CTA card.
• Dispute Process:
  • Transactions not recognized by the corporate must be disputed before the due date with a valid dispute reason.
  • The Bank will provide temporary credit for the disputed amount and reach out to the TMC / merchant for validation.
  • If a response is not provided by the TMC/merchant within 30 days, the bank will chargeback the merchant.
  • Corporates can raise disputes within 60 days from the receipt of the statement. However, if disputes are raised post due date, any unpaid balances will attract finance / late fee charges.
• Data Capture Capabilities:
  • L1 (Financial data): Transaction amount, Transaction date, Merchant name, Card number, etc.
  • L2 (Travel data): Ticket number, Routing, Invoice number, etc.
  • L3 (Custom data): Employee ID, cost center, project code, etc.
• Travel Agency Certification: Travel agencies that need to be certified for submission of enhanced data must be introduced to franchisee networks (MasterCard, VISA, Diners) via the Products team.
• ERP System Integration: Transaction-wise data can be pushed to the corporate’s ERP system. HDFC Bank is integrated with major ERP systems such as Concur, Oracle, Happay, and Zoho. There is no cost to the corporate for pushing data to the ERP system, though the corporate will have to bear the cost of integration with their ERP.
• Reconciliation: Corporates are provided with a consolidated enhanced data report for all transactions debited on the CTA card, which can be used for reconciliation (report can also be pulled from online reporting tools).
• Payment Options: Payments can be made via cheque, auto debits, or online modes such as NEFT, RTGS. Full payment needs to be made by the corporate to the Bank (minus disputed transactions if any).
• Servicing Channel: A dedicated CTA Support desk is available for handling CTA-related queries, and requests can also be routed through Corporate Assist.
• Legal Disclaimer Summary: Terms and conditions apply. Commercial Credit Card approvals are at the sole discretion of HDFC Bank Limited and are subject to documentation and verification. Interest rates are subject to change; current rates should be confirmed with an RM or bank branch. The Most Important Terms and Conditions (MITC) document should be reviewed thoroughly.