Last Updated:March 31, 2026, 14:35 IST
From tighter digital payment security norms to revised railway refunds and changes in ATM usage, April 1 brings multiple rule updates that cut across everyday financial activities.
Here’s a detailed look at what changes from the new fiscal.
A new financial year is set to begin with a wide set of changes that will directly impact how individuals transact, travel, borrow and manage their finances. From tighter digital payment security norms to revised railway refunds and changes in ATM usage, April 1, 2026, brings multiple rule updates that cut across everyday financial activities.
Here’s a detailed look at what changes from the new fiscal:
Digital Payments Get Tighter Security Layer
The Reserve Bank of India (RBI) has made two-factor authentication (2FA) mandatory across UPI and card-based transactions from April 1, to strengthen fraud prevention systems.
The RBI, through its notification dated September 25, 2025, defined the factor of authentication as the customer’s credentials, which can be used for authentication. It added that the factors of authentication can be from “something the user has”, “something the user knows” or “something the user is”.
The central bank listed down new payment authentication methods, including SMS-based OTP, password, PIN, fingerprint, passphrase, software token, card hardware, or any other form of biometrics (device native or Aadhaar-based).
Railway Ticket Cancellation Rules Tightened
The Indian Railways has revised its refund policy, significantly narrowing the window for cancellations.
Passengers cancelling tickets within 8 hours of departure will now get no refund, compared to the earlier 4-hour limit. For other cases, deductions have been rationalised:
Cancellations between 8 and 24 hours before departure will attract a 50% deduction. Between 24 and 72 hours, 25% of the fare will be deducted. Beyond 72 hours, existing cancellation rules will apply.
FASTag Annual Pass Gets Costlier
The National Highways Authority of India has revised the FASTag annual pass fee for FY27, effective April 1. The fee has been revised upward by Rs 75 to Rs 3,075, compared with Rs 3,000 earlier, as part of the authority’s annual toll rationalisation exercise under the National Highways Fee (Determination of Rates and Collection) Rules, 2008.
The pass, meant for non-commercial private vehicles, will continue to offer validity for one year or up to 200 trips, whichever is earlier, and can be used across national highways and expressways.
PAN Rules Tightened, Credit Cards Linked
PAN-related compliance is being tightened from the new financial year.
Applicants will have to use updated PAN forms and provide additional documentation beyond Aadhaar as proof of date of birth. More significantly, quoting PAN will now be mandatory for applying for a credit card.
Banks will not issue new cards without PAN, and existing users will need to link their cards to PAN, reinforcing its role as a key financial identifier.
Silver Allowed As Loan Collateral
Under new norms, the RBI will allow regulated entities, including banks and NBFCs, to extend loans against silver jewellery, ornaments and coins.
This comes under the ‘Lending Against Gold and Silver Collateral Directions, 2025’, expanding the scope of secured lending beyond gold.
ATM Transactions To Get Costlier For Heavy Users
Banks have revised ATM usage rules, tightening free transaction limits and increasing charges beyond thresholds. At HDFC Bank, UPI-based ATM withdrawals will now be counted within the monthly free limit, with charges applicable beyond five transactions.
Bandhan Bank will allow three free ATM transactions in metro cities and five in non-metros, after which charges will apply. It will also levy penalties on failed transactions due to insufficient balance.
Punjab National Bank has revised withdrawal limits for select debit cards, bringing them down to a range of Rs 50,000-Rs 75,000 depending on the variant.
Credit Card Benefits, Charges See Tweaks
Cardholders will also see changes in rewards and fee structures.
At Axis Bank, cashback on select co-branded cards will be restructured, with some benefits routed through partner wallets and lounge access benefits withdrawn. YES Bank has revised charges on utility and transport spends, introducing fees beyond specified monthly thresholds, with caps on per-transaction charges.
New Labour Codes May Impact Take-Home Pay
The implementation of new labour codes could alter salary structures, with employers required to allocate at least 50% of total compensation as basic wages.
This may lead to lower take-home pay but higher contributions toward provident fund and retirement benefits.
First Published:
March 31, 2026, 14:35 IST
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