Last reviewed: 10 October 2026. Terms checked against HDFC Bank’s commercial credit card listing, its Accounts Receivable page and the Commercial Credit Cards Schedule of Charges (Version 2.6, January 2025, with July 2025 revisions).
The HDFC Accounts Receivable Program is a card-based collection service that helps a manufacturer or distributor get paid by its dealers, distributors and other business buyers through one digital channel, with the money arriving on a known schedule instead of through scattered cheques and transfers. HDFC now lists it on its commercial credit card page as “AR: Accounts Receivables Solution” and pitches it as a way to improve cash flow. It is the mirror image of the bank’s payables programme: one side pays on credit, the other side collects faster.
HDFC Accounts Receivable Program: key facts
| Feature | What HDFC Bank states |
|---|---|
| Product type | Commercial card collection programme for suppliers and brands |
| Current name on HDFC’s site | AR: Accounts Receivables Solution |
| Who pays you | Dealers, distributors and other business buyers |
| Fees for the seller | Not published; agreed with the bank |
| Finance charge | No separate rate listed for Account Receivable in the schedule |
| Related buyer card | HDFC Dealer card: up to 22 interest-free days, 1.025% a month finance charge, ₹300 convenience fee per transaction |
| Minimum amount due | 100% for most commercial cards; the Dealer card has its own partial-payment formula |
| Cash advance | Not available |
| Best for | Brands and distributors with large dealer networks and slow collections |
All fees, charges and interest attract 18% GST.
How the Accounts Receivable Program helps cash flow
In a typical dealer business, the brand ships goods and waits weeks for payment. Under a card-based collection set-up, the buyer pays through an HDFC commercial card or the bank’s digital platform and the seller receives the funds through the bank, so the buyer’s credit line sits with HDFC rather than on the seller’s books. HDFC does not publish the seller’s settlement timeline or charges, so treat the example below as a model, not a quote.
Worked example for the seller
- ₹50,00,000 a month of dealer invoices moved onto the programme.
- Collections arrive 40 days sooner than under the old cheque cycle (our assumption).
- Money is worth 10% a year to the business (our assumption).
| Item | Calculation | Amount |
|---|---|---|
| Value of faster collection each month | ₹50,00,000 × 10% × 40 ÷ 365 | ₹54,795 |
| Break-even seller charge | ₹54,795 ÷ ₹50,00,000 | About 1.1% of collections |
If HDFC’s charge to the seller is below roughly 1.1% of collections, the faster cash covers it in this scenario. Fewer bounced cheques and less manual reconciliation add to the gain but are harder to price.
Worked example for a dealer paying by card
A seller can pair this kind of programme with HDFC’s Dealer card, which the schedule prices as follows. A dealer buying ₹5,00,000 of stock in one transaction pays a ₹300 convenience fee, or ₹354 with GST. If the dealer clears the bill within the free period of up to 22 days, that is the only cost. Rolling the balance for a month adds ₹5,125 of interest at 1.025%, or ₹6,048 with GST.
Pros and cons
Pros
- Brings collections from many buyers into one channel.
- Buyers who pay by card use HDFC credit, not your trade credit.
- Dealers get a short interest-free window, which can support sales.
- Digital records make receivables easier to reconcile.
Cons
- Seller fees and settlement days are not published.
- Dealers pay a ₹300 fee per Dealer card transaction.
- Works only if your buyers agree to pay this way.
- Limits for each dealer are set by HDFC, not by you.
Fees and charges on related commercial cards
| Charge | Amount |
|---|---|
| Dealer card finance charge | 1.025% a month (12.3% a year) |
| Dealer card convenience fee | ₹300 per transaction |
| Late payment | Nil up to ₹100; ₹100 for ₹100 to ₹500; ₹500 for ₹500 to ₹5,000; ₹600 for ₹5,000 to ₹10,000; ₹750 above ₹10,000 |
| Payment return | 2% of the payment, minimum ₹450 |
| Cash payment of dues | 1% of the amount paid in cash |
| Charge slip retrieval | ₹125 per slip |
The schedule also mentions 10.3% a year in a separate revolving credit line for the Dealer card, so confirm the exact rate with HDFC.
Eligibility and set-up
HDFC’s corporate card FAQ lists private and public limited companies, partnership firms and LLPs with turnover of ₹10 crore or more; smaller firms may apply against collateral. Expect HDFC to review both your business and your dealer network, since dealer limits depend on their credit profiles. Start with a pilot group of dealers who already pay reliably.
How it compares
| Product | Which side uses it | Main benefit |
|---|---|---|
| Accounts Receivable Program | Seller | Faster, centralised collections |
| Accounts Payable Program | Buyer | Credit window on vendor payments |
| Purchase Premium card | Buyer | Up to 50 days of credit at 1.99% a month |
For a broader view of HDFC’s business cards, see our review of the HDFC Purchase card.
Our verdict on the HDFC Accounts Receivable Program
The HDFC Accounts Receivable Program is worth a look for brands whose cash is stuck with dealers. The logic is sound, but the economics depend on two numbers HDFC does not publish: the seller’s charge and the settlement time. Get both in writing, compare them with your current collection delay, and pilot it with a few dealers before a full rollout.
How to apply
Contact HDFC Bank’s commercial cards team or your relationship manager via the official Accounts Receivables Solution page.
Frequently asked questions
What is the HDFC Accounts Receivable Program called now?
HDFC’s commercial card page lists it as “AR: Accounts Receivables Solution”.
Who pays the fees?
Seller charges are agreed privately. Dealers using HDFC’s Dealer card pay ₹300 plus GST per transaction and interest if they roll over the balance.
How long do dealers get to pay?
The Dealer card offers up to 22 interest-free days, according to HDFC’s schedule.
Is this a loan to my business?
Not directly. It speeds up money owed to you; the credit sits with your buyers.
This article is for informational purposes only and does not constitute financial advice. Card features and charges can change; check the bank’s official website before applying.
