Starting May 1, 2025, customers using ATM banking services will have to pay more per transaction beyond their free limits. The Reserve Bank of India (RBI) has announced that the fee for ATM transactions will increase from ₹21 to ₹23 per transaction.
New ATM Transaction Limits & Charges
Free Transactions at Own Bank’s ATMs:
– Customers will continue to get five free transactions (financial & non-financial) per month.
Free Transactions at Other Banks` ATMs:
– Metro cities: Three free transactions per month.
– Non-metro areas: Five free transactions per month.
Charges Beyond Free Limit:
– Any additional transaction will now cost ₹23 per withdrawal.
Banks and ATM Revenue
The Central Government has revealed that while the State Bank of India (SBI) is earning significant revenue from ATM transactions, several public sector banks (PSBs) are facing financial difficulties due to ATM operational costs.
Impact on Customers
With higher ATM fees and limited free transactions, customers might shift towards digital payment methods like UPI and mobile wallets, reducing their dependency on cash withdrawals.
For more details, customers are advised to check with their respective banks.
