Are you using ATM for withdrawing money? If yes, then you must know these new rules
As per the announcement of the Reserve Bank of India (RBI) some changes for Debit and Credit card transactions have been made following which you will now have to pay more charges from earlier for extra ATM withdrawals made after the allocated monthly limit.
According to reports, RBI has hiked the charges on every ATM withdrawal for every public and private bank once the free monthly limit gets exhausted.
Now, customers will have to pay Rs 1 more than what they were paying earlier to withdraw money, stated the RBI notification. That means cardholders will have to pay Rs 21 for every transaction after the allotted free transactions. The new ATM withdrawal rules came into force from 1st January, 2022.
The banks have been reportedly sending alert notifications to Customers regarding the hiked charges.
So check out the new rules of the RBI that are going to be implemented from next month.
Check New ATM Charges, Transaction Limit and other details here
- Bank debit and credit cardholders will now have to pay Rs 21 per transaction instead of Rs 20 per transaction, once the free limit got exhausted.
- RBI informed that the charges have not been changed since August 2014.
- The revision is being done to compensate the banks for higher interchange fees and general escalation in costs, said RBI.
- According to RBI, the new charges will be implemented from January 1, 2022.
- Bank customers can withdraw money from their own bank ATM without any charges for 5 transactions.
- And they can withdraw cash from other banks’ ATMs only three times in metro cities and five times in non-metro cities per month.
- The new rule is also applicable to Cash Recycler Machines.
- Interestingly, RBI revised, upwards, the transaction limit in August 2021.
Let us tell you that RBI made a committee headed by VG Kannan, then Chairman of IBA, to revise the rules of ATM charges and transactions in 2019.
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Ms Kalinga
I just tried using ICICI bank ATM since all AXIS Bank ATMs in my locality are long shutdown, I got an error sorry we are unable to dispense cash at this moment, I had abundant amount of cash in my savings account, Will this attempt be counted as a transaction if so is this not cheating customers for banks fault, Also if RBI wants to penalize customers for using ATM then what’s to point of even using banking services, its better we opt to do transactions in Cash, What form of illogical regressive steps are these, This country has gone to the dogs, All are looting public 5% extra GST on Restraint food, ATM charges Indirect taxes and horrible direct taxes, People are dying government says you can afford to give taxes at this pandemic time. Worst time to be Indian common man just getting looted.