ATM cash withdrawal, debit card, credit card charges to change from August 1: Check details

ATM cash withdrawal, debit card, credit card charges to change from August 1: Check details&nbsp

New Delhi: The Reserve Bank of India (RBI) has recently raised the interchange fee and allowed banks – private and public – to hike charges on withdrawing cash from ATMs as well as charges for debit cards and credit cards.

Starting August 1, the interchange fee that banks can charge on Automated Teller Machines (ATM) will see an increase of Rs 2 following the Reserve Bank of India (RBI) order. In June, the central bank raised the interchange fee from Rs 15 to Rs 17, while for non-financial transactions the fee has been raised from Rs 5 to Rs 6.

This fee is being charged by the banks to customers processing the payments through credit card or debit cards. As per the fresh guidelines from the RBI, the customers will be eligible for five free transactions every month from their home bank ATMs. Moreover, the RBI has said that the customers can claim free transactions from ATMs of other banks, too, which include three withdrawals in metros and five in non-metro cities.

The changes were announced on the basis of the suggestions of a committee set up by the RBI in June 2019. It was set up under the chairmanship of the chief executive of the Indian Banks’ Association to review the entire gamut of ATM charges and fees with a particular focus on interchange structure for ATM transactions.

The central bank had said these charges were allowed to be hiked owing to the increasing cost of ATM deployment and expenses towards the maintenance of ATM that banks incur. News agency PTI reported that as of March 31, there are 115,605 onsite ATMs and 97,970 off-site teller machines in the country and around 900 million debit cards issued by different banks.

SBI ATM charges

State Bank of India (SBI) has recently revised the service charges for withdrawing cash from its ATMs and bank branches in early July. For Basic Savings Bank Deposit (BSBD) Accounts or SBI BSBD accounts, charges will be recovered beyond the free 4 cash withdrawal transactions including ATM and branch. Apart from this, SBI account holders will be exempted from any charges on the first 10 cheque leaf only. For cheque leaf beyond this limit will be subject to charges going to become effective from 1st July 2021.

ICICI Bank ATM charges

ICICI Bank has issued a notice on its revised limits of cash transactions, ATM interchange, and chequebook charges. The revised charges will be applicable for domestic savings account holders including salary accounts, and will come into effect from August 1.

Similar Articles



Please enter your comment!
Please enter your name here



Most Popular