Mumbai: Starting May 1, 2025, the Reserve Bank of India (RBI) will enforce new rules for ATM transactions across the country. These changes aim to make charges more transparent and help banks manage ATM operations better.
New Free Transaction Limits
RBI has updated the number of free ATM transactions customers can do in a month. In metro cities, people can do 3 free ATM transactions each month. In non-metro cities, the limit is 5 free transactions. This includes both financial (like cash withdrawals) and non-financial (like balance inquiry, mini statement, and PIN change) transactions.
New Charges Beyond Free Limit
If customers go over their free monthly ATM limit, they can now be charged up to Rs 23 per extra transaction, plus GST. This fee will apply to both types of transactions—financial and non-financial. These charges are also valid for Cash Recycler Machines (CRMs), but cash deposits at CRMs are not charged.
What Banks Are Doing?
HDFC Bank: From May 1, HDFC will charge Rs 23 + GST for each ATM transaction over the free limit. At HDFC ATMs, only cash withdrawals are counted. Non-financial actions like balance enquiry and PIN changes are still free. But at non-HDFC ATMs, all types of transactions (financial and non-financial) will be counted.
Punjab National Bank (PNB): PNB will begin new charges from May 9, 2025. They will charge Rs 23 for extra financial transactions and Rs 11 for extra non-financial transactions (excluding taxes), but only at other banks’ ATMs.
IndusInd Bank: All customers—savings, salary, NRI, and current accounts—will be charged Rs 23 per transaction at non-IndusInd ATMs after using up the free limit. These charges also start from May 1, 2025.
Important Tips for Customers
- Monitor how many ATM transactions you make, especially in metro areas.
- Try to stay within the free limit to avoid charges.
- Be aware that using other bank ATMs can cost more.
- Know that CRMs are also covered under this rule (except for cash deposits).
These new rules are meant to give customers clearer details about ATM charges and help banks run ATM services more efficiently.
