The country’s largest public sector bank, State Bank of India (SBI), has increased the ATM transaction charges and free ATM usage limit for its customers. These new rules of the bank will be considered effective from February 1, 2025.
The bank has taken this decision to streamline the fee structure and promote digital banking. Due to which both financial and non-financial transactions will be affected at SBI and other bank ATMs.
Customers having a balance of ₹ 1 lakh will get unlimited free transactions
Under the new policy, all metro or non-metro customers can now do 5 free transactions from SBI ATMs and 10 free transactions from other bank ATMs every month.
Customers having an average monthly balance (AMB) between Rs 25,000 and Rs 50,000 will get 5 free transactions at other bank ATMs. Account holders having an average monthly balance of more than Rs 1 lakh will get unlimited free transactions from both SBI and other bank ATMs.
After the monthly free ATM transaction limit is reached, a charge of ₹15+GST will be levied
After the monthly free ATM transaction limit is reached, a charge of ₹15+GST (metro or non-metro) will be levied for every transaction at SBI ATM. After the monthly free ATM transaction limit of other banks is reached, a charge of ₹21+GST (metro or non-metro) will have to be levied for every transaction at ATM.
There will be no charge for balance enquiry and mini statement at SBI ATM even after the free limit is reached. However, a charge of ₹10+GST will be levied after the free limit for balance enquiry and mini statement at other bank ATMs.
RBI increased withdrawal fee by ₹2, will be effective from May 1
2 weeks ago RBI had announced to increase ATM withdrawal fee. RBI had said in the notification that from May 1, customers will have to pay an additional 2 rupees for every transaction after crossing the monthly free transaction limit.
Currently, banks charge 21 rupees for crossing the free transaction limit. Now they will charge 23 rupees. Earlier, RBI had also announced to increase ATM interchange fee. RBI has also increased the interchange fee by 2 rupees. That is, now 19 rupees interchange charge will have to be paid on every transaction, which was earlier 17 rupees.
What is ATM interchange fee?
ATM interchange fee is a charge that one bank pays to another bank for providing ATM services. This fee is usually a fixed amount charged on each transaction, which is often added to customers as part of their banking costs.
