RBI Guidelines Alert: ATM Transaction Charges to Rise from May 1:

As per New RBI Guidelines, ATM Transaction Charges to Rise from May 1

The Reserve Bank of India (RBI) has released updated guidelines for ATM transaction charges. These revised charges will be made effective from May 01, 2025. The new guidelines related to the minimum limit of free ATM transactions allowed, changes to the fees for extra transactions, and adjustments to the charges between banks for using each other’s ATMs. This step is part of RBI’s efforts to make customer charges clearer and to give ATM networks more flexibility in how they operate.

Some banks, such as HDFC Bank, PNB, Kotak Mahindra, etc, have already informed their customers about the updated charges if the limit of free ATM transactions is exceeded.

Minimum Free ATM Transaction Limits, Set to be Effective from May 1, 2025

The Reserve Bank of India (RBI) has informed about the minimum number of ATM transaction limits allowed in a month, with separate limits for their own bank's ATMs and other banks' ATMs.

• In metro cities, customers are allowed to use a minimum of three transaction limits per month.
• In non-metro cities, customers are allowed to use a minimum of five transaction limits per month.
• These limits are applicable to both financial and non-financial transactions.

Updated Charges for Crossing Minimum ATM Transaction Limit

If an individual crosses the minimum ATM transaction limit, then banks are allowed to charge that individual Rs. 23 per transaction made. These charges are applicable to both financial and non-financial transactions. Taxes applicable to them will be charged separately. The new fees apply not just to regular ATM transactions, but also to those done at Cash Recycler Machines (CRMs), except when you're depositing cash.

ATM Bank Charges for HDFC Bank from May 01, 2025

In accordance with the official website of HRFC, "With effect from 1st May 2025, ATM transaction charge rate beyond free limit of Rs. 21 + taxes would be revised to Rs. 23 + taxes, wherever applicable." At HDFC Bank ATMs, only cash withdrawals will count towards charges. Other services like checking your balance, getting a mini statement, or changing your PIN will be free. At ATMs of other banks (not HDFC Bank), both cash withdrawals and other services such as balance checks, mini statements, and PIN changes will count towards charges.

ATM Bank Charges for PNB Bank from May 01, 2025

In accordance with the official website of PNB bank, "It is to inform that the customer charges for over and above free transactions on other Banks’ ATMs are revised as Rs. 23/- per financial transaction and Rs. 11/- per non-financial transaction (excluding GST) w.e.f. 09.05.2025."

ATM Bank Charges for IndusInd Bank from May 01, 2025

In accordance with the official website of the IndusInd website, "All the Savings/Salary/NR/Current Account customers will be charged INR 23 per transaction for ATM Cash withdrawal made at Non-IndusInd Bank ATMs, beyond free limits, effective 1st May 2025."

Things to be Noted in Mind

Along with the updated ATM transaction rule, which will be made effective from May 01, 2025, individuals are asked to follow the below:

• Customers must keep a record of their ATM usage, especially while using other banks' ATM in metro areas.
• Remember, you can be charged up to Rs 23 for each extra transaction beyond the free limit.
• Know that the new rules also apply to CRMs, but not when you are depositing cash.