As directed by the Reserve Bank of India (RBI), banks from today ie, May 1, will apply a revised fee structure for ATM transactions. The new guidelines imposed by the apex bank emphasise free ATM transaction limits, revising charges for exceeding limits, and modifying the structure of interchange fees.
As per the new guidelines, customers are now eligible for five free transactions every month from their respective banks. They can also avail of three free ATM transactions in metro cities and five transactions in non-metro cities from other banks. Customers will be charged if the limit exceeds. The transactions include both financial and non-financial dealings.
The RBI notification, dated March 28, 2025, says, “The ATM interchange fee will be as decided by the ATM network. Beyond the free transactions, a customer may be charged a maximum fee of Rs 23 per transaction. This shall be effective from May 1, 2025. Applicable taxes, if any, shall be additionally payable. These instructions shall also apply, mutatis mutandis, to transactions done at Cash Recycler Machines (other than for cash deposit transactions).”
Starting today if your ATM transactions cross the limit your bank will charge you Rs 23 for each activity. This rate applies for every move whether you are withdrawing money or just checking your balance.