ATM withdrawal charges increased

Tags: Economics/Business

 From 1 January 2022,  banks have increased the penalty charges  on the ATM withdrawal  beyond the permissible limit.

  RBI has allowed the banks to impose a maximum fine of Rs 21 plus GST of 18% on  per excess  ATM transaction.

According to the RBI:

• Banks have to allow its account holder a minimum  three free transactions from other bank ATMs (financial and/or non-financial) in metros and five in non-metros per month 
• Banks have to allow  its account holder a minimum  five free transactions (financial and/or non-financial) every month from their own bank ATMs. 
• Financial transaction means withdrawal of cash from ATM
• Non-financial transaction means  non cash transaction like balance enquiry, etc.
• Metro ATM  transaction means transaction done in ATMs located in Delhi, Mumbai, Chennai, Kolkata, Bengaluru and Hyderabad . 
• ATM stands for Automated Teller Machine