New Delhi: The Reserve Bank of India (RBI) has announced a hike in charges for ATM cash withdrawals beyond the free monthly transaction limit. Starting May 1, customers will have to pay ₹23 per transaction, up from the current ₹21.
The increase applies to transactions exceeding the free monthly limit allowed by banks. Typically, customers are entitled to five free ATM withdrawals per month at their bank’s own ATMs and three to five free transactions at other bank ATMs, depending on the city.
The RBI stated that this revision is part of its periodic review of ATM charges, considering rising costs for banks in managing and operating ATMs. The last adjustment was made in January 2022, when the charge was raised to ₹21.
The central bank clarified that all free transaction limits will remain unchanged, and the increased charge will only apply to additional withdrawals beyond the permissible free limit.
