ATM cash withdrawal fees can be increased

The Reserve Bank of India (RBI) has authorized banks to increase cash withdrawal fees that exceed the allowable transaction limit of free ATMs from 20 rupees per transaction to 21 rupees from January 1, 2022. The regulatory bank established a committee chaired by the executive director of the Indian Banking Association in June 2019 to review all ATM fees and charges, with particular attention to the exchange structure of ATM transactions

. It should also be noted that the last change in the ATM transaction fee structure was in August 2012, and the last revision of the fees payable by customers was in August 2014. Therefore, it has been a long time since these tariffs were last changed. Taking into account the continuous increase in ATM implementation costs and ATM maintenance costs borne by banks/white label ATM operators, and taking into account the needs and expectations of stakeholders and the convenience of customers,” the Reserve Bank of India reported.

Financial transactions per transaction Commissions range from 15 to 17 rupees and 5 to 6 rupees for non-financial transactions. This regulation will take effect on August 1, 2021. “Customers are entitled to five free transactions (including financial and non-financial transactions) at their bank’s ATM each month.

You are also eligible for free transactions (including financial and non-financial transactions) from ATMs of other banks. There are 3 transactions in the metropolitan area and 5 transactions in non-metro centers. Beyond the free transactions the withdrawal limit is set according to circular DPSS.CO.PD.No. 316 / 02.10.002 dated August 14, 2014.

Banks can increase customer fees to rupees 21 per transaction to offset higher exchange rates and overall cost increases. This increase will take effect on January 1. , 2022”, it said in the prospectus. In addition, the Reserve Bank of India made it clear that any taxes incurred will be paid in addition. This directive also applies mutatis mutandis to transactions with cash recycling machines (except for cash deposit transactions).

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By Vil Joe

Vil Joe, co-founder of the website with three years of experience in the newspaper industry. Apart from writing and editing articles on Sports and Technology at Breaking News 4 You, he also contributes to the other news portals. [email protected]

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