InvestorQ : What are the charges levied by banks when a user exceeds the three free ATM transaction limit?
ananya Sing made post

What are the charges levied by banks when a user exceeds the three free ATM transaction limit?

Answer
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Ayushi Kampani answered.
1 year ago


All banks charge their customers for the ATM transactions they conduct. This came in to effect in August 2014, when the Reserve Bank of India rolled out a policy that stated that banks can offer a certain number of transactions free of charge. Thus, banks were instructed to not charge customers for a certain number of transactions.

According to this policy, a bank’s customer would be eligible for three free transactions instead of the five transactions allowed previously.

While the charges may vary from one bank to another, most of them charge Rs 20 + GST for financial transactions such as cash deposit or cash withdrawal. For non-financial transactions, the charge range from Rs 8 to Rs 20 + GST.

Examples of non-financial transactions are making a balance enquiry; changing one’s debit card ATM pin; requesting a mini statement; investing in a Fixed Deposit via the ATM, etc.

However, it is advised that you follow up with your bank to know the details of charges levied by it.